Regional Large Scale Project Showcase: From Development Plans to On-Stream Successes; a case of Somanga 250MW CCGT Power Plant - Tanzania

Transcription

1 Regional Large Scale Project Showcase: From Development Plans to On-Stream Successes; a case of Somanga 250MW CCGT Power Plant - Tanzania Presented By: Decklan P. Mhaiki Deputy Managing Director Investments TANESCO

2 Contents Introduction Current Status Available Energy Resources ESI Reforms Road Map Future Grid Map Somanga CCGT 250MW Power Plant Background Location Characteristics Process Timelines Project Features Future PPP Projects Conclusions

3 Introduction - Tanzania Population: Mil (2014 NBS est.) Population Growth: 2.5% Area : 945, 203 km 2 GDP: 998.1USD (World Bank, 2014) Electricity Demand Grown: 9% p.a (BRN, 2013) Electricity Consumption: 131 kwh/person (TANESCO, 2014)

4 Current Status - Generation OIL, 223.4MW, 19.7% HYDRO, MW, 45% GAS, 441MW, 35.3% Hydro Gas Oil Total Installed Capacity (Grid) MW Off-grid stations MW (largely Oil)

5 Current Status - Generation Installed Capacity By Fuel Type / Ownership 5.7% 14.0% 15.1% 45% 20.2% HYDRO-TANESCO GAS-TANESCO GAS-IPP LIQUID FUEL-TANESCO LIQUID FUEL-IPPs/EEP

6 Current Status - System The System: 50Hz, ±2.5%, Max. Demand: MW (Dec. 2014) Transmission: 400kV Under construction 220kV (2732.4km) 132kV (1538.5km) 66kV (546km) Distribution: 33kV (14,652km) 11kV (5507km) Customers: 1,501,162 (June, 2015)

7 Available Energy Resources S/NO ENERGY RESOURCE POTENTIAL 1 Gas 55Tcf 441MW 2 Hydro: Various sites 4.7GW 562MW 3 Geothermal: 58 sites 5,000MW None 4 Coal 1.9 billion tons None 5 Uranium Oxide 24,550 tons None 6 Wind: 7 sites Average wind speed 5 8m/s None 7 Biomass: wood fuel and agricultural waste 500MW 8 Solar: Several sites Average daily solar insolation 4.6/kWh/m 2 DEVELOPED TO POWER 35MW 9 Tidal Under study None About 4MW

8 Electricity Supply Industry Reforms Road Map Electricity Access rate: 38% (June, 2015) Connectivity level: 28.7% Av. (June, 2015) 8

9 Future Grid map by 2035

10 Somanga 250MW CCGT Power Plant

11 Background The project is earmarked in the national 2012 Power System Master Plan. It is planned to add 250MW in the national grid. The proposed power plant will utilize local natural gas from the Mtwara Dar es Salaam main pipeline.

12 Background In the spirit of efficient utilization of local energy resources, the proposed power plant will utilize a Combined Cycle Gas Turbine (CCGT) technology. The project was chosen to be a pilot project to be implemented under Public Private Partnership (PPP) arrangement. All preparatory works are financed by the World Bank.

13 Location The Pre-feasibility study has indicated that the proposed plant has to be relocated from Mkuranga area, Pwani District to Somanga, in Kilwa District. The Kilwa site is near to the sea, gas infrastructure, Dar Mtwara road and proposed substation.

14 Characteristics Plant Cooling Water will be sourced from the sea, with a once-through cooling method. The generated power will be evacuated through a 400kV substation to the proposed main 400kV Mtwara Kinyerezi Transmission line.

15 Intention Characteristics The project is planned to be implemented under PPP arrangement with an intention to: expedite project implementation; quality Improvement; access to new sources of private capital; and allocate risks to the party (private party) best able to manage the risk.

16 Process For the competitive process, prior to start of EPC implementation works will follow the following route.

17 Timelines ACTIVITY DURATION (Months) START END PFS 5 Oct Feb EOI (TA) 6 Feb Jul RFP (TA) 12 Aug Aug TRANSACTIONS (+ Financial Close) 18 Sept Feb EPC (Commissioning +COD ) 30 Mar Aug. 2019

18 Project Features Project Technology Capacity Source of Cooling Water Operation Location Status Implementation Green field CCGT 300MW Sea Water Base load Kilwa District (about 245km south of Dar) Under contracting of Transaction Advisor PPP Expected Commission date August 2019

19 Future PPP Power Projects Project Size Technology/Fuel Location Thermal Generation Projects Ngaka Coal Project 400MW Steam - Coal Mbinga Solar 50MW Solar PV (Shinyanga/Dodoma) Kinyerezi IV 430MW CCGT Dar es Salaam Hydro Generation Projects Rumakali 520MW Hydro Njombe Ruhudji 358MW Hydro Njombe

20 Conclusions 1. Tanzania has decided to develop IPP power projects using competitive methods 2. This is the first project to be developed in the competitive mode 3. Interested Investors are invited to participate in the process 4. More projects under way for Hydro, Coal, Gas, Solar, etc

21 Thank You for Listening!