Investment in an hydroelectric dam project



The challenges

This hydroelectric dam project in Cameroon is an answer to the country’s growing energy demands with a sustainable, low-carbon solution and a highly competitive cost of electricity.
The project is directly linked to STOA’s goals and missions in Africa:

•    Ensuring the advancement of sustainable development in emerging countries
•    Supporting these countries in their energy and environmental transition
•    Improving the standard of living of local populations 
•    Encouraging economic growth

The project

Along with EDF, the Cameroon government, IFC and Africa50, STOA has acquired a 10% stake (share capital and shareholder's loans) in the Nachtigal Hydro Power Company (“NHPC”). The Nachtigal project consists of designing, building and operating a dam and a 420 MW hydroelectric plant over a period of 35 years on the Sanaga River at Nachtigal Falls, located 65km northeast of Yaoundé. The dam will start operations in 2023. The construction of a 50km power transmission line to Nyom is also planned.

This initiative earned the prize of the world’s best project in the field of structuring and financing, an award given by the Project Finance International magazine, edited by Thomson Reuters.


Expected results

•    Attain an installed capacity of 420 MW by 2023, and contribute to reducing CO2 emissions.
•    Produce 30% of the country’s electricity needs
•    Significantly lower average electricity costs

years of production