Madagascar launches tender for 210MW solar plant project

The government of Madagascar has launched an invitation tender construction of solar photovoltaic power plants, with a combined capacity of 210 MW.

The launch of these tenders represents a significant opportunity for companies experienced in renewable energy to contribute to Madagascar’s energy transition and help improve electricity access for its citizens.

The project will involve construction of two plants. The larger solar power plant, with a capacity of 200 MW, will be situated in Ihazolava, in the rural council of Ambohipihaonana, in the south-eastern part of the Vakinankaratra region. The second tender is for the construction of a 10 MWp solar photovoltaic power plant near Mahajanga, a port city on Madagascar’s north-west coast and the capital of the Boeny region.

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Financial capacity

The Madagascan Ministry of Energy and Hydrocarbons is placing emphasis on the “financial capacity and successful experience in raising finance” for interested companies applying for these tenders. Companies have until 9 August 2023 to submit their applications.

The primary goal of this initiative is to speed up electrification and increase the island’s installed capacity, as currently, Madagascar has an installed capacity of 969 MW, with 78% of it generated from fossil fuels. By investing in solar power plants, the government aims to reduce its reliance on fossil fuels and increase the proportion of electricity generated from renewable sources. As of now, only 2% of electricity is produced from photovoltaic solar energy in Madagascar.

Madagascar faces challenges in electricity access, with 75% of the population lacking this essential service. Load shedding is common for households connected to the national grid, hindering economic activities. The government aims to address these issues by gradually reducing power cuts through the commissioning of new renewable energy plants, such as the Sahokifa hydroelectric scheme, expected to have an installed capacity of 205 MW by 2024.