AfDB Funds Chad’s Solar Power Project with €28m

By Faridat Salifu

Chad is taking significant strides toward expanding its renewable energy infrastructure with the backing of the African Development Bank (AfDB), which has approved €28 million in funding for a new solar project.

Part of the bank’s ambitious Desert to Power initiative, this investment aims to provide a sustainable solution to the country’s ongoing energy challenges, which have long been hampered by a heavy reliance on fossil fuels.

The project, which will see the construction of two solar power plants in Gassi and Lamadji, just outside N’Djamena, is a key component of Chad’s energy transition strategy.

Once operational, these plants will generate 30 megawatts of clean electricity, which will help increase the country’s energy supply by 20 percent and significantly reduce its carbon footprint.

The project will also feature critical infrastructure, including power stations, connection lines, and a 6-megawatt-hour battery storage system to ensure a reliable energy supply even when the sun isn’t shining.

In total, the project will cost an estimated €41 million, with the AfDB’s contribution of €28 million coming from a combination of €20 million in direct support (in the form of a loan and grant) and €8 million in financial guarantees.

These guarantees are split equally between the African Development Fund and the Green Climate Fund, underscoring the strong international support for Chad’s clean energy transition.

The AfDB’s commitment to this project is a reflection of its broader goals under the Desert to Power programme, which aims to provide 250 gigawatts of solar power across the Sahel region by 2030.

“This project underscores Chad’s strong commitment to renewable energy and reinforces the Bank’s continued support for transformative, clean energy projects across Africa,” said Kevin Kariuki, AfDB Vice President for Power, Energy, Climate, and Green Growth.

The solar plants are expected to generate 61 gigawatt-hours of clean electricity annually, helping to close Chad’s energy deficit while reducing carbon dioxide emissions by 49,000 tons each year.

This contribution is a crucial step toward Chad meeting its climate commitments under the Paris Agreement and promoting sustainable, inclusive economic growth.

In addition to the environmental and economic benefits, the project will create 200 jobs during its construction phase, with special attention to providing opportunities for women and youth.

It is also expected to generate 34 permanent jobs once the plants are operational, contributing to the local economy and the national treasury through taxes.

The shift to renewable energy will reduce Chad’s dependence on imported fuel, helping to improve its balance of payments and reduce costly fuel subsidies.

As part of the Bank’s New Deal on Energy for Africa and its Ten-Year Strategy, the Gassi and Lamadji Solar PV project demonstrates the transformative potential of renewable energy for Africa.

By investing in projects like this, the African Development Bank is not only helping Chad achieve its energy and climate goals but also fostering broader regional economic development.