TRANSCO CLSG, A GLANCE AT THE ENERGY SECTOR.
By Ahmed Fonike.
In 1982, the Heads of States of the Economic Community of West African States (ECOWAS) agreed to put in place a regional energy policy in order to promote a regional energy market and to optimize resources in West Africa. Subsequently, in 1999 the West African Power Pool (WAPP) was created and its Master Plan was put in place in 2000 with a view to provide electrical energy at competitive and affordable prices in the West Africa region to ensure social and economic development.
Within its Master Plan, WAPP planned to accelerate several regional interconnection line projects including a transmission line to interconnect the States of Côte d’Ivoire, Liberia, Sierra Leone and Guinée (CLSG). The CLSG Project is a multinational investment operation and is financed by 4 donors namely, the World Bank, the European Investment Bank (EIB), the KfW and the African Development Bank (AfDB). The four beneficiary countries have provided counterpart contributions for the payments of Resettlement Action Plans (RAP) and Interest accrued during construction (IDC).
In 2012, therefore, a Treaty was signed by the Heads of State of the CLSG countries to establish a Special Purpose Company called ‘TRANSCO CLSG’ which stands for Transmission Company Côte d’Ivoire, Liberia, Sierra Leone and Guinée.
The objective of the supranational company is to implement the project, specifically to finance, construct, operate, maintain, own and develop the Interconnection Line among the Member States.
Energy is the foundation and engine for many income generating activities that could bring changes in Liberia, Sierra Leone, Guinea and Cote d'Ivoire.
Following the signature of the International Treaty governing the CLSG Project, the General Secretariat of WAPP in compliance with its prerogatives as Secretariat of the Treaty initiated the process of establishing the governance bodies of the project as outlined in the Treaty.
TRANSCO CLSG has launched the National Committee activities in Sierra Leone for the implementation of the ESMP and RAP.
Overall Goal and Objectives.
T & D Network.
Ensure an unimpeded transit of low cost electricity supply in the CLSG countries through a level playing field mechanism between sellers and buyers, supported by appropriate infrastructure. As part of meeting this overall goal, we have several objectives:
To construct the 1,349 km of 225kV double circuit overhead transmission line and 11 substations interconnecting the CLSG countries within 3 years.
To facilitate the trading of stable and reliable electricity in an effective and efficient manner thereby creating value for the key players in the electricity value chain; reducing the cost and increasing the supply and reliability of electricity for buyers and increasing the export capacity of Cote D’Ivoire by 2018.
To ensure and maintain the commercial viability of the company: generating adequate returns on investment for our shareholders, and meeting our debt obligations as they fall due, both as a commercial enterprise and as a development project within 10 years.
Our Operating Principles
The way we conduct our affairs is governed by our Operating principles and our core values are the foundation of these principles. Our Operating principles are centered on four fundamental points:
1. Reliability of service - Bringing electricity to the people of the CLSG countries, in a stable and cost-effective way to ensure people can grow to rely on the power system.
2. Economic viability and sustainability – while we believe that ensuring profitability is the bedrock for ensuring commercial viability, we are also constantly looking out for innovative ways to improve our services and reduce the overall cost of electricity for the people of CLSG countries.
3. Good business practice and integrity – we firmly believe in maintaining professionalism, fair treatment, honesty, avoidance of conflicts of interest and solicitation, and being a model for business performance within the region.4. Continuous dialog and communication – At TRANSCO CLSG, we believe in regular dialog and continuous engagement with our stakeholders. We are also committed to providing relevant and useful information that enhance decision making for all stakeholders, bearing in mind our duty to uphold confidentiality at all times.