EWIA will electrify 82 more villages in Cameroon

In April, EWIA took over SunErgy GmbH, whose subsidiary in Cameroon had already electrified the four villages of Kotto Up, Kotto Mission, Kotto Nachtigall, and Matouke (more on this here). A financing round is currently underway, aimed at revitalizing and upgrading the local PV systems (see here). However, SunErgy had previously signed a framework agreement with the Cameroonian government, which is of an entirely different scale and is now to be implemented by EWIA: 82 additional villages are to be electrified and become independent thanks to green, reliable, and affordable electricity. What needs to be considered in this process is explained here.

How does the selection process work?

In line with our commitment to truly making an impact, we focus on remote villages that would certainly not be supplied with electricity by government authorities within the next 20–30 years. We are talking about villages with at least 600 to 1,000 households on the outskirts of economic centers. They may also be located near companies, for example rubber or banana plantations, so that villagers can have a basic income. Furthermore, rapidly growing villages with economic activity are selected, featuring bars and restaurants or small businesses such as car repair shops. For such enterprises, sourcing PV power is far cheaper than using a diesel generator, which also smells and makes noise.

What criteria do you use to decide which villages will be electrified?

Basically, a certain minimum size is required in order for us to achieve economic viability. This is a simple calculation based on the expected demand. On average, a household consumes between 0.8 and 1.2 kWh per day. At present, we need a price of around 30 euro cents per kWh. In addition, we involve the residents in the one-time connection costs, in order to reliably assess both the commitment and the financial capacity of the households in advance.

When does the selection process start?

Africa works differently from Europe. The “jungle drums,” metaphorically speaking, work very well. On the one hand, we are constantly scouting our business area for additional potential villages. The selection is usually made through local networks. Most of the time, while we are building in one village, we are contacted by several other chiefs who are also interested in having their village connected to electricity.

How many villages are to be electrified per year under the agreement?

Next year we want to electrify at least one additional village per quarter. However, this should be scaled up. Our goal is to electrify as many of the 82 villages as possible within the next five years.

By when should the electrification be completed?

EWIA holds 82 additional licenses and we hope to make use of them in the coming years. It is important to note that most villages are still growing, which means the expansion and upgrading of the plants and mini-grids will also be necessary.

What investment volume would 82 village communities mean?

In any case, a significant investment volume. We estimate investments of around 400,000 euros per village. For 82 villages, that adds up to about 33 million euros.

Is Cameroon contributing to the investment costs?

No, our investments are financed by private investors, which our local subsidiary is very proud of. These are investments on equal footing, not charity.

Are there subsidies from Germany, the EU, the World Bank, or similar institutions?

No, not at the moment, although we are in the process of setting something great in motion. It is still a bit too early to talk about it. Stay tuned!

How much installed capacity would that be in total?

150 kWp per village, multiplied by 82, makes 12.3 MWp. On top of that, just as much installed battery capacity. However, we expect that the existing systems will need to be expanded further. Over the next 5 to 7 years, we are talking about a volume of 15 to 20 MWp plus storage.

Is this the largest off-grid solar project in the country or even in Africa?

It is certainly the most ambitious off-grid solar project in the country and possibly even one of the most ambitious in all of Africa financed entirely by private means for private households and businesses. If we implement this volume, we could indeed become the largest private off-grid electricity provider for private households.

How many additional employees do you plan to hire?

To manage 82 villages, we would indeed need to massively increase our staff. We can generally count on three to five workers per village, including security personnel and village managers (cashiers). The exact number depends on the structure of the villages, i.e., how many parts each village is divided into.