Angola Integrated Plan for Fostering PPP in the Electricity Sector

CONTEXT

The national electricity sector of Angola faced a number of major challenges aimed at decisively changing the paradigm that has characterized the sector in the last decade.

First, there was the challenge of implementing the ambitious investment programs in the different business segments, including both the investments identified in the 2013-2017 Action Plan and those resulting from the ANGOLA ENERGIA 2025 Vision.

The implementation of this investment plan lead to a structural change in the dynamics and economy of the electricity sector, balancing demand and supply of energy and drastically reducing average costs.

Therefore this project has arisen in the need of resources capture (human, technical and finance) in order to assure the implementation of the investment project and also to improve the know-how towards the improvement of the economic efficiency of the sector.

OBJECTIVES

The “Angola Integrated Plan for Fostering PPP in the Electricity Sector” project, consisted of financial, technical and juridical consultancy services to be supplied to MINEA (Angola Ministry of Energy and Water) by BPI, GESTO and Miranda Law Firm, bringing together, in a single operational document, the vast set of measures and projects that the Angolan State intends to materialize in partnership with the private sector, as well as auxiliary measures require to achieve this objective.

DESCRIPTION

The “Angola Integrated Plan for Fostering PPP in the Electricity Sector” included the following activities:

• Enabling measures – comprehensive survey of all measures to be carried out and which are related to creation of conditions for the establishment of partnerships with the private sector;
• Individual projects – analysis of all production projects in relation to which there is the intention to implement by means of partnerships with the private sector, and the dimension of which requires that the launching be carried out separately;
• Combined projects – identification of production/distribution projects to be launched through partnerships with the private sector, the dimension of which requires that they be launched as a group;
• Program Implementation – listing and characterization of enabling measures, listing and characterization of projects to be implemented as PPPs / or under the PPP format, approximate implementation time schedule and analysis of budget viability.

SUMMARY OF SERVICES

• Analysis of the private sector role in Angola’s energy sector
• Benchmark of PPPs in the energy sector (success stories)
• Structuring possible partnerships and elaboration of an implementation strategy, including financial and legal matters