Transaction Advisory Services and Updating the Studies for the Development of the Lower Songwe Dam, Hydropower Plant and Transmission Lines Project

The MCDF grant is helping to prepare a sustainable dam, hydropower plant, and transmission line project in the lower Songwe River basin, in Malawi and Tanzania. The project will provide 180.2 megawatts of renewable hydropower and integrate national grids through 132-kilovolt (kV) and 400kV transmission lines. A flagship infrastructure development under the Southern African Development Community Regional Infrastructure Development Master Plan, the project will help address power shortages affecting millions of people in Malawi, Tanzania, and neighboring countries while promoting inclusive growth, poverty reduction, flood mitigation, and irrigation.

The grant is funding the updating of technical feasibility studies and an environmental and social impact assessment. It also is supporting transaction advisory services to enable the structuring of a bankable public-private partnership model.

The MCDF grant is facilitating project preparation in line with International Financial Institution standards. The underlying investment aims to strengthen cross-border power trade under the Southern African Power Pool.