Africa50, Colas, Jovena and SN Power have signed an agreement that will see them work together to develop the 120MW Volobe hydropower plant on the Ivondro river in Madagascar.

The firms have agreed to acquire equity in Compagnie Générale d’Hydroélectricité de Volobe (CGHV), the project manager, with the shareholding split as follows: Jovena (40%), Africa50 (25%), SN Power (25%) and Colas (10%).

Jovena, a leading local industrial player, will provide institutional support while Africa50, the pan-African infrastructure investment platform, will bring its project development and finance expertise on board; SN Power will offer its technical and operational know-how; and Colas, its expertise as a major infrastructure construction company operating in Madagascar.

Considered as a priority in Madagascar’s national development program, Volobe seeks to provide reliable and affordable access to electricity for over two million Malagasy, thereby contributing to the country’s transition towards renewable energy. The project involves construction of the plant and associated infrastructure, including a transmission line, access roads and infrastructure for the neighbouring villages. It will be operated under a 35-year concession and is expected to create up to 1000 direct jobs during construction.

Commissioning of the project is expected by 2023.