Economic Rationale / Business Model:
The proposed Project will be installed on a 46 km length and 10 km wide of land on lease for a period of 50 years, and liable to be renewed/extended for another period of 50 years upon favorable condition.
Project Potential Risks:
Our Country like many other countries in Africa, is endowed with renewable energy resources ranging from solar, wind, waterfalls, and excellent potential for Biogas production. These energy sources are greatly underutilized or mostly not tapped into as yet. The wind energy potential has never been exploited in this Country. Wind movement (flows) is appreciable all over the Country with higher speed (flow) in most parts. With all these energy potential, yet our Country does not meet the total energy requirement for it citizenry. Subsequent governments have failed the citizens in providing energy for both domestic and industrial needs, even for the urban cities let alone for the rural communities. The Country depends wholly and solely on thermal generating power plants for electricity, which uses fusel fuel (a petroleum product). The cost of fuel, spear parts, and maintenance always eat deep into the budget of the national economy. These constraints have made past governments fail to meet their obligation in meeting energy requirements to the people.
As of now, our Country has not started petroleum production, even though there are rumors of potential oil production soon. For rural communities and many urban homes, they depend more on fuelwood or its product (charcoal) for their energy requirement for cooking and heating their homes. The heavy dependency on this biomass has put pressure on the biodiversity and environmental management of the Country.
Exploiting the wind energy potential will be a very big gain and profit to the individual, company, and the Country as a whole. Apart from the initial cost of installation, the maintenance and running cost will be minimal on the company and the government with high profit. It will also provide clean and sustainable energy for the Country. The company will also put in place a sound cooperate social responsibility and sustainable environmental management plan that will fit into national and international standards. However, both international, national and local development policy support the appropriate development of wind energy as one of the main sources of renewable energy which are clean and environmentally friendly. The transmission and distribution networks in Sierra Leone to deliver power to only a small portion of the Country are in poor condition due to lack of maintenance and having suffered from extensive damage during the civil war. Currently, the main transmission network consists of a 161kv overhead line from Bumbuna to Freetown with a power-carrying capacity of 70MW and a heavily constrained distribution network in the capital city, Freetown, capable of handling 35MW. According to recent documentation from the Africa Infrastructure Country Diagnostic (AICD). The Country's current generation capacity is extremely limited, with approximately 100MW of power available to the network. However, it is understood that the government is actively investigating the use of Renewable Energy systems to resolve the energy shortage in the Country.