Sierra Leone - King Tom Power Station and Distribution Program Project

RESTRICTED Report No. TO-423a This report was prepared for use within the Bank and its affiliated organizations. They do not accept responsibility for its accuracy or completeness. The report may not be published nor may it be quoted as representing their views. INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT INTERNATIONAL DEVELOPMENT ASSOCIATION SIERRA LEONE ELECTRICITY CORPORATION APPRAISAL OF KING TOM POWER STATION AND DISTRIBUTION PROGRAM SIERRA LEONE July 15, 1964 Department of Technical Operations  CURRENCY EQUIVALENT EWA 1 = U.S. $2.80  SIERRA LIONE ELECTRICITY COHPORATION APPRAISAL OF KING TOH POU,ER STATION AlD DISTRIBUTION PROGRAii SIERRA LEONE TABLE OF CONTENTS Page No. SUNA,RY i I INTRODUCTION 1 II BACKGROUND 1 III THE ELECTRICITY DIVTSION 2 IV TlE SIERURA LEONE ELECTRICITY CORPORATION 3 V THE POWER MARKET 4 VI THE PROJECT 6 Estimated Cost 6 Status of Engineering 7 VII JUSTIF-'ICATION 8 VIII THE FITURE FX?ANSTON PROGRAH 8 IX FINANCIAL ASPECTS 9 Formation & Financial Structure of Electricity Corporation 10 Tariffs 12 Future Operating Results 12 Financial Plan 13 Future Financing Position 14 Accounting and Audit 15 X CONCLUSIONS 15  TADIE OF CONTENTS - 2 - ANNEXES 1. Generating Station Statistics - Freetown & the Provinces 2. Peak Load, Capability & Installation Schedule 3. Annual Energy Production 4. Description of Project 5. Cost Estimate 6. Estimated Cost of Power 7. Guma Valley Hydroelectric Project 8. Income State-nents 9. Source & Application of Funds 10. Balance Sheets Map  SIERRA LEONE ELJECTRICITY CORPORAT1ON APPRAISAL OF KING TOM POWER STATION AND DISTRTBUTION EPOGRAMi SUI111RY io This report covers the appraisal of a project of the Sierra Leone Electricity Corporation, comprising the construction of the King Tom diesel generating station in Freetown and expansion of the associated distribution facilities. A Bank loan of US $,3*8 million has been requested to cover the bulk of the foreign exchange cost of the project. Total cost of the project is estimated to be US $5 million, including interest during constructiono ii. The Borrower would be the Sierra Leone Electricity Corporation which will be an autonomous Government corporation and which has been organized to replace the Electricity Division of the Public Works Department. It would be the first loan made in Sierra Leone by the Banko iii. The King Tom station would comprise two 6.6 IMW units and wculd be built to accommodate the ultimate installation of a third generator0 The dis- tribution phase of the proJect comprises the conversion of some of the distr{- bution circuits from 3,300 volts to 11,000 volts and the addition of new dis- tribution substations, iv. The project is technically sound and is necessary to meet the in- creas