CASE STUDY

SENERGY AND TEN MERINA SOCIAL SUPPORT PROGRAM

BEST FOR… • Positive engagement with local community stakeholder • Partnering with local community groups to embed sustainable economic and social initiatives PROVIDING ELECTRICITY TO MORE THAN 440,000 PEOPLE IN . • Reducing carbon emissions and increasing access 68,000 TONNES OF CO2 PER YEAR OF EMISSIONS AVOIDED. to green electricity

97.7% INCREASE IN POSTNATAL AND ANTENATAL CONSULTATIONS IN ONE OF THE HEALTH CENTRES THAT RECEIVED SUPPORT FROM THE PROGRAMME.

300,000 EUROS INVESTED IN AGRICULTURAL PROGRAMMES.

900 WOMEN CURRENTLY BEING FUNDED THROUGH SENERGY PV SA’S SUPPORT PROGRAM.

300 YOUNG PEOPLE EMPLOYED ON THE SITE DURING CONSTRUCTION. DEVELOPMENT OF A COMMUNITY SUPPORT PROGRAMME: EMPOWERING THOSE WITHIN THE IMPACTED AREA

As a long-term investor, an infrastructure in our community communities. We then discussed that would have a direct impact on with the local people to understand Meridiam is contributing the entire territory of Senegal. In their development priorities with the to Senegal’s objectives addition to financial compensation, cooperation of the town halls and a livelihood restoration plan has the administrative authorities. Cheikh and plans to diversify their been implemented by the project Jeylani Diop, CEO of the Project energy mix. In addition, company” said the Mayor of the Companies. Municipality of Merana Dakhar, Mr. Close consultation with the maintaining social cohesion Aymérou Gningue. neighbouring populations of the through the implementation The current Senegalese legislation solar power plants, the municipalities includes an expropriation procedure of Méouane, Mérina Dakhar and of a community support under which the state can assign land the relevant technical services, has programme has become an to a public utility project with fair and resulted in the design of a series of prior compensation. As part of the solar priority activities for the restoration underlying mission of the power plant construction and operation, of livelihoods. A committee to project. the total amount of compensation for monitor the activities of the solar landowners amounted to 734,000 power plants and the commitments The construction of photovoltaic solar euros. However, through the application of the project companies ensures power plants in Santhiou Mékhé and of the Performance Standards 1 the implementation of these actions Mbouky confirmed the commitment and 5 of the International Finance in coordination with the relevant of the project companies (SPV) Corporation, a wider compensatory stakeholders. to their concrete ambitions for development programme for the Mr. Massamba Gueye, Chairman of the sustainable development. Meridiam’s affected communities has also been Monitoring Committee of Senergy involvement in the financing of implemented.(1) PV SA explains: “Our organization Senegalese public infrastructure This support programme was was born from the first discussions projects has proved crucial to the developed in the settlement area on the installation of the solar power socio-economic development of through a participatory and inclusive plant. We felt it necessary to form a the area impacted. approach. structure representing all populations “A project is only accepted by the “The baseline established following that would serve as an interface people when they take ownership of the household survey identifiedbetween the project and the affected it. It was a great opportunity to create the ecosystem of the affectedcommunities. In addition, a grievance

(1)IFC Performance Standards are: -Performance Standard 1 – Assessment and Management of Environmental and Social Risks and Impacts -Performance Standard 2 – Labour and Working Conditions -Performance Standard 3 – Resource Effieciency and Pollution Prevention P.2 -Performance Standard 4 – Community Health, Safety and Security -Performance Standard 5 – Land Acquisition and Involntary Resettlement mechanism process provides were active in other low-income a communication channel for economic areas such as trade.” those affected by the project, Gora Diakhaté, President of the TECHNICAL OVERVIEW allowing their expectations to 33 PAP GIE (Project Affected OF SOLAR be taken into account and the People Economic Interest Group) accompanying programme to be at the Mbouky solar power plant. POWER PLANTS adjusted following feedback. The installation of market The installation of the gardening perimeters was photovoltaic solar power plants therefore at the heart of the in Santhiou Mékhé and Mbouky programme to support the necessitated the acquisition of financial empowerment of sites with an area of 82 ha and 64 the affected communities. By hectares respectively. Farmland moving from a subsistence was previously made up of rain- system to a trading system, fed fields operated by several intensive agriculture becomes generations of market gardeners. compatible with the objectives “Senegalese agriculture is of the project and the economic dominated by family-type farms ambitions of producers. that occupy about 95% of the Diagnostic studies prior to the country’s agricultural land” implementation of this activity The solar power plants located in the (Hathie and Ba, 2014, 200). showed that yields obtained municipalities of Méouane and Mérina Despite agriculture’s heavy with 0.1 ha of irrigated land are Dakhar (Tivavouane, Thiès) have been reliance on rainfall, data collected often higher than yields on a 1 ha in operation since 2017 and each at the Tivavouane weather rainfall area. have a production capacity of 29.5 station indicated that the annual For example, Senergy PV SA has MW. With an estimated annual joint precipitation cycle observed in made a 14-hectare agricultural production of 100 GWH, Meridiam the study area was characterized field at Santhiou Mékhé available by a long dry season of more to the 66 PAPs of the solar power has made a major contribution to than nine months. plant. The eleven landowners achieving the goal of universal access “Before the plant was built, we affected were compensated by to electricity and diversification of the were in seasonal agriculture. At the project company, who also Senegalese energy mix. the end of the rainy season, we included them in the income The solar power plants are each equipped with 92,000 photovoltaic modules and 12 inverters of 2 MVA. They cover a total area of 137 hectares and avoid the emissions of more than 68,000 tonnes of CO2 per year. Meridiam Infrastructure Africa Fund and Senegal’s Sovereign Fund for Strategic Investments (FONSIS) have established, as majority investors, the project companies Senergy PV SA and Ten Merina Ndakhar SA for the implementation, construction and operation of the Santhiou Mékhé and Mbouky solar power plants. The Senegal National Electricity Corporation (Senelec) as a sole buyer has a proven financial strength and experience in managing public-private partnerships for long-term investors. Project companies have a 25-year purchase contract that will provide electricity to more than 440,000 people in Senegal.

P.3 loss compensation program. In SA required an estimated overall “The basic objective of our addition, Ten Merina Ndakhar budget of 303,000 euros. community contribution was not SA has developed a 10 ha The diversification of two to place people in permanent agricultural area derived from agricultural campaigns has assistance, but rather to empower the 82 hectares repurposed for resulted in the affected farmers them through technical and financial the Mbouky solar power plant. being able to market garden support and the development of a Similarly, a hydrogeological study products such as tomato, okra, capacity-building programme, so was conducted to determine the chilli, onion, eggplant and that they could take ownership of location of the most productive peanuts. the social investments made by the boreholes used to supply water to Similarly, there has been a project companies,” says Mr Cheikh the micro-irrigation system of the significant increase in theJeylani Diop. market garden perimeters. participation of affectedAccording to a social and The PAPs also received capacity- communities in the activities of anthropological study, it was concluded building training in agricultural the market garden since the first that women and young people would techniques and organizational year of operation. Their strong be considered vulnerable social groups financial management for presence at thematic meetings as a result of the chosen solar power seven months. Community and committees stimulates their plant location. empowerment and self-reliance involvement in decision-making, Senergy PV SA and Ten Merina remain Meridiam’s primary and their ownership of this part of Ndakhar SA have therefore introduced objective in this livelihood the programme. a programme to finance groups restoration program. The installation of solar power through the development of a credit As a result, the project companies plants has contributed to the line. have been working with their creation of new economic The establishment of a collaboration consultant E-S OSIEC SAS to opportunities. This goal has been with the local mutual savings and implement the activities of achieved on the one hand through credit agency, MEC Fadec Kajoor has the functional market garden a long-term partnership with the made it possible to facilitate access perimeters since 2019. In addition, Operational and Maintenance team to financing the income-generating an agricultural engineer monitors and, on the other hand, through the activities of small businesses and manages the farm. Working awarding of the land for PAP sites. through microcredits/loans with a capital is also made available to As a result, the total turnover of EIG very low interest rate. The support the Economic Interest Group for reached 35,000 euros in November programme is implemented by the the purpose of achieving financial 2020. project companies in two phases autonomy and transferring according to the needs of the exclusive management to PAPs. The financial empowerment of targeted vulnerable groups. The implementation of this vulnerable social groups in the area is “Prior to the financing of micro- agricultural activity by Senergy central to the plan to ensure the long- credits, local women had a PV SA and Ten Merina Ndakhar term success of the project companies. reputation for being economically

LOCAL EMPLOYMENT AND ADDITIONAL SUPPORT

The local economy of the project area affected has been boosted by the project. In addition to the positive benefits of the support programme, the increase in the annual budget of Méouane and Mérina Dakhar resulting from taxes paid by companies has led to the realization of the objectives of the Local Development Plan of the two municipalities. Similarly, one of the initiatives of the MOUs is the prioritization of local employment in the implementation of solar power plant activities. During the construction phase, the majority of the labour came from the surrounding villages. More than 300 young people were employed on the site, which subsequently reinforced the ownership of the project in the area. CSR policies have provided additional support to the area since the establishment of solar power plants with the periodic distribution of basic necessities, the strengthening of the education system (provision of school supplies and school repairs) and the electrification of surrounding villages.

P.4 active despite the difficulty of financial capacity and access to helped to determine the exact the economic conditions and raw materials for their economic need for reform and development realities of the area,” said Ms. Binta activities. Indeed, the average half- of the health map. Diakhaté, the representative of the yearly growth rate of savings for The inventory of health facilities in women’s groups in the villages women’s groups in both localities the Commune of Méouane shows impacted by the Mbouky solar is 8% for Senergy PV SA and 5% the existence of six health posts power plant. Indeed, they showed for Ten Merina Ndakhar SA. and four health boxes authorized social cohesion and firm experience The second phase of the project to address reproductive medicine. in diversifying their income- companies support programme However, the quality of paediatric generating activities. will be to fund young people from and obstetric care remains an In the first phase of theaffected communities. Training in obstacle to the socio-economic implementation of the funding financial management and access development of the area. program, Meridiam partnered with to credit began in November 2020. The commitments made by Empow’Her, a non-governmental Senergy PV SA to those affected organization focused on gender Strengthening the health system by the project in the July 2015 equality through economic of the Santhiou Mékhé and Memorandum of Understanding empowerment from women’s Mbouky solar power plant are ensured that construction of the entrepreneurship. Women in also a priority area of community Mekhé Village maternity hospital the communities affected by the contribution for the project would begin during the first five projects received training adapted companies. years of operation of the Santhiou to the socio-economic context for “Infant mortality and pregnancy- Mékhé solar power plant. However, seven months. They have been related complications are a in its participatory approach and introduced to basic tools in financial significant problem in the area. the inclusion of neighbouring and organizational management Before the construction of the communities in the development, while becoming aware of the maternity ward and the Mekhé Senergy PV SA was able to benefits of saving and investing. Village health post, the nearest An initial endowment of 15,000 health centre was more than seven euros has been made available kilometres away. As a result, the to the six groups in the support majority of women gave birth at programme. Semi-annual funding home.” said Ms. Yvonne Dione, the was disbursed for a total amount of Chief Nurse of Mekhé Village Post 6,7000 euros for the beneficiaries. Office. In addition, more than 900 women Infant and maternal mortality in are currently being funded through Senegal is even higher in rural areas, Senergy PV SA’s support program. with rates of 9 and 459 deaths per A collaboration between Mérina 100,000 live births respectively Dakhar Town Hall and Ten Merina (ANSD, 2014). Funding for the Ndakhar SA was established during construction of two maternity the implementation of this project. units in the municipalities of A guarantee fund of 15,000 euros, Mérina Dakhar and Méouane deposited with the mutual by each during the operation of solar party, allows more than 200 local power plants was at the heart women to benefit from the funding. of Meridiam’s health autonomy Since the beginning of this activity, support programme in the locality. 29,000 euros have been disbursed. Close collaboration with the Thiès The financing of these groups has Medical Region and the town significantly increased women’s halls of the two municipalities has

P.5 REPLICATING THE PROGRAMME ON OTHER SCALING SOLAR PROJECTS Each infrastructure project funded by Meridiam is backed by a programme to support communities in the area of influence. Taking into account the local social and environmental context and applying the right type of interventions are of paramount importance in the development of community initiatives. deliver the maternity hospital The number of births has well within the five year period. increased by 71.3% since the The maternity hospital in inauguration of the maternity Mékhé Village, inaugurated hospital in Mérina Dakhar. in October 2019, has a direct Similarly, a 97.7% increase impact on thirteen villages in the in postnatal and antenatal Municipality of Méouane. consultations was recorded by A substantial increase in the Health Station. reproductive medicine services “Beyond the locality, women provided by the Mékhé Village come to us from all over the health post was observed at place, within a 15 km radius As part of Meridiam’s second the end of the first year of because of the quality of care,” investment project in Senegal’s operation of the annex building. says Ms. Adji Mbayangue Sambe, electrical empowerment, a A 34.6% increase in the number the midwife at The Motherhood Resettlement Action Plan (RAP) of antenatal and postnatal of Mérina Dakhar. has been developed for the benefit consultations is recorded at the The involvement of of neighbouring communities. The Mékhé Village health post. This affected communities in the 56 PAPs of the 25 MWc and 35 statistic has increased from 234 development of the support MWc photovoltaic solar power consultations in 2018-2019 to programme is the key to the plants in Kael (Diourbel) and 315 consultations in 2019-20. success of the initiative. “Despite Kahone (Kaolack) will benefit from Similarly, the number of births the loss of our generational land an accompanying programme reached 145 during this period, holdings, we rejoice in the impact adapted to the conditions of their an increase of 19.8%. of building this solar power localities. The Mérina Dakhar Health Post plant across the country. The In an inclusive approach, the RAP is located at the centre of 60 approach taken by the project was developed in consultation with villages making it the busiest company is commendable and beneficiaries and local authorities. health infrastructure in the Mekhé we remain willing to support it The support programmes Health District. The construction in its activities that contribute to identified (farms, livestock, credit of the maternity ward in 2018 national development. Mr. Pape mutuals, etc.) will be carried out allowed Ten Merina Ndakhar SA Diop, the representative of the using the same approach, notably to participate in improving the young people impacted by the through the empowerment of host reproductive health of the area. Senergy PV SA project.” communities, in addition to the ongoing support of administrative and local authorities.

PARIS • NEW YORK • TORONTO • • • DAKAR • ADDIS ABABA • VIENNA • AMMAN Company the Project by provided All images are Ndiaye Papa Layepro, - © OSIEC SAS,

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