Madagascar Signs MOU for 120 MW Volobe Amont Hydro Plant

Madagascar's government and Compagnie générale d'hydroélectricité de Volobe (CGHV) signed a memorandum of intent to build the Volobe Amont hydroelectric plant. The facility will sit on the Ivondro River in the Atsinanana region. Projected capacity exceeds 120 MW, though financing remains unresolved before construction can begin.

Photo: Pravda.Ru by Sergey Vyugin is licensed under All rights reserved

Small HPP on a stormy mountain river among a dense forest

Energy Minister Radonirina Lucas Rabearimanga and CGHV head Rémi Hubert signed the document. France's ambassador Arnault Guilhaume and the head of the EU mission, Roland Kobia, attended the signing. The European Union, the European Investment Bank, and the World Bank are listed as project partners. The EU pledged 212 million euros, equivalent to over one trillion ariary. These funds will cover both the power station and the transmission lines needed to integrate the new capacity into the national grid.

Once operational, 60 MW will supply the port of Toamasina. The remaining 60 MW will feed the unified Antananarivo grid via the PRIRTEM I line. Developers estimate annual generation at roughly 750 GWh. Official capacity figures have shifted over time, moving from a flat 120 MW to the current "over 120 MW."

Madagascar's economy depends on turning these projections into reliable service. Additional generation could ease electricity shortages for businesses and residents, but the project is still in the financial approval stage. This is not the first step in the process: CGHV was established in 2016, and its shareholders-Africa50, Colas, Jovena, and SN Power-signed their agreement in 2019.

The legal framework took shape in May 2023 when the state and CGHV concluded a power purchase agreement and a concession contract. The operating term under this deal is 25 years, starting from the date the station enters commercial operation.