Yaoundé - 19 October 2019 -

Construction of 75 MW Bini dam has not started yet despite the energy minister’s previous assurance

Construction of 75 MW Bini dam has not started yet despite the energy minister’s previous assurance
  • Comments   -   Friday, 04 October 2019 16:27

(Business in Cameroon) - The minister of water and energy’s visit, in February 2019, to the Bini 75 MW dam’s construction site, in Adamaoua, changed nothing about the static situation. That month, the minister, Gaston Eloundou Essomba (photo), visited the site to assure Adamaoua residents of the imminent launch of the construction of this infrastructure, which is the only structuring project initiated for the three northern regions in Cameroon.  

Eight months after this visit, residents are once again desperate since the production capacities of the aging Lagdo dam has been slashed by half due to sand encroached in its reservoirs.

The first reason for Bini dam’s construction failure, entrusted to Sinohydro, is financial. Indeed, credible sources reveal, to date, Cameroon has not yet paid the remaining XAF4 billion insurance charges (XAF13 billion overall) that should be paid before Eximbank China provides the loan for this project.  

Next, the government is not yet set on the various taxes to be applied for the agreement with Sinohydro, which has been exonerated of all taxes.

Finally, there is the crucial point of compensations to be paid to residents of plots that should host the dam. There is not yet a definitive solution to this question, because of cash flow problems, probably.


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