AXIAN Group, the International Finance Corporation (IFC) and Proparco have signed financing agreements worth EUR 30 million for the development of the IPP50 solar power project in Benin. The Benin solar project will involve the construction and operation of four photovoltaic power plants with a combined capacity of 62 MWp across Natitingou, Djougou, Parakou and Bohicon.
The financing package, jointly provided by IFC and Proparco, will also include resources mobilised by IFC from the Clean Technology Fund (CTF). With total project costs estimated at EUR 45 million, the funding will support the construction and long-term operation of the four facilities.
Once operational, the plants are expected to generate approximately 110 GWh of renewable electricity annually. The project is also expected to provide clean electricity to around 383,000 people and avoid approximately 62,000 tonnes of carbon dioxide emissions each year.
Four Solar Plants to Expand Benin’s Domestic Generation
IPP50 is expected to increase Benin’s domestic electricity production by around 17% over the 2028–2035 period, according to project estimates. The additional generation capacity is intended to help reduce the country’s dependence on imported electricity while expanding the contribution of renewable energy to its power supply.
The project represents Benin’s first independent power producer (IPP) solar development. It is structured as a public-private partnership under concession agreements granted by the Government of Benin, providing a framework for private investment in the country’s electricity infrastructure.
Electricity generated by the four plants will be sold to Société béninoise de production d’électricité (SBPE) under long-term power purchase agreements. The facilities will operate under 20-year concessions, with commercial operations scheduled to begin in the first quarter of 2028.
Financing Supports Private Investment in Renewable Energy
The EUR 30 million financing package is expected to help mobilise long-term capital for the Benin solar project, bringing together international development finance institutions and local investment partners.
Benjamin Memmi, CEO of AXIAN Group’s Energy division, said the financial close represents an important milestone for the company and Benin’s energy sector. He highlighted the role of partnerships with international financing institutions and local investors in developing infrastructure that supports communities and economic growth. He also noted AXIAN’s partnership with Sika Capital, an investment vehicle jointly owned by CDC Bénin and Egnon Consulting.
IFC and Proparco said their participation would help mobilise long-term capital, strengthen electricity supply and support Benin’s energy security. Representatives of the financing institutions also highlighted the role of concessional funding in reducing project risks and encouraging private investment in renewable energy.
CDC Bénin said its participation through Sika Capital reflects its commitment to mobilising long-term investment for strategic infrastructure and strengthening the country’s energy independence.
Project Aligns With Benin’s Electricity Access Targets
IPP50 also supports Benin’s National Energy Compact, which targets electricity access for approximately 928,000 additional households by 2030. The country aims to achieve a national electrification rate of at least 70% and increase renewable energy’s share to 30% of its electricity generation mix.
The development also contributes to Mission 300, a joint initiative of the World Bank Group and the African Development Bank aimed at connecting 300 million people across Africa to electricity by 2030.
With four plants planned across the country, IPP50 is expected to expand domestic renewable generation and support Benin’s efforts to improve electricity access and diversify its power supply. The first-quarter 2028 commercial operation target will mark the next major milestone in the project’s development.