Mali Approves Major Power Project to Strengthen Bamako Grid

Electricity demand is increasing by around 10 percent each year, while generation capacity remains limited and heavily dependent on thermal power.

Mali's National Transitional Council has unanimously approved legislation authorising the ratification of loan agreements with the African Development Bank Group for the Bamako North 225 kV Loop Project. The decision clears the way for the implementation of the US$190 million project, which is designed to improve the reliability and security of electricity supply in Bamako and nearby communities.

The project will modernise the capital's electricity transmission and distribution network, connect around 10,000 new households and small businesses to the national grid, and improve power quality for approximately 40 industrial facilities.

International financing supports energy expansion

The African Development Fund, the concessional financing arm of the African Development Bank Group, is providing a loan of US$35.27 million, while the Bank's Transition Support Facility is contributing US$18.99 million. Additional financing includes a US$5 million loan and a US$6.8 million grant from the Climate Investment Funds, together with a US$2.2 million grant from the Green Climate Fund.

These contributions total US$68.26 million, covering just over 36 percent of the project's cost. The remaining financing is being provided by the West African Development Bank, the Islamic Development Bank, and the Government of Mali.

Speaking during the parliamentary session, Minister of Energy and Water Tiémoko Traoré said the investment would significantly reduce the electricity supply challenges faced by residents of Bamako and neighbouring towns.

Project aims to improve access and support economic growth

Mali continues to face growing pressure on its electricity sector. In 2023, national electricity access stood at 55.8 percent, with urban access reaching 86.6 per cent compared with only 30.4 percent in rural areas. Electricity demand is increasing by around 10 percent each year, while generation capacity remains limited and heavily dependent on thermal power.

The project includes the construction of a 225 kV transmission line linking the Kodialani and Dialakorobougou substations, two new substations at Safo and Kénié, and upgrades to existing substations at Kodialani, Kambila, and Dialakorobougou. Medium- and low-voltage distribution lines will also be built to supply electricity to expanding neighbourhoods across Bamako.

African Development Bank Country Office Manager for Mali Cédric Mbeng Mezui said the project would create wider economic benefits by supporting productive businesses, employment, and new opportunities for communities. In the longer term, the upgraded network will also make it easier to integrate electricity from future regional interconnections and planned solar power plants, helping Mali expand access to more reliable, affordable, and sustainable energy. Construction activities are expected to begin during the third quarter of 2026.