The convention at work
Following the favourable opinion delivered by the EDF Committee,
the Commission has decided that the projects listed below should be financed.
Afulilo Hydropower Plant
Grant: Ecu 8 189 000
The project concerns the construction of a 4MW hydropower
station in the Afulilo basin of Western Samoas main island of Upolu, which
will generate 24GWh a year. The project aims to cover the projected increase in
demand of electrical energy for about 10 years and to reduce dependence on oil
imports for existing diesel generating capacity. This hydro-electric
installation will generate the electricity for one of the W. Samoan
Governments most important socioeconomic development projects: the Rural
Project implementation involves the construction of the plant
and the supply of equipment, accompanying actions such as consultancy for
preliminary studies, engineering design, site supervision, technical assistance
and institutional support for the Electric Power Corporation (EPC). Funds for
many of these accompanying actions have been earmarked and committed by various
external aid agencies.
Village Water Supply programme in the Savanes and Kara
5th and 6th EDF
Grant: Ecu 2 475 000
Togo is giving priority to water supplies in rural areas, and
has set itself the goal of providing supplies of drinking water (20 litres per
head per day) for rural populations estimated at 2.5 million. Around 50% of
needs are currently being met.
The project fits in with this priority and will seek to provide
a supply of water for approximately 75 000 people in the Kara and Savanes
regions of northern Togo from 200 boreholes and 20 springs. It is in line with
the aims of the 6th EDF indicative programme - improving the living conditions
of the rural populations and increasing their ability to provide for themselves.
Improvement of production and the marketing of ACP products on
Grant: Ecu 4 628 000
The achievement of the European single market and the likely
opening up of East European countries to a market economy are certain to bring
about an increase in international demand. It was with this in mind that a
project was devised to provide ACP exporters of tropical fruit and out-of-season
vegetables with the technical and commercial assistance which they need in order
to adapt themselves without delay to the evolution of international demand and
the new marketing techniques resulting, for the most part, from the intensive
concentration witnessed in the field of distribution.
The project will be run by the COLEACP and will provide ACP
- advanced professional training,
- a permanent source of
commercial and technical information,
- assistance at both production and
- continuous professional liaison with European trading
- systematic investigation into diversifying products and markets.
Mozambique: Ecu 6m for small and medium-sized projects
To finance capital investment projects by small and medium-sized
enterprises and feasibility studies for SMEs in industry, agro-industry and
tourism in Mozambique, the EIB is providing a conditional loan of Ecu 6 m from
risk capital resources foreseen under the Third Lomonvention and managed by
the Bank under mandate from the Community. The funds go to Banco de Mobique,
the countrys central bank. BM itself, as well as all commercial banks in
Mozambique, may use the proceeds of this global loan for financing SMEs.
To the extent BM and other banks are on-lending, in the form of
conditional sub-loans, the EIB advanced the funds to BM for 20 years at 1%.
Where the funds are used for financing feasibility studies, the terms are up to
10 years at 1%.
Global loans are open to financial institutions for on-lending
in smaller amounts for economically, financially, technically and managerially
sound investment projects. In 1989 the EIB granted 15 global loans totalling Ecu
52.1 m to financial intermediairies in African, Caribbean and Pacific Countries
and Overseas Countries and Territories and approved 93 sub-loans totalling Ecu
34.2 m to final beneficiaires.
The Commission has taken a number of decisions for emergency aid
for the victims of the fighting in Liberia, amongst which.
Ecu 600 000 for Liberian refugees in Guinea, Ecu 400 000 for
refugees in Sierra Leone and Ecu 650 000 for those affected in Liberia itself.
The aid will be implemented by the UN High Commission for
Refugees, the League of Red Cross Societies and by Mcins Sans Frontis
The funds allocated will enable medical supplies to be
A further amount of Ecu 250 000 has also been allocated to the
International Red Cross Committee for the supply of medicine and for essential
goods and services.
In response to cholera and malaria epidemics in Mozambique in
the past weeks, Ecu 300 000 has been allocated for the purchase, transport and
distribution of vaccines and other medicines as well as for the sending out to
Mozambique of medical teams from the Non-Governmental Organisation
Solidarieton il Terzo Mondo.
A grant of Ecu 3 000 000 has also been approved as a
contribution to humanitarian organisations aid programmes for the victims of the
fighting and for the malnourished.
Emergency aid totalling Ecu 450 000 has been granted for Angolan
refugees in Zaire.
In view of the consequences of the continuing conflict in the
north of Somalia, which has resulted in extensive needs, and in particular an
increasing need for medical care for the injured and civilian population living
in the conflict zone, and following a new appeal to the Community from the
International Committee of the Red Cross (ICRC), the Commission has decided to
grant emergency aid, under Article 203 of the Lomonvention, amounting to Ecu
435 000 in favour of this population in Somalia.
This aid is to finance a medical and relief programme, including
the air transport of medical goods and personnel, medical care, etc. and will be
implemented by ICRC.
Aid totalling Ecu 3 000000 has been granted as a contribution to
aid programmes being carried out by humanitarian organisations for the victims
both of the present fighting and of the drought in Angola.
Ecu 260 000-worth of aid has been allocated for Liberian
refugees who are pouring into CdIvoire (particularly in the Guigio and
Tabou provinces). The aid will be implemented by Mcins Sans Frontis
(France) and will go to providing essential supplies,
A grant of Ecu 5 000 000 has been approved as a contribution to
humanitarian organisations aid programmes for the victims of the fighting
in Southern Sudan.
After favourable opinions by the Food Aid Committee, the
Commission has taken the following decisions:
The President of Burundi visits the Commission
Major Pierre Buyoya, the President of the Republic of Burundi,
met Manuel Marin, the Commission Vice-President responsible for development and
fisheries, on 22 June 1990. President Buyoya was accompanied by Cyprien
Mbonimpa, Minister of External Relations and Cooperation, Gilbert Midende,
Minister of Energy and Mining, Salvador Sahinguvu, State Secretary for Planning,
and Fridolin Hatungimana, State Secretary for Cooperation.
The talks provided an opportunity to take a general look at
cooperation between the Community and Burundi and at the prospects for the
implementation of LomV.
President Buyoya outlined his policy of National Unity and
Development, which reflects the Governments desire for social harmony and
economic development, stressing the importance it attaches to decentralising
development to the communes and to ensuring the awareness and involvement of the
population of Burundi.
He said that he appreciated cooperation with the Community,
explaining his Governments guidelines for LomV programming and raising
one or two specific matters of particular interest to his country - Stabex
intervention this year, Community support for structural adjustment, the
possibility of Community support for the communal intervention funds (which the
Burundi Government is to set up to support decentralised economic development)
and regional cooperation.
Commissioner Marin again affirmed that the Community supported
the Burundi authorities drive for peace and development. The Commission,
he said, welcomed the Burundi Governments approach in the process of
National Unity towards the adoption of a new constitution. He stressed that the
new Convention indeed put top priority on the sort of decentralisation and
involvement of the people enshrined in Burundis Charter of National Unity,
so that the instrument of LomV should enable the Community to help implement
The Commissioner went on to assess the latest events on the
international political scene and to see what effects they might have on the
development of Africa, underlining the importance of respecting human rights and
having an economic democracy to ensure the wellbeing of the population as a