A new Joint Venture (JV) has been created to develop new infrastructure in the Democratic Republic of Congo (DRC).

While considerable progress has been made to develop the DRC economy, the country remains in need of significant investment in its infrastructure. The JV will target opportunities in the power, rail and road sectors, all of which will hugely benefit from new investment.

The JV will be formed by one of the largest private investors in the DRC, the Fleurette Group, and Andrade Gutierrez, one of the world’s leading construction companies.

Urgent need for power infrastructure 

Despite significant increases in energy demand from both the industrial and commercial sectors, the country’s total installed capacity has remained level for 20 years. This has forced the DRC to import energy from outside.

Demand in the region is currently between 650 and 750MW, and is expected to reach 1 000MW with the doubling in mining output planned in the next five years. With mining activities already constrained by power shortages and the expected increase in the needs of the general population, there is an urgent need for new power supply.

Road and rail needs

The DRC’s rail network is of primary importance for shipping mineral commodities out of the DRC to ports in east, west and southern Africa. Road infrastructure will soon be insufficient to transport the increased mining output. An improved rail system will significantly reduce transportation costs for the resources sector and vastly increase general transport efficiency for the entire country, taking trucks off the road system.

The DRC’s road network has fallen into serious disrepair as a result of its extended period of conflict. Sealed roads comprise a mere 3 000 km of the country’s total 30 000 km road network. It is estimated that just 42% of the country’s roads are in a condition good enough to support freight transport. The World Bank estimates that repairs and maintenance on the DRC’s existing road networks will require roughly US$400 million per year.

According to Senior Advisor to the Fleurette Group Dan Gertler, power, rail and roads projects have the potential to fundamentally change the lives of the people in the DRC. “The DRC has made real strides in the past few years in developing its economy and with additional investment in the country’s infrastructure the DRC will be able to reach its full potential. These types of investments require commitment, knowledge and expertise and I am confident that, in working with a proven developer of infrastructure assets in emerging markets such as Andrade Gutierrez, we have found the right partner,” said Gertler.