Accessibility links

Breaking News

Business and Technology

Glencore to Pay DRC Over Corruption Claims

FILE - This picture shows the Glencore headquarters in Baar, Switzerland. Taken April 14, 2011
FILE - This picture shows the Glencore headquarters in Baar, Switzerland. Taken April 14, 2011

Swiss mining giant Glencore said Monday it has agreed to pay $180 million to the Democratic Republic of Congo to cover corruption allegations, the latest payment in a series of graft cases it has faced worldwide.

The company said the $180 million settlement with DRC covers "all present and future claims arising from any alleged acts of corruption" by the Glencore Group between 2007 and 2018.

The settlement with DRC is related to investigations by the country's authorities and the US Department of Justice, Glencore said.

Glencore disclosed in 2018 that the US Justice Department had launched a corruption investigation linked to the group's business in Nigeria, Venezuela and DRC.

A year later, Britain's Serious Fraud Office said it was investigating suspicions of bribery by the Glencore group of companies and staff in DRC.

Brazil also opened a probe in 2018 into Glencore and trading groups Vitol and Trafigura over alleged bribery of employees at state-run oil company Petrobras.

In May, the group reached a settlement with Brazilian, British and US authorities, pleading guilty to corruption in Africa and South America.

Glencore agreed to pay a $700 million fine to the United States for fraud and corruption in Brazil, Cameroon, Nigeria and Venezuela, and misappropriation of confidential information in Mexico.

The company was also hit with $486 million in fines and forfeitures for oil price contract manipulation.

Last month, a UK court ordered Glencore to pay £280 million ($313 million) following an investigation into bribes paid to gain preferential access to oil in several African countries.


See all News Updates of the Day

Africa News Tonight: Biden Express Concerns to Israeli PM, Zimbabweans Face Hunger, South Africa’s Top Diplomat Visits U.S. to Boost Ties

Africa News Tonight: Biden Express Concerns to Israeli PM, Zimbabweans Face Hunger, South Africa’s Top Diplomat Visits U.S. to Boost Ties
please wait

No media source currently available

0:00 0:24:55 0:00
Direct link

Africa News Tonight: Aid Blockades Endanger People in Burkina Faso, AI Creates Election Worries, Namibia Fights Cancer with HPV Vaccine

Africa News Tonight: Aid Blockades Endanger People in Burkina Faso, AI Creates Election Worries, Namibia Fights Cancer with HPV Vaccine
please wait

No media source currently available

0:00 0:24:56 0:00
Direct link

Africa News Tonight: Niger Ends U.S. Troops Deal, Major Internet Outage Hits Africa, Aid Group Saya Food Security Priority for Some Nations

Africa News Tonight: Niger Ends U.S. Troops Deal, Major Internet Outage Hits Africa, Aid Group Saya Food Security Priority for Some Nations
please wait

No media source currently available

0:00 0:24:56 0:00
Direct link

Dispute Over Technology Impedes Morocco Solar Projects

FILE —Aerial view of the Noor 3 solar power station, near Ouarzazate, southern Morocco, April. 1, 2017. The king unveiled one of the world's biggest solar plants, taking advantage of the Sahara sunshine and a growing global push for renewable energy.
FILE —Aerial view of the Noor 3 solar power station, near Ouarzazate, southern Morocco, April. 1, 2017. The king unveiled one of the world's biggest solar plants, taking advantage of the Sahara sunshine and a growing global push for renewable energy.

RABAT —A dispute over concentrated solar power (CSP) technology is behind years of delays to Morocco's biggest planned solar project after problems at another prominent plant that caused long shut downs, three sources close to the project said.

FILE —A picture taken on February 4, 2016 shows an aerial view of the solar mirrors at the Noor 1 Concentrated Solar Power (CSP) plant, some 20Km (12.5 miles) outside the central Moroccan town of Ouarzazate, ahead of its inauguration.
FILE —A picture taken on February 4, 2016 shows an aerial view of the solar mirrors at the Noor 1 Concentrated Solar Power (CSP) plant, some 20Km (12.5 miles) outside the central Moroccan town of Ouarzazate, ahead of its inauguration.

Morocco has some of the most ambitious green energy goals of any developing nation, aiming for renewables to represent 52% of installed capacity by 2030 from 37.6% now, mostly through investments in solar and wind plants.

However, it is already falling behind on solar, with only 831 megawatts (MW) installed so far compared to the 2,000 MW that was planned for 2020. Wind has made up some of the shortfall but polluting coal plants still make up most output. Construction has not even started on the planned $2 billion 800 MW Noor Midelt I plant, which was meant to start operating this year, after the Energy Ministry and grid operator ONEE rejected the proposed CSP technology, the sources said.

FILE —An aerial view of the solar mirrors at the Noor 1 Concentrated Solar Power (CSP) plant, some 20Km (12.5 miles) outside the central Moroccan town of Ouarzazate on February 4, 2016.
FILE —An aerial view of the solar mirrors at the Noor 1 Concentrated Solar Power (CSP) plant, some 20Km (12.5 miles) outside the central Moroccan town of Ouarzazate on February 4, 2016.

State energy agency MASEN awarded the contract to develop Noor Midelt I in 2019 to a consortium led by EDF Renouvelables. It asked for the plant to have both photovoltaic (PV) technology, which is cheaper but has little ability to store power, and CSP, which is more expensive but continue powering the grid for hours after dark.

However, after the contract was awarded ONEE and the Energy Ministry said they would only agree to buy the power if MASEN either abandoned CSP for PV or changed from thermal salt energy storage to batteries, the sources said.

MASEN and the grid eventually signed a power purchase agreement, but there are still discussions between MASEN and the development consortium over the technology specifications, the sources said.

MASEN says the project was delayed due to the pandemic and is now in the final stage of development but it did not respond to a specific Reuters request for comment on the technology dispute.

FILE—Pablo Ines, of Spain, walks in the building site of Morocco's Noor I solar power plant, near Ouarzazate, Morocco, April, 24, 2015 .
FILE—Pablo Ines, of Spain, walks in the building site of Morocco's Noor I solar power plant, near Ouarzazate, Morocco, April, 24, 2015 .

EDF Renouvelables said Morocco had decided to restart the development in 2022 with a mix of PV, CSP and battery storage. It said the project was "at the final stage of development" and all partners "remain committed."

The Energy Ministry did not comment directly on the problems at Noor Midelt but it said it "tries to be as technology agnostic" as it can as long as costs, sustainability and security objectives are maintained to avoid undue risk.

The World Bank and the European Investment Bank said their financing terms for the project remain valid as discussions continue between MASEN and the consortium. The World Bank said construction will take 30 months once negotiations end.

CSP Plant Difficulties

ONEE cited problems at Noor Ouarzazate, Morocco's best-known solar complex, as the reason for wanting MASEN to change the technology at Noor Midelt, the sources said.

FILE — King Mohammed VI of Morocco waves a Moroccan flag as Moroccan Agency for Solar Energy CEO Mustapha Bakkoury, 2nd right, applauds during the launch of the Noor Ouarzazate 4 solar plant, in Ouarzazate, central Morocco, April 1, 2017.
FILE — King Mohammed VI of Morocco waves a Moroccan flag as Moroccan Agency for Solar Energy CEO Mustapha Bakkoury, 2nd right, applauds during the launch of the Noor Ouarzazate 4 solar plant, in Ouarzazate, central Morocco, April 1, 2017.

Technological problems stopped all output at a 150 MW plant there for a year from summer 2021, said two of the sources. "Noor Ouarzazate helped put Morocco on the global map of large-scale renewable energy projects. But a closer look in terms of operation costs and maintenance issues show that the plant is rather a liability," said a source close to Noor Midelt I.

"With hindsight, Ouarzazate served as a testing ground for an immature CSP technology," said another source.

Morocco's economic, social, and environmental council recommended abandoning CSP altogether in a 2020 report due to its high cost compared to PV and wind. That report said MASEN was operating an $80 million a year deficit at the Noor Ouarzazate complex because it is selling power for less than the production cost.

MASEN, which commissioned Noor Ouarzazate, said the plant had shown "good performance in 2023 both on peak and off-peak hours." It added that CSP technology was a solution that offers storage, helping address grid needs at peak hours.

ACWA Power, the developer of Noor Ouarzazate, and grid operator ONEE did not respond to Reuters requests for comment.

Africa News Tonight: Senegal Faces New Election Uncertainty, African Union Discusses DRC Violence, Zimbabwe’s Government Worried About Crime

Africa News Tonight: Senegal Faces New Election Uncertainty, African Union Discusses DRC Violence, Zimbabwe’s Government Worried About Crime
please wait

No media source currently available

0:00 0:24:55 0:00
Direct link

Load more

XS
SM
MD
LG