Partner | Hogan Lovells
Arun Velusami
Partner | Hogan Lovells
Number of years practice:
20
Principal practice areas:
Energy and infrastructure
Languages spoken: English
What is the geographical focus of your practice in Africa?
Pan-African practice, with a focus on North Africa, West Africa, East Africa, Central Africa and South Africa.
Please describe the most important matters you have worked on in the African market in the last two years, including your role and the significance of the matter (if any) to the development of business and law.
I acted for Metalkol in relation to their cross-border power purchase arrangements involving the purchase of power in Zambia and wheeling the same to the DR Congo. There will be significant cross-border power trading activity over the next few years in Africa based on the model employed in this transaction. In fact, the contractual structure used was one that I developed for a Zambian utility a couple of years previously, so I have played a role in the development of the contractual structures for this market. I am the lead lawyer on the project.
Regarding the Mbeya Power Project in Tanzania – I am acting for a mining company that is developing a coal-fired power project in the country. I am the lead lawyer on the project, which will be one of the first in a new wave of IPPs in Tanzania.
I am also working on a coal-fired power project in Mozambique, advising a mining company in the development of a power project in Mozambique which will be used to supply offtakers both within Mozambique and in other countries. This project is a hybrid of IPP and power trading models and will be the first of its type.
Lastly, the Betmai Hydropower project in Sierra Leone – I am advising a Sierra Leonean developer in relation to all aspects of the development, construction and financing of a run-of-river power project in Sierra Leone. This project will be one of the first indigenously developed power projects in the country.
What differentiates your practice from that of other private practice lawyers?
100% of my work is focussed on African energy and infrastructure projects and I have had this focus for nearly 15 years. I have worked for governments, developers, investors, lenders and contractors in Africa.
Why has Africa been a particularly strong focus for you?
There is a huge energy and infrastructure deficit in Africa so the chance to help fill this deficit and assist with the continent’s growth is something that I have found rewarding both personally and professionally. I have worked on a number of first-in-country projects which have brought significant social and economic benefits for the countries in question.
What changes have you seen in the appetite for Africa-based ventures and investments over the last five years?
There is strong international interest in well-structured African projects.
What megatrends do you think will shape the African market over the coming five years? How (if at all) will these trends affect your practice?
I expect that there will be an increasing number of smaller scale off-grid projects in Africa over the next five years. I expect that lawyers will need to assist with the development of novel structures to assist with the development of such projects. I also expect increasing cross-border power trading activity.