The International Renewable Energy Agency (IRENA) and the Abu Dhabi Fund for Development (ADFD) announced on January, 2016, USD 46 million in concessional loans for four renewable energy projects in developing countries. The loans will fund a wind and solar project in Antigua and Barbuda, a solar project in Burkina Faso, a solar and wind project in Cabo Verde and a solar project in Senegal. The four projects will result in nearly 12 megawatts of new renewable energy capacity, reduce emissions, create jobs, and electrify rural communities without access to modern energy services.
About the funded projects:
Antigua and Barbuda: A 4 megawatt wind and solar project will receive USD 15 million to provide energy to desalinate water and increase climate resilience. The project will avoid 8,275 tonnes of CO2 per year.
Burkina Faso: A 3.6 megawatt solar PV mini-grid project will receive USD 10 million to provide modern energy services to more than 12,000 local families. The project will avoid 2,500 tonnes of CO2 per year.
Cabo Verde: A 2 megawatt hybrid grid- connected solar PV and wind project will receive USD 8 million to provide a 100 per cent renewable energy solution for the Island of Brava. The project will avoid 4,665 tonnes of CO2 per year.
Senegal: A 2 megawatt solar PV mini-grid project will receive USD 13 million to supply electricity to rural villages. The project will avoid 3,200 tons of CO2 per year.
These projects are funded through the IRENA/ADFD Project Facility, which commits USD 350 million to increase the deployment of renewable energy in developing countries. To date, the facility has allocated USD 144 million in project funding over its first three cycles. Loans are provided to finance up to 50 per cent of each project, attracting co-financing from banks, international financial institutions and other development partners. This mobilizes enough funds to more than double the original investment and helps build local financial markets to create valuable know-how for the future.
The fourth funding cycle of the Project Facility is now open for project proposals until 15 February 2016, with concessional loan interest rates of 1-2 per cent provided by ADFD. These low rates will support a broad range of renewable energy projects for the remaining four loan cycles.
For more information visit: http://adfd.irena.org/
Source: IRENA (read more here)
Observatory Country:
Burkina Faso
Cape Verde
Senegal
