Home Middle East & Africa EAIF reveals new milestones for clean energy projects in Africa
EAIF reveals new milestones for clean energy projects in Africa

EAIF reveals new milestones for clean energy projects in Africa

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PIDG company Emerging Africa Infrastructure Fund (EAIF) announced milestones for clean energy projects for Mozambique, Uganda and Tanzania.

Two Emerging Africa Infrastructure Fund (EAIF) renewable energy projects will produce a total of 54MW of clean power.

Mozambique’s President Filipe Jacinto Nyusi on 10 August declared open the 40MWCentral Solar de Mocuba (CESOM) solar power plant.

In addition, the 14MW Kikagati hydro power station — built on the border between Uganda and Tanzania — reached financial close on 7 August. Kikagati Power Company (KPC) owns and will operate the plant.

EAIF, a PIDG company, specialises in providing loans to private sector infrastructure projects in Africa. It draws its funds from the governments of the UK, The Netherlands, Sweden and Switzerland and private banks and financial institutions.

Emilio Cattaneo, EAIF Executive Director, said: “CESOM is our first renewable energy project in Mozambique. Kikagati hydro power station is the 10threnewable energy plant EAIF has supported in Uganda.”

EAIF has loaned $24.9 million of the $76 million capital cost of the project in the north of Mozambique. CESOM is majority owned by the Norwegian energy business Scatec Solar, with Mozambique’s public electricity utility owning 25 percent and the Norwegian investment organisation, Norfund, holding 22.5 percent.

The Kikagati hydro-electricity project achieved financial close of $54 million debt finance package. Uganda Electricity Transmission Company will purchase 100 percent of the energy generated by KPC.

EAIF is lending $27 million and FMO, the Dutch development bank, has contributed the same amount. Both loans have 16 year terms. The cost of the project is $87 million.

Kikagati Power Company is backed by Africa Renewable Energy Fund, a $205 million fund managed by Berkeley Energy.

Source : greentechlead
Anand Gupta Editor - EQ Int'l Media Network