Africa Renewable Energy Initiative (AREI)

African Union

The Africa Renewable Energy Initiative aims (1) to help achieve sustainable development, enhanced well being, and sound economic development by ensuring universal access to sufficient amounts of clean, appropriate and affordable energy; and (2) to help African countries leapfrog towards renewable energy systems that support their low-carbon development strategies while enhancing economic and energy security.

Support Type : 
Financial Assistance, Technical Assistance, Capacity Building
Open to Applications : 
Yes
Climate Objective : 
Mitigation
Administrator Type : 
Intergovernmental Organization
Financial Instruments Offered : 
Contingent Grants, Grants
Application Time Frame : 

On a specific date. See steps to apply for details.
In the immediate term, the Initiative will engage with multiple African stakeholders and proponents of existing projects to stimulate discussions on transformation built around different RE deployment models, seeking alignment where possible.
Phase 1: Between 2016 and 2020, the Initiative seeks to facilitate and support the establishment of particularly promising incentive structures and comprehensive policy packages for national governments in interested African countries. The Initiative will identify projects that use RE/EE technologies or applications that can be replicated quickly in other African countries and help seek international public funding that leverages public and private investments.

Direct Access : 
Yes
Fund Size : 

USD 5 billion (2011-2016)

Financing Award : 
Not Specified
Trustee : 
African Development Bank (AFDB)
Implementing Entity : 

Independent Delivery Unit will be hosted by the AFDB and defined by specific arrangements between the hosting institution and the Governing Board that will provide for its independence and ensure African leadership.

Steps to Access & Application Procedure
Organizational and Decision Making Structure

The AREI will be led by Africans and strongly anchored in existing African political and decision-making processes. The Initiative will establish clear governing rules fully in line with the guiding principles and operations, monitoring and evaluation procedures.
These need to ensure that the Initiative remains fully Africa-led, and that all activities contributing to it – whether pursued through the Independent Delivery Unit and the AREI Trust Fund or directly through countries or other institutions – adhere to the AREI guiding principles. Monitoring and evaluation procedures must be established that correspond to the principle of African ownership, recognize the need for flexibility, and
ensure efficient and transparent use of resources.

BOARD OF DIRECTORS
The Board of Directors shall be composed of at least nine members with seven Africans and two non-regional members.
The main role of the Board of Directors is to mobilize political support, provide strategic oversight and vision, ensure African leadership and ownership of the Initiative, set priorities, objectives and milestones, foster resource mobilization, and oversee the implementation of the project pipeline and the annual work plan.

TECHNICAL COMMITTEE
The Technical Committee will be composed of high level experts with proven experience in the energy sector, in investment and development issues on the continent or in developing countries.
The main role of the Technical Committee is to define the initiative’s operational priorities and objectives, review and select submitted projects; oversee resource mobilization activities; ensure coherence with other initiatives; and recommend funding for supportive activities, incentives, and investments.

INDEPENDENT DELIVERY UNIT
The Independent Delivery Unit will be fully accountable to the Board of Directors. The delivery unit will be hosted by the AfDB and defined by specific arrangements between the hosting institution and the Board of Directors that will provide for the independence of the Independent Delivery Unit and ensure African leadership.
The main roles of the Independent Delivery Unit will be to provide a secretariat role for the Board and the Technical Committee, coordinate and prepare annual work plans, coordinate and conduct supporting activities across all clusters; coordinate and facilitate support and finance to accelerate implementation, design and manage grant application and assessment procedures in consultation with the Trustee; and communicate with stakeholders on behalf of the Initiative.

TRUSTEE (AFDB)
The main role of the Trustee – accountable to the Board of Directors – is to manage funds and investments; design and manage grant application and assessment procedures with the Independent Delivery Unit; ensure adherence with risk management and compliance procedures.
Detailed Terms of Reference for each of the above bodies will need to be further developed and elaborated.

Monitoring and Reporting Procedures

The Initiative will establish clear governing rules fully in line with the guiding principles and operations, monitoring and evaluation procedures. These need to ensure that the Initiative remains fully Africa-led, and that all activities contributing to it, whether pursued through the Delivery Unit and Trustee facility or directly through countries or other institutions, adhere to the AREI guiding principles. Monitoring and evaluation procedures must be established that correspond to the principle of African ownership, recognize the need for flexibility, and ensure efficient and transparent use of resources.

Co-financing Requirements (if applicable)

Not specified

Other Eligibility Criteria Beyond Geography and Income

African Union Member Countries.

Other Comments

Currently in the immediate establishment phase (2016–2017): Formal
initiation of the AREI activities, including resource mobilisation,
establishment of the governance and management structure
and initial identification of Phase I projects and programmes that
will be included in the pipeline.

Phase I (2017–2020): Assessments, preparations and critical
enabling and programmatic activities at the continental African
level as well as in a number of pioneering countries, setting the
basis for enhanced acceleration in Phase II. In cooperation with
bilateral and global partners, support for preparatory activities
for the renewable energy projects and incentives that will be
included in the pipeline. Achievement of at least 10 GW new and
additional generation capacity.

Phase II (2020–2030): Ambitious, full-scale roll-out of nationally
determined policies, programmes and incentives as initiated
under Phase I. Continuous project identifications, assessments
and revisions for further scaling-up across all renewable energy
applications. Mobilizing the potential of delivering at least 300
GW new and additional generation capacity.

Contact Information

http://www.arei.org/

Seyni Nafo, for the African Group of Negotiators, mimikaseyni@gmail.com

Last Updated : 
16.08.16