Africa Renewable Energy Fund Project Support Facility

Climate Objective
Mitigation
Sectors and Themes
Energy
Type of Support Provider
Multilateral
Type of Recipient
Public entity at the national level
Public entity at the sub-national level
Public entity at the regional level
Private sector
Co-financing Requirement
No
Trustee or Administrator
AfDB
Region
Sub-Saharan Africa

The project consists of the design of and investment in a “catalytic” tranche in the Africa Renewable Energy Fund II to support the mobilization of private investors and sustain capital flows for energy access and climate action in Africa. AREF II will finance the development and construction of Independent Power Producers (IPPs), providing equity to a portfolio of 19 projects run-off-river hydro plants and hybrid/storage opportunities, including solar PV and battery storage technologies, with a total expected energy generation capacity of 843 MW. Identified projects are located in Angola, Cameroon, Kenya, Madagascar, Uganda and Zambia.

Support Provider

African Development Bank

Purpose of Support
Prepare Proposals, Projects and Pipelines
Funding Type
Other
Eligibility Criteria

Equity investment in the Africa Renewable Energy Fund (“the Fund” or “AREF”), a private equity fund that will invest in small to medium sized renewable energy projects in SSA. AREF will focus on developing projects from sustainable energy sources including wind, solar, biomass, hydro, and certain geothermal and flared gas reduction projects. AREF will take controlling stakes in greenfield projects. The Fund will have access to a Project Support Facility (PSF), which will provide preparation resources to structure bankable deals.

Eligible Countries

Angola, Cameroon, Kenya, Madagascar, Uganda, Zambia