World Bank offers US$225m to off-grid solar in Sahel, GCF supports Mali PV mini-grids

Share on facebook
Facebook
Share on twitter
Twitter
Share on linkedin
LinkedIn
Share on reddit
Reddit
Share on email
Email

The World Bank has approved US$224.7 million in financing to help expand off-grid energy access programmes using solar in West Africa and the Sahel regions.

This includes US$150 million in the form of credit and grants from the International Development Association (IDA) and a US$74.7 million contingent recovery grant from the Clean Technology Fund to help the schemes run by the West African Development Bank and ECOWAS’ Center for Renewable Energy and Energy Efficiency.

The financing for the Regional Off-Grid Electrification Project (ROGEP) focuses on 19 countries including Benin, Burkina Faso, Cabo Verde, Cameroon, Central African Republic, Chad, Cote d’Ivoire, The Gambia, Ghana, Guinea, Guinea-Bissau, Liberia, Mali, Mauritania, Niger, Nigeria, Senegal, Sierra Leone and Togo. ROGEP targets households, businesses, and public institutions to install stand-alone solar systems and hopes to reach 1.7 million people.

“So far, only 3% of households in West Africa and the Sahel are served by stand-alone solar home systems, and 208 million people in the sub-region do not have access to electricity. The project seeks to assist regional policymakers to address barriers to create a regional market for stand-alone solar systems, which is essential to reduce energy poverty in the region, and entrepreneurs to take opportunities in this market through development of scalable business solutions,” said Rachid Benmessaoud, coordinating director for Regional Integration in West Africa. “The new project will help adopt regional standards and regulations to establish a regional market with harmonized policies that will attract larger market players for the benefit of all participating countries.”

GCF supports Mali’s solar mini-grids

The Green Climate Fund is also to provide €46.2 million in funding for solar-based mini-grids for rural electrification in Mali where 80% of the population in the rural areas do not have access to electricity, with most power coming from diesel generators. 

This includes €33.64 million in high concessional sovereign loans and a €2 million grant for technical assistance. The GCF funding will also mobilise €10.6 million from the West African Development Bank (BOAD). 

The project will start by reaching 28,300 households across 50 locations. The systems will be delivered via a public-private partnership model. The government will own the systems but competitive public tenders will be used to select EPC companies. 

“The Mali solar electrification project will build the capacity of rural electrification players while supporting access to financial services for productive users,” said Christian Adovelande, president of BOAD. “The Bank seeks to align itself with the Paris Agreement aiming to set aside more than €200 million for the promotion of private sector investments in solar energy.”

The African Development Bank (AfDB) has also been focusing on the Sahel region with a 10GW solar target by 2020 across both large-scale and off-grid PV.

Read Next

PV Tech Premium
July 23, 2021
A reduction in deployment costs combined with technology gains mean solar-plus-storage is an increasingly attractive option for off-grid mining operations looking to cut emissions. Jules Scully looks at successful case studies and the opportunity ahead.
June 16, 2021
Berkeley Energy has raised €130 million in the first close of the Africa Renewable Energy Fund II
June 14, 2021
Mozambique-based coal operator Ncondezi Energy has announced a joint venture (JV) with South African-based NESA to target South Africa’s C&I solar and storage markets.
May 21, 2021
Abu Dhabi-based Masdar has secured the rights to develop two solar projects in Uzbekistan that will have a combined capacity of 440MW.
April 14, 2021
Independent energy trader BB Energy (BBE) has set its sights on Africa’s solar and storage market by acquiring Solarcentury’s Africa-facing division for an undisclosed sum.
February 26, 2021
Global energy giant EDF has bought a 23% stake in off-grid solar company Bboxx’s Kenyan business.

Subscribe to Newsletter

Upcoming Events

Upcoming Webinars
August 19, 2021
At 9am (PT) | 6pm (CEST)
Solar Media Events
August 25, 2021
Solar Media Events
October 6, 2021
Solar Media Events
October 19, 2021
BRISTOL, UK