Boosting renewable energy projects on the ground requires scaling up
investment. IRENA’s state-of-the-art analysis of enabling policy
frameworks and finance mechanisms channel public and private investment
in markets like Africa, Latin America, Asia, South-East Europe and the
Small Island Developing States (SIDS). Now, IRENA is taking its work one
step further by increasing the Agency’s on-ground impact with 15
regional and sub-regional platforms which aims at scaling up renewables
deployment and investments.
One step in this new direction is the event that took place in
Johannesburg as part of the Africa Investment Forum hosted by the
African Development Bank. It facilitated renewable energy deal-making in
Sub-Saharan Africa in partnership with Power Africa and the African
Trade Insurance Agency. The event corresponds to IRENA’s new direction
and way forward ensuring an acceleration of the renewable energy
transformation globally.
Speaking at the Investment Forum in South Africa, IRENA’s
Director-General Francesco La Camera underlined the importance of
renewable energy to meet sustainable economic growth and Africa’s
climate and development ambitions. “Now more than ever, renewables have
become a compelling investment proposition”, said La Camera. “With
renewable energy technology prices set to decline, the
cost-competitiveness of renewables will strengthen further. IRENA’s
analysis shows that nearly a quarter of Africa’s energy needs could be
met from indigenous and clean renewable energy sources by 2030. This
would result in a wide array of socio-economic benefits in terms of
economic growth, welfare, employment and energy access. It’s Possible”.
IRENA has been committed to supporting African governments in their
quest for a sustainable energy future. The Agency has supported
countries in building attractive investment frameworks for renewables to
strengthen institutional and technical capacity. It has also supported
the development and financing of renewable energy projects through
project facilitation tools.
“A lot remains to be done to address the key risks and barriers that
hinder the scale-up of renewable investment in the region”, La Camera
continued. “There is no shortage of renewable energy project proposals
which are competing for investor capital. But they are not always
financially viable. Many proposals fail to materialize due to high cost
of capital, limited access to risk mitigation solutions and long delays
in projects”.
By building on its extensive project pipeline in Sub-Saharan Africa with
over 90 renewable energy projects, the Agency has showcased 10
renewable energy projects at the Investment Forum. Projects from
Cameroon, Cote D’Ivoire, Kenya, Mali, Senegal, Sierra Leone and Togo
which have a total capacity ranging from 6 MW to 70 MW – covering
technologies like wind, solar, bioenergy and hydropower – were
presented.
IRENA’s project facilitation platform provides project owners and
developers with increased visibility for their projects among financiers
and other market players. Project owners have access to wide range of
financial instruments provided by multiple investors from development
finance institutions, private companies, utilities, private equity
funds, donor and multi-donor facilities, commercial banks and more, as
well as access to different services for example legal and financial
advisory, environmental, project development and Engineering Procurement
and Construction contracting.
More information about IRENA’s project facilitation.
