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.