Funding offered for renewable energy projects in developing countries. January PDF Free Download

Funding offered for renewable energy projects in developing countries January 2018

CONTENT 1. What is the Facility? 2. Access funding and eligibility 3. Funding offer 4. Selection process 5. How to apply 6. IRENA tools 7. Final points www.irena.org/adfd

1. What is the Facility? Collaboration between IRENA and the Abu Dhabi Fund for Development. USD 350 million in concessional loans from ADFD over seven annual funding cycles to promising renewable energy projects in developing countries recommended by IRENA. www.irena.org/adfd

2. Access funding The call for proposals for the sixth cycle opened on 16 November 2017 with a deadline of 15th February 2018. Eligibility Members of IRENA, Signatories or States in Accession and developing countries on the OECD DAC List of ODA Recipients. Preference is given to IRENA members in the process. Eligible country list accessed on website. Renewable energy as defined in the Statute of IRENA and tried and tested technologies: all forms of energy produced from renewable sources in a sustainable manner which include inter alia bioenergy, geothermal energy, hydropower, ocean energy, solar energy, and/or wind energy. Projects must be able to provide the following in the selection process: Government Guarantee for the ADFD loan Technical, economic and financial feasibility study www.irena.org/adfd Positive development impacts

3. Funding offer USD 50 million available in each cycle. USD 5-15 million ADFD loans for each project, covering up to 50% of the project costs. Remainder must be cofinanced. 1-2% loan rates. 20 years loan period including 5 years grace period. Loan rates that apply to your country are on eligible country list online. 3.6 MW solar mini-grid project in Burkina Faso receiving USD 10 million selected in the third cycle. So far, over five annual funding cycles USD 630 million mobilized including: USD 214 million ADFD loans allocated USD 420 million Co-funding attracted 0 100 200 300 400 500 USD millions www.irena.org/adfd

4. Selection process Panel of Experts Technically evaluate and score projects Expert considerations and scoring system all available online. Advisory Committee Strategic considerations of geographic spread, technology diversity and national priorities of country where project is taking place. ADFD Final selection from recommended list from Committee. ADFD requires a government guarantee letter (templates available online), full feasibility study (requirements for this are available online) and positive development impacts.

4. Selection process First phase Second phase ~85 ~35 ~25 ~20 ~12 ~6 16 Nov 2017 15 Feb 2018 Applicants submit executive project summaries online May 2018 Jun 2018 Shortlisted projects called to submit a full proposal online including a full feasibility study and government guarantee letter www.irena.org/adfd End Dec 2018

First phase of process Phase 1 Evaluation by experts (weighting 100%) Technical merit (40%) Economic/ financial viability (30%) Socio-economic & environmental impacts (30%) Executive Project Summary applicants submit mid- Nov 2017 to mid-feb 2018 -Objectives -Design -Management -Project cost -Revenue sources -Business plan -Social, economic and environmental benefits -Stakeholder engagement

Overall project characteristic considerations by experts at both phases -Transformative -Replicable/ Scalable -Improve energy access -Address energy security Advisory Committee selection and recommendation at both phases -Geographic spread -Diversity of technologies -Alignment with government priorities

Second phase of process Phase 2 Evaluation by experts (weighting 100%) Full Project Proposal including full feasibility study + Government guarantee letter shortlisted applicants submit early May to end June 2018 Technical merit (40%) -Detailed project design and output -Resource assessment -Implementation plan and operational arrangements -Technical risk mitigation measures -Organisational and management capabilities -Monitoring and evaluation Economic/ financial viability (30%) -Full economic/financial feasibility study -Co-finance agreements -Economic/ financial risks and mitigation options Socio-economic & environmental impacts (30%) -Stakeholder engagement -Accessibility -Affordability -Job creation -Energy security -Environmental / health -Other/ gender/ transformation/ replicability/ scalability/ innovation -Risk mitigation

5. How to apply - online

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Online application form

6. IRENA Tools

6. IRENA Tools Success stories Country profiles Project concept Site characterization Deployment Assistance to financial closure and debt facility Investor ready Project pipelines Corridors, RE Roadmaps, Readiness Assessments Feasibility Prefeasibility Bankable project development guidelines Evaluate, technical assistance www.irena.org/adfd

Final points www.irena.org/adfd 1. All information available at www.irena.org/adfd and after you register and login. 2. Need all stakeholders to disseminate the details of this funding offer to the right ministries, utilities, renewable energy organisations, rural electrification agencies and /or other government institutions. (A Note Verbale from IRENA and ADFD available in Helpful Resources online may assist you in communicating to your respective authority on international borrowing affairs on the Facility.)

Funding offered for renewable energy projects in developing countries. January 2018