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Transcript of Renewable Energy Financing Solutions . Camco_ Renewable... Renewable Energy Financing Solutions...

  • Renewable Energy Financing Solutions Regional Expert Meeting

    Climate Change and Enhanced Renewable Energy Deployment in East and Southern Africa

    Addis Ababa, Ethiopia 17-18 March 2016

    Alec Joubert

    Investment Director, Energy Projects

  • Renewable Energy Performance Platform

    Introduction to Camco Clean Energy

    • Clean Energy Fund and Management Advisory

    • Clean Energy and Climate Advisory

    • Sub-Saharan Africa focus

    • Offices

    • South Africa (Johannesburg)

    • East Africa (Nairobi, Kenya)

    • Europe (London, UK)

    • West Africa (Accra, Ghana)

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  • Renewable Energy Performance Platform

    Project Finance Challenges

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  • Renewable Energy Performance Platform

    The Project Development Life Cycle

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  • Renewable Energy Performance Platform

    Balancing Risk and Reward

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  • Renewable Energy Performance Platform

    Green Africa Power

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    • Private Infrastructure Development Group (PIDG) facility

    • Offers quasi-equity debt and contingent lines of credit

    • Total facility size: USD 200m

    • www.greenafricapower.com

    • Donors:

    • UK Department for International Development (DFID)

    • UK Department for Energy and Climate Change (DECC)

    • Government of Norway

    • Advisors

    • Eiser Infrastructure

    • Camco Clean Energy

    http://www.greenafricapower.com/

  • Renewable Energy Performance Platform

    GAP Key Issues/Barriers

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    • Well-advanced projects which are struggling to reach financial close

    • Solutions:

    • Mezzanine finance (subordinated debt, quasi-equity debt) and

    • Contingent lines of credit

    • Long tenors

    • Funding not readily available from commercial markets

  • Renewable Energy Performance Platform

    Mandate

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    • Least developed countries (DAC

    1, 2, 3)

    • Wide range of renewable energy

    technologies

    • Utility-scale, grid-connected

    projects

    • Later-stage project development

    support

    • Attract private sector finance

  • Renewable Energy Performance Platform

    Managed by:

    Renewable Energy Performance Platform

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    Initiated by:

    Funded by:

    www.repp-africa.org

    http://www.repp-africa.org/

  • Renewable Energy Performance Platform

    REPP Key Issues/Barriers

    • Limited sources of of development finance

    • Limited commercial viability of small-scale renewable energy

    projects

    • Levelised costs are not sustainable/equity returns are low

    • Long-term debt

    • Unavailable

    • pricing high

    • tenors too short

    • Lack of access to risk mitigation instruments

    • Lack of technical know-how amongst small-scale developers

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  • Renewable Energy Performance Platform

    REPP Mandate

    • Small-scale renewables

    • Least developed countries

    • Nineteen target countries

    • Wide range of renewable energy

    technologies

    • Developer-focused

    • Unlocking private sector finance

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  • Renewable Energy Performance Platform

    Products, Services and Solutions

    1. Technical Assistance during Development

     Technical studies

     Legal and due diligence costs

    2. Structuring Support

     Financial structuring

     Facilitating access to risk mitigation instruments

     Facilitating access to long-term debt

    3. Results-Based Finance

     Results-based financial support to achieve commercial viability

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  • Renewable Energy Performance Platform

    Disclaimer

    This presentation is provided for information purposes only on the express understanding that the information contained herein will be regarded as strictly confidential. It is not to be delivered nor shall its contents be disclosed to anyone other than the entity to which it is being provided and its employees and shall not be reproduced or used, in whole or in part, for any purpose other than for the stated aim of the presentation, without the prior written consent of a member of the redT Energy Group.

    The information contained in this presentation does not purport to be complete and is subject to change. This is a commercial communication. The presentation does not comprise investment advice. It does not include a personal recommendation and does not constitute an offer, or the solicitation of an offer for the sale or purchase of any financial product, service, investment or security. Any investments or strategies discussed herein may not be suitable for all investors; if you have any doubts you should consult your investment advisor.

    Whilst every care has been taken in preparing this presentation, no member of the redT Energy Group gives any representation, warranty or undertaking and accepts no responsibility or liability as to the accuracy, or completeness, of the information in this presentation. For the avoidance of doubt, our duties and responsibilities shall not include tax advisory, legal, regulatory accounting or other specialist or technical advice or services. You are to rely on your own independent appraisal of and investigations into all matters and things contemplated by this presentation. By accepting this presentation, you agree to be bound by the foregoing limitations. Kindly note that this presentation does not represent an offer of funding since any facility to be granted in terms of this presentation would be subject to the redT Energy Group obtaining the requisite internal and external approvals.. All rights reserved.

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