January 15 (Renewables Now) - The Abu Dhabi Fund for Development (ADFD) will provide USD 25 million (EUR 20.5m) in financing for the addition of solar photovoltaic (PV) capacity in Mauritius and Rwanda.
The allocation was announced by the International Renewable Energy Agency (IRENA) at the eighth session of its assembly that was held this weekend in Abu Dhabi. The funds will be extended in the form of concessional loans.
More specifically, the proceeds will come from the USD-350-million IRENA/ADFD Project Facility, which is funded by the ADFD. The initiative was launched in 2013 in order to support renewable energy projects in developing countries.
ADFD will extend a loan of USD 10 million for the installation of 10 MW of rooftop PV arrays for 10,000 households in a project that is in line with the country’s goal to lift the share of renewables in its power mix to 35% by 2025. The initiative is seen to bring more than USD 35 million in savings from fossil fuel imports over the lifetime of the project. Meanwhile, a loan of USD 15 million will be provided to add 500,000 off-grid solar facilities for homes in Rwanda, in line with the government’s rural electrification strategy.
The IRENA/ADFD Project Facility will lead to the deployment of nearly 120 MW of renewable energy capacity, IRENA said.
(USD 1.0 = EUR 0.819)