EIB, DBSA partner on EUR-400m plan to support renewables in S Africa

The European Investment Bank (EIB) and the Development Bank of Southern Africa (DBSA) on Friday launched a EUR-400-million (USD 412m) initiative to support private sector renewable energy investment in South Africa.

Under an agreement signed by the EIB’s vice-president Ambroise Fayolle and the DBSA’s chief executive Patrick Dlamini at COP27 in Egypt, the EIB will provide EUR 200 million for the new targeted financing programme.

The initiative is expected to create an additional 1,200 MW of generating capacity. It will contribute to DBSA’s Embedded Generation Investment Programme (EGIP), which supports the development of solar photovoltaic and wind embedded generation projects, or smaller-scale power stations, by independent power producers.

“South Africa, like many African countries, is already suffering the effects of climate change. This new investment from the EIB in our Embedded Generation Investment Programme is an important contribution to South Africa’s resilient and sustainable growth,” said the chief executive of the DBSA, which is a development finance institution wholly owned by South Africa’s government, focused on South Africa and the wider Sub Saharan Africa.

(EUR 1 = USD 1.031)

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