The International Renewable Energy Agency (IRENA) and the Abu Dhabi Fund for Development (ADFD) have launched $50m funding round for renewable energy projects in developing countries.
The funding is part of a ADFD’s $350m commitment to support scalable, replicable and transformative renewable energy projects endorsed by the IRENA.
IRENA director-general Adnan Amin said: “Many developing countries are blessed with abundant renewable energy resources, yet access to financing can still hinder development.
“IRENA’s partnership with ADFD helps overcome this challenge by offering concessional loans to quality renewable energy projects in developing countries, which then leverage additional investment.
“Funding from the Facility helps boost renewable energy deployment and trigger economic growth, offering sustainable and affordable energy to people with limited or no access to electricity.”
In the previous rounds, about $333m in loans have already been awarded for 15 projects in 14 countries.
These projects included off-grid, mini-grid and on-grid projects using wind, solar, hydro, geothermal and biomass sources.
ADFD director-general Mohammed Saif Al Suwaidi said: “The IRENA/ADFD Project Facility is a pioneering partnership that supports the developing world’s energy needs by tapping into their abundant renewable energy sources.
“At ADFD, our aim is to provide governments with the financial resources and instruments to achieve their desired development goals and ensure a secure future for their citizens.”
Each of the selected projects will be offered with $5m to $15m loans, covering up to half of their estimated cost.
IRENA and ADFD are planning to announce the results of the fifth funding round in January 2018. The last day for submission of bids is 15 February 2017.