The U.S.-Africa Clean Energy Finance Initiative (ACEF) has reached a key milestone in deploying millions of dollars for renewable energy in Africa.
The U.S. Trade and Development Agency (USTDA) and Overseas Private Investment Corporation (OPIC) reached a 100% commitment to fund the initial projects under the ACEF.
The program is designed to help promising clean energy projects develop into viable candidates for financing by providing small amounts of early-stage funding for essential inputs, such as technical and feasibility studies. The ACEP will act as a catalyst to advance invested projects, helping to attract private sector follow-on investment whilst also helping to fuel low-carbon economic growth in the region.
Since the launch of the program, the USTDA and OPIC have committed to 30 renewable energy projects across 10 African countries. The initial $20 million in funding could lead to more than 400MW of new renewable projects in Africa and mobilise more than $1.5 billion in project capital.