A grid-connected project is system that allows you to power your home or small business with renewable energy.
Gigawatt Global’s 7.5MW solar plant in Burundi is to become the first grid-connected project supported by the Renewable Energy Performance Platform (REPP) to begin full construction.
The project is also the first grid-connected solar development by an independent power producer (IPP) in Burundi.
It is hoped the success of the venture will pave the way for further foreign investment into the country’s renewable energy sector by demonstrating the government’s increased capacity – and willingness – to enter into bankable power purchase arrangements.
Full construction works on the plant in Mubuga, in Gitega Province, is set to begin imminently after Notice to Proceed was issued earlier this week.
This marks a key milestone for REPP, which was set up in 2015 with funding from the UK’s International Climate Finance to help small and medium-scale renewable energy projects attract private and institutional investment in sub-Saharan Africa.
REPP has been supporting the project with development capital since December 2016, and has now committed to provide a construction bridge loan. The balance of the funding will be provided by a matching construction bridge loan and equity investment from Evolution II Fund, managed by Inspired Evolution Investment Management, and further equity funding by the project developer and co-sponsor, Gigawatt Global Coöperatief.