Debt, guarantees and mezzanine
Chiansi irrigation in Zambia reached financial close, over 10 years after it was first set in motion by the Chanyanya pilot. As well as developing a commercial farm, irrigated market garden plots
will give more than 6,000 people access to cash crops, fresh fruit and vegetables all year round, for the first time.
InfraCo Africa committed $30m of equity investment to the ground-breaking Corbetti Geothermal power plant. It is a landmark deal, being the first private geothermal project in Ethiopia and the largest single commitment InfraCo Africa has made to date.
In October, InfraCo Africa and GuarantCo marked the opening of PIDG's east and southern Africa office in Nairobi, establishing InfraCo Africa's first team on the ground in Africa. Following quickly thereafter with the employment of resource in west Africa which has led to mobilisation of two projects; Khoumagueli Solar in Guinea and Abiba Solar in Nigeria.
Two new developers, Access Power and CPCS, were brought on board to join InfraCo Africa’s existing developers, eleQtra and Aldwych Africa Developments. The companies will develop pre-financial close infrastructure projects in sub-Saharan Africa’s poorer countries in partnership with or on behalf of InfraCo Africa. The two new contracts commit an additional $30m of funding to sub-Saharan infrastructure development.
Off-grid energy solutions for rural areas grew this year, with InfraCo Africa’s portfolio now at four, encompassing innovative off-grid solar and hydropower solutions in Zambia, Uganda and Tanzania. These projects bring much-needed power to communities which are isolated from the national grid and would otherwise have limited access to modern public services and economic opportunities. InfraCo Africa will continue to prioritise the development of pioneering off-grid solutions in 2018.
During the past three years, InfraCo Africa has committed over $70m to developing 11 new projects. Through the focused commitment of InfraCo Africa’s team and its partners, these projects are reaching fruition, with five of them planned to commence construction in 2018.
InfraCo Africa will foster greater co-operation with other PIDG companies, including GuarantCo with whom it is now co-located in Nairobi. It has the ambition and the funding to accelerate the further expansion of its pipeline and development impact.