AfDB to give us another EUR 83 mn for electricity reforms, energy efficiency
The African Development Bank (AfDB) has approved an EUR 83 mn loan to support the development of Egypt’s power infrastructure, the multilateral lender said in a statement. The money will help to finance the second phase of the Electricity and Green Growth Support Program (pdf), an initiative designed to improve the finances of public sector electricity bodies, increase private sector participation in power infrastructure, and promote green energy sources and energy efficiency. The French development agency AFD and Japan’s JICA are also providing Egypt with some loans for the program, the bank said.
The first EUR 225 mn phase of the EUR 450 mn program finishes at the end of this month. The initial phase was agreed with the government last year and has spanned FY2020-2021. Money allocated in the first phase has supported the electricity sector to revise tariffs, pay down debts, award competitive contracts to private firms, increase the usage of small-scale solar PV plants, and set new national energy efficiency targets.
The second phase begins in July: It will provide further support to the government on electricity tariffs, a new procurement framework for the electricity sector, and new units in several government ministries dedicated to improving energy efficiency.
CORRECTED ON 17 June 2021
Typo in the headline amended to reflect the actual funding signed.