Download DOC - Europa.eu

PRESS RELEASE
BEI/10/166
7 October 2010
EIB and African Development Bank finance first large-scale wind farm in Africa
The European Investment Bank and African Development Bank today agreed to provide EUR 45m to design,
build and operate onshore wind farms on four islands in the Cape Verde archipelago. This will be the first large
scale wind project in Africa and first renewable energy public private partnership in sub-Saharan Africa. The
project will provide over 28MW of electricity generating capacity and help the island reach an ambitious target of
ensuring that 25% of local power needs are provided by renewable energy by 2012 and 50% by 2020. The
project is being developed by InfraCo in a public-private partnership between the government of Cape Verde
and local power utility Electra.
The project will introduce modern wind power technology provided by Vestas to enable wind power to be
established as the primary alternative to electricity produced by fuel oil or diesel. Alongside significantly reducing
greenhouse gas emissions the programme will increase access to electricity in Cape Verde, reduce the need to
import fuel priced in foreign currency and help establish wind energy as a reliable source of non-polluting
renewable power on the islands. The European Investment Bank will provide EUR 30m and the African
Development Bank EUR 15m for the EUR 65m project. The project follows the European Union 2008 – 2013
Cape Verde country strategy.
The agreement was signed in Washington D.C. by Plutarchos Sakellaris, European Investment Bank Vice
President responsible for Africa, Cape Verde Finance Minister Cristina Duarte and representatives of the African
Development Bank.
“Cape Verde is pleased to host the first large scale wind farm project in Africa and the project will help Cape
Verde provide 50% of electricity from renewable sources by 2020. We thank the European Investment Bank and
African Development Bank for their financial support and expertise in making this project possible.” noted Cape
Verde Minister of Finance Cristina Duarte.
“This project establishes wind energy as a competitive alternative to traditional diesel generation in Cape Verde.
Enabling small island states to use renewable energy contributed to the global fight against climate change.
Close cooperation between the European Investment Bank and African Development Bank demonstrates the
contribution long-term public finance can make to developing renewable energy projects in a challenging
economic climate” said Plutarchos Sakellaris, European Investment Bank Vice President responsible for Africa.
“Climate change seriously threatens sustainable development and achievement of the Millennium Development
Goals (MDGs) in Africa. However, climate change also provides new incentives and opportunities for Africa to
pursue a low carbon intensive development as sustainable growth requires access to diverse, reliable,
affordable clean and renewable energy.” African Development Bank President Donald Kaberuka added.
“The project propels Cape Verde into a position of leadership in renewable power generation in Africa where the
country’s Public Private Partnership structure will be extensively studied and replicated throughout the region.”
noted Fabio D. Borba, President of Cabeolica.
Wind energy was first introduced to Cape Verde in 1994, but until now only provides 2% of power needs in the
small island state located 500km of the West African coast. The project will include comprehensive
environmental studies, wind resource assessment and interconnections to the high-voltage network. All wind
farms are expected to be operational by the end of 2011 and provide significant employment.
Media contacts:



European Investment Bank: Richard Willis, (Luxembourg),
Tel: +352 621 555758, Email:
[email protected], www.eib.org
African Development Bank: Onike Nicol-Houra (Washington), Tel: +21671103227, Email:
[email protected]
Cabeolica & InfraCo Africa: Tobin Jones Tel: +44 (0) 207 079 3077 Fax: +44 (0) 207 323 6570
email: [email protected]
Notes for Editors:




The European Investment Bank, the long-term lending institution of the European Union, whose
shareholders are the 27 European Union member states, has been active across Africa for over 40
years. EIB activities follow policies and objectives set down by European Union member states and
whose Finance Ministers are the EIB’s Governors.
Over the last 5 years over EUR 8.6 billion has been provided by the European Investment Bank for
projects across Africa. The European Investment Bank operates in sub-Saharan Africa under the
Cotonou Agreement. Last year the European Investment Bank’s dedicated climate action enabled EUR
17bn of loans to be provided for projects that contribute to the reduction of CO2 emissions.
A special purpose company, Cabeolica S.A., owned by the GoCV, Electra, InfraCo, Africa Finance
Corporation (AFC) and Finnfund will develop, build, finance and operate the Cape Verde Wind Farm
project for the project promoters.
Project developer InfraCo is funded by the Private Infrastructure Development Group with support from
international development donors including DFID, IrishAid and the World Bank, and development
agencies in the Netherlands, Austria, Sweden and Switzerland.