Legalbrief, 5 March, 2019
And, in a further boost for IPPs, the Development Bank of Southern Africa (DBSA) said last week it had been granted $100m funding from the Green Climate Fund to establish the Embedded Generation Investment Programme (Egip). According to a Cape Times report, embedded generation under Egip is defined as the production of electricity from generation facilities that are connected to the national grid with or without wheeling arrangements. The investment programme consists of a credit support mechanism that will develop a model for funding embedded generation renewable energy projects in SA. The sub-projects under Egip will be implemented by private sector entities in their capacity as IPPs and local municipalities. The DBSA said it had matched the Green Climate Fund’s $100m, ensuring a funding contribution of $200m towards the implementation of the embedded generation investment programme from the two institutions.