The Technique and Transactions Accomplice at Deloitte Ghana and the Africa Infrastructure and Capital Initiatives Chief at Deloitte Africa, Yaw Appiah Lartey, has indicated that de-risking power tasks is crucial to attracting funding and securing commitments from monetary establishments.
In keeping with him, the trail to bankability lies in mixing innovation with danger mitigation, sturdy partnerships, and alignment with each investor expectations and native realities
Talking on the Way forward for Power Convention Africa on the Bankability of Power Initiatives, Mr. Lartey mentioned even in Africa’s high-risk markets, clear power initiatives can appeal to capital when concepts are translated into structured, de-risked, and impact-driven alternatives.
He added that bankable tasks should go by way of key phases:
With regard to concept validation and feasibility research, he suggested governments and stakeholders to conduct thorough useful resource assessments (photo voltaic, wind, hydro) and assessment coverage frameworks.
In keeping with IRENA (2022), over 60% of failed African power tasks stem from weak feasibility research.
Mr. Appiah cited Kenya’s Lake Turkana Wind Energy Mission—365 generators (850KW every), a high-voltage substation, and a 438km transmission line to the nationwide grid—as successful constructed on detailed wind mapping.
On structuring the enterprise mannequin and securing early commitments, he mentioned participating governments, utilities, Improvement Finance Establishments (DFIs), and anchor off-takers is vital, stressing that early commitments from establishments such because the IFC and AfDB can de-risk non-public capital.
Bankable Documentation, Investor Pitching, and Monetary Shut.
He famous that over 70% of African power tasks are structured as Public-Non-public Partnerships (PPPs).
A notable instance is Ghana’s Bui Dam—a 400MW hydroelectric undertaking on the Black Volta, developed by way of a PPP between the Authorities of Ghana and Sino Hydro, a Chinese language state-owned development firm.
Obstacles to Financing
Mr. Appiah Lartey emphasised challenges together with forms, regulatory bottlenecks, corruption, taxes and tariffs, lack of financing choices, technical and tools gaps, scarcity of expert labour, restricted non-public sector involvement, coverage uncertainties, weak group engagement, and insufficient finances allocations.
De-risking Instruments and Revolutionary Financing
He outlined methods equivalent to blended finance (concessional + industrial capital), political danger insurance coverage (MIGA, ATI), forex hedging mechanisms, authorities ensures, credit score enhancements, and stronger group engagement for undertaking sustainability.
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