Renewable energy sector receives $300m loan boost
New Development Bank and Development Bank of Southern Africa will finance the project which aims to increase clean energy production
SA’s drive to boost the renewable energy sector has received a boost following the signing of a $300m loan agreement between the New Development Bank (NDB) and Development Bank of Southern Africa (DBSA) designed to support the sector. The NDB and Eskom also formally signed the loan agreement for the renewable energy integration and transmission project which was agreed on in 2018. The project is expected to be implemented over 15 years from 2018 to 2033. Under the Eskom agreement, the NDB will provide a loan with sovereign guarantee to Eskom for $180m. It will be used to support the development of grid connection infrastructure, which is vital for the development of renewable energy projects. The $300m loan agreement is for greenhouse gas emissions reduction and the energy sector development project. It was signed by NDB vice-president and COO Xian Zhu and Patrick Dlamini, DBSA CEO at the fourth annual meeting of the NDB in Cape Town on Monday. The loan facilities come as the govern...
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