The International Solar Alliance (ISA) announced on Thursday that it has entered into exclusive discussions with Africa50 to appoint the latter as a potential investment manager for the proposed Africa Solar Facility (ASF). This decision comes after ISA initiated a public expression of interest (EOI) process to identify suitable candidates for managing the ASF.
Key Role of Solar Power in Climate Action
The announcement was made during the first-ever International Solar Festival 2024, a major event hosted by ISA, an intergovernmental organization focused on promoting solar energy as a crucial solution to combat climate change and support the transition to a carbon-neutral future.
ISA Director General Ajay Mathur highlighted the partnership with Africa50, stating, “We are excited to collaborate with Africa50 to implement the first regional solar fund in Africa under ISA’s Global Solar Facility programme.” Mathur further noted that Africa50’s blend of public sector reach and private sector agility makes it a strong fit for managing the facility.
Boosting Solar Investment in Africa
The $200 million ASF is designed to drive investment in distributed solar projects across Africa. By offering tailored financing solutions, the facility aims to address the challenges of smaller project sizes and perceived high risks, which have previously deterred investment in the region, despite the growing demand for clean energy. The ASF is expected to play a crucial role in expanding energy access, accelerating solar energy deployment, and supporting sustainable development efforts across the continent.
