African Development Bank (AfDB), has approved the conversion of the Sustainable Energy Fund for Africa (SEFA) a bilateral trust fund established with funding from the Government of Denmark and administered by the AfDB into a multi-donor trust fund with a wider remit.
AfDB in a statement said the with this conversion, the United States Agency for International Development (USAID) will become the second anchor donor and make a financial contribution as part of President Obama's Power Africa Initiative, while also opening the door for other donors interested in promoting private-sector led investments in small and medium sustainable energy projects.
"AfDB has endorsed a new financing window to support related enabling environment activities." On the occasion of the Board's approval, Acting Director of the AfDB's Energy, Environment and Climate Change Department, Mr. Kurt Lonsway, said, "This development proves that SEFA has established itself as a brand in Africa since its launch in 2012. SEFA has already approved USD 4 million in project development grants, co-sponsored an innovative private equity fund and facilitated various contacts between renewable energy entrepreneurs and project financiers in Africa.
"We are pleased that these early successes can now be scaled-up as the fund opens to new donors ultimately positioning SEFA as one of Africa's leading facilities for realizing the Sustainable Energy for All (SE4All) Initiative", he said.
The Ambassador, alternate AfDB Govemor and Africa Director at the Danish Ministry of Foreign Affairs, Brigitte Markussen, said they are pleased to have provided the early support for the establishment of the SEFA platform and shall continue supporting it as a leading facility for Africa.
