Guinea-Bissau solar financing secures $87 million for renewable energy projects
Guinea-Bissau has confidently stepped into the future of renewable energy, securing $87 million in financing for two pivotal solar projects. This milestone marks significant progress in the nation’s renewable energy sector. The financing includes a $50 million loan from the African Development Bank (AfDB) and a World Bank $37 million grant to support these crucial initiatives.
AfDB supports Guinea-Bissau solar financing with $50 million loan
The African Development Bank (AfDB) has announced a $50 million loan aimed at developing a 15 MW solar power plant with a 3 MW battery energy storage system (BESS) and a 6 MW hybrid solar power plant. This funding will also facilitate the expansion of the electricity distribution network in Bissau, the capital. The project is designed to improve electricity access for nearly 10,000 households, with a focus on empowering women-led households, which account for 50% of this number. Additionally, the project aims to cut greenhouse gas emissions by 15,000 tonnes of CO2 annually and create over 1,770 jobs. Importantly, it will enable the national utility, Electricidade e Aguas da Guine-Bissau (EAGB), to reduce its reliance on costly diesel imports.
World Bank backs Guinea-Bissau solar financing for rural microgrids
In a separate initiative, the World Bank has announced a $37 million grant to enhance renewable energy access and promote gender equality in Guinea-Bissau. This grant will finance the construction of five solar microgrids in remote areas, providing electricity to an estimated 19,000 people, including 7,000 women. It will also support the development of a 14 MW solar power plant in Bissau and a 4 MW solar plant in the Biombo region. This project, known as the Guinea-Bissau Renewable Energy and Gender Project (GBREG), is funded by the International Development Association (IDA). It aims to address the energy deficit in the country by scaling up renewable energy infrastructure and promoting gender equality in the energy sector.
Guinea-Bissau solar financing reduces fossil fuel use and supports gender equality
The GBREG project is a significant step toward reducing Guinea-Bissau’s dependence on fossil fuels, which currently account for 98% of the country’s electricity generation. By integrating solar energy into the national grid, the project will help diversify the energy mix and lower greenhouse gas emissions. Moreover, the project places a strong emphasis on promoting gender equality by supporting female-owned businesses and providing training to women in the renewable energy sector. This initiative aligns with Guinea-Bissau’s commitment to achieving gender parity and economically empowering women.
Long-term benefits of Guinea-Bissau solar financing for national energy sector
The combined financing from the AfDB and the World Bank is set to transform Guinea-Bissau’s energy landscape by increasing access to clean and affordable electricity. These projects not only enhance the country’s energy security but also contribute to its economic development by creating jobs and reducing energy costs. By investing in renewable energy, Guinea-Bissau is making a significant stride toward achieving its sustainable development goals and aligning with global efforts to combat climate change. These projects represent a crucial milestone in the country’s journey toward a greener and more inclusive future.