More foreign investors are being attracted to the emerging renewable energy markets in Africa.
Private equity company Denham Capital and renewable energy company GreenWish Partners have signed an agreement to finance and develop renewable energy projects across Africa. The cumulative capacity of these projects will be 600 MW.
The two companies will target sub-Saharan countries and markets where renewable energy projects are competitive without subsidies.
GreenWish is currently in the process to implement a 20 MW solar PV project in Senegal. The project is expected to be operational by October this year and will provide electricity to over 180,000 people the west-African country. The project is likely part of the first tranche of the 600 MW planned capacity. The first tranche will see implementation of 150 MW capacity.
“(We are) looking at both on and off-grid projects in a number of countries and aims at offering B2B solar hybrid solutions to energy intensive industries, including telecom operators, mining, and commercial off-takers,” GreenWish’s chief investment officer Parmentier said.
Denham Capital is a leading energy and resources-focused global private equity firm with more than $8.4 billion of invested and committed capital. The company has invested in several renewable energy companies including Rio Energy, BioTherm Energy, Fotowatio Renewable Ventures and Greenleaf Power.