The NDB loan through the modality of a two-step loan was used by the IDC for on-lending to its identified sub-projects. The two identified sub-projects utilised the renewable technologies of concentrated solar power and solar photovoltaic (SPV). Both these projects are based in the Northern Cape province.

To facilitate investments in renewable energy that will contribute to power generation mix and avoidance of carbon dioxide emissions in South Africa, in line with the South African Government’s Integrated Resource Plan, and its target of reducing greenhouse gas emissions as articulated in the National Development Plan 2030.

The positive impacts of the Project include increases in generation capacity from renewable energy sources leading to avoidance of CO2 emissions. The development impacts of the Project also include an overall increase in the energy mix of the energy sector in South Africa. The Project unlocks private sector investment and increases the availability of long-term local currency (ZAR) funds for energy sector projects in South Africa.

The Project was implemented between 2019 and 2024.

The Project has been classified as Category “FI-B”, in accordance with NDB Environment and Social Framework (ESF), as funding is through a financial intermediary. The subprojects supported are required to comply with the requirements of the environmental and social framework in South Africa.