Luanda - The British multinational bank Standard Chartered announced Monday that it will finance an amount of USD 1.4 billion with the aim of supporting the construction of infrastructure in the country, with emphasis on the extension of photovoltaic energy in rural areas.
The announcement, which was published in "ESI Africa", an online newspaper focussed on energy issues, states that the new power generation systems will allow rural communities to become self-sufficient and less dependent on the main energy supply chain in Angola.
The fund has support from the German export credit agency Euler Hermes and the MCA Group contractor is to manage the project.
The rural electrification project developed by the Angolan Ministry of Energy and Water, which shares information with the bank, will benefit about 203 households, corresponding to about one million Angolans, in 60 communities already identified, with Moxico, Lunda Norte, Lunda Sul, Bié and Malanje being the provinces selected for the implementation of the project.
The bank's note says that part of the available money will be used to finance 48 hybrid photovoltaic generation systems with energy storage that will act as "mini-grids" and operate autonomously, as well as providing access to 100% renewable energy to communities that have not yet benefited from the national electricity grid.
Another amount will be used to improve the electricity supply in Malanje Province and to create new power lines and grids aiming to connect its municipalities.
The bank expects that the assembling of the new electric power helps to diversify the country's energy standard, saving up to 7.9 megatonnes of CO2 emissions.
To the bank Standard Chartered CEO, Cláudia Conceição, the commitment with the sustainable development and support for communities in the transition to renewable energy is reflected in the company's financing of solar energy infrastructure in Angola.
On her part, Edna Schöne, member of the Executive Board of Euler Hermes, said that the project is not only of crucial importance for Angola and sub-Saharan Africa, but will also help reduce greenhouse gas (GHG) emissions.
She added that they are pleased that many small and medium-sized German companies are involved in this project and will contribute to its success with their technology and know-how.
This transaction follows the recent announcement of USD 263 million funding from Germany's export credit agency (ECA) for the Government of Angola to build new infrastructure, supporting the country's agricultural industry and transport network.
Another amount was USD 165 million of Social Loan financing for Angola's Ministry of Finance to build a new hospital in the satellite town of Kilamba, with a specialised burn ward.
In September 2021, the Bank also announced USD 1.1 billion to finance the development of the critical water infrastructure to serve the Angolan capital, Luanda.
With its headquarters in London, UK, Standard Chartered Bank Group has operations in more than 70 countries.
NE/MRA/jmc
