UN gives US$10m for renewable energy projects

Zim Now Writer

The United Nations has, through the country’s joint sustainable development goals partners, the UNDP, Unesco, UN Women and UNCDF, donated US$10 million meant for renewable energy projects.

This comes as Zimbabwe is battling an energy crisis of huge proportions, which has resulted in people enduring up to 22 hours of load shedding.

Thius has been a result of reduced generation capacity, owing to the low levels of water in Lake Kariba, coupled with the frequent breakdown of the antiquated equipment at the Hwange Thermal Power Station.

Renewable energy fund projects will be implemented in partnership with the government and financial services group, Old Mutual.

“The SDG fund is a US$10 million renewable energy fund that aims to leverage local financial markets to finance renewable energy projects with a return on investment while achieving social impact for the acceleration of SDG achievement in Zimbabwe,” the UN said in a statement.

“Match funding is expected from other private sector players. For now, we have matching fund commitments from Old Mutual among other financial players. The joint programme hopes to benefit Zimbabwe by increasing access to capital to finance renewable energy projects, the introduction of renewable energy technology with new entrepreneurship opportunities, income and job creation, and improved quality of life and the environment,” the UN statement read.

In order to address capacity gaps and increase access to funding of SMEs in the pre-investment, investment and post-investment stages, the joint programme will leverage partnerships with international renewable capacity-building organisations and local money markets.