18th October 2022
Africa GreenCo Group Limited via its operating entity GreenCo Power Services Limited acts as an intermediary offtaker and service provider, purchasing power from renewable IPPs and selling that electricity to utilities and private sector offtakers (i.e., commercial and industrial users) and markets of the SAPP. GreenCo will mitigate the risk of purchaser default through an ability to secure alternative buyers or through short-term trading on the SAPP electricity markets. Through its participation in competitive power markets, GreenCo will promote cross-border power transactions and a more dynamic and liquid short-term power market. Through its activities, GreenCo will increase the supply of, and demand for, finance for energy projects, and mobilise private sector capital more quickly towards critical and transformative capacity addition. For more information please see: https://africagreenco.com/
On 13th April 2022, GreenCo achieved its second financial close with an equity investment of USD15.5m by the Danish Investment Fund for Developing Countries (IFU), the EU-funded Electrification Financing Initiative (EDFI ElectriFI) and Private Infrastructure Development Group’s (PIDG) InfraCo Africa. This investment provides the requisite capital to scale up operations as a regional creditworthy buyer of renewable energy and support the growth of its supply portfolio.
Through its Zambian subsidiary, GreenCo Power Services Limited, GreenCo ran a competitive tender process in 2021 to procure its initial solar PV project in Zambia. The Ilute Solar consortium, comprising Western Solar and Serengeti Energy, emerged as the preferred bidder to develop, build, own and operate a 25MW generation facility in the Sesheke District of the Western Province.
GreenCo also intends to expand its operations into other SAPP-connected countries and is in advanced discussions with the regulators and utilities in several countries. Such operations will comprise both (i) providing access to the Southern African Power Pool (SAPP) markets for generators and customers and (ii) committing to long term fixed price PPAs to facilitate greenfield development.