ElectriFI, an impact investment facility of the European Union, is dedicated to investing in early-stage private companies and projects in Africa that enhance or improve access to sustainable energy.
In August 2023, the mechanism completed its inaugural transaction in Burundi.
Partnership for Hydropower Development
On July 11th, Tembo Power, a renewable energy company active in Sub-Saharan Africa, and ElectriFI, managed by EDFI Management Company, announced a financing agreement to support the development and funding of the Dama (9.8 MW) and Siku (12.4 MW) run-of-river hydropower plants in Burundi.
ElectriFI’s Financial Support for Development
Under the agreement, ElectriFI will provide a $300,000 loan to Tembo Power to finalize development activities, with a particular emphasis on geotechnical, environmental, and social aspects.
Tembo Power’s CEO Expresses Enthusiasm
Raphaël Khalifa, CEO of Tembo Power, expressed his delight in partnering with ElectriFI and EDFI Management Company for the Dama and Siku hydropower projects, in addition to the support received from the International Finance Corporation (IFC) last year.
Clean Energy for Isolated Regions
Upon completion, the power plants are expected to generate 105 GWh of clean electricity annually, providing much-needed power to isolated regions in Burundi, which currently has one of the lowest electrification rates globally.