Technical assistance

TAF

Technical Assistance Facility (TAF)

Providing grants for various forms of technical assistance within PIDG, to help companies overcome specific obstacles in the development of their projects

TAF approved 30 new grants in 2016, including:

Burkina Faso Windiga Zina Solar IPP Part 2 EAIF

Chad Solar IPP Advisory InfraCo Africa

Chad Compliance Training InfraCo Africa

Kenya Local currency PPA Finance GuarantCo

India Kumar Slum Rehabilitation GuarantCo

Malawi New Entrant Study  InfraCo Africa

Mali Koutiala Solar IPP EAIF

Mozambique Hydro Capacity Building InfraCo Africa

Mozambique Mocuba Solar VGF EAIF

Myanmar TELCO ESCO InfraCo Africa

Rwanda Rwanda Rental Housing BM Study GuarantCo

Sierra Leone Small Hydro Returnable Grant EAIF

Sierra Leone Bumbuna II E&S EAIF

Zambia Chiansi VGF Preparation InfraCo Africa

Achievements in 2016

TAF approved 30 grants totalling $27.1m. Its work supported projects undertaken by EAIF, InfraCo Africa, InfraCo Asia and GuarantCo. TAF continues to be a crucial partner to the PIDG companies with 66% of completed grants providing essential support to financially closed projects.

TAF made Viability Gap Funding grants to EAIF and InfraCo Africa. The first provided $7m to a solar project in Mozambique, demonstrating the country’s solar potential to private investors. The second $5m grant was for an agribusiness project in Zambia designed to harness the country’s untapped agricultural potential.

TAF financing supported much-needed compliance training for the Government of Chad in response to issues on regulatory observance. This will help to facilitate greater future private sector involvement in Chad.

InfraCo Asia received a grant to support technical assistance and capacity building activities to help develop a solar micro-grid project in Myanmar.

Other notable highlights

An independent performance evaluation of TAF was completed by Cambridge Economic Policy Associates which highlighted that it is well-aligned with PIDG’s mission and that its unique products are vital in ensuring project development impact.

As part of the TAF/DevCo scale-up approved in 2015, the facility has increased its use of returnable grants this year. By adding this component to projects that are likely to generate a return, TAF is ensuring a more sustainable future funding structure.

TAF is financing embedded transaction advisers in Sierra Leone, Nigeria and Zambia, working alongside local governments to build capacity and unblock the project pipeline for further private sector investment in these countries.

2017 and Beyond

TAF’s pivotal role within PIDG will continue into 2017 as a result of the increasing challenges of working in low-income countries. TAF fills an important market gap, enabling projects to reach financial close.

TAF will also play a lead role in developing Joint Development Plans in Zambia and Myanmar, seeking to optimise PIDG’s impact by co-ordinating a joined-up approach.

Throughout 2017 TAF will seek to capitalise on the success of GuarantCo’s InfraCredit project in Nigeria by helping to finance the roll-out of similar locally-owned and operated credit enhancement facilities in high priority PIDG countries.

Annual Report 2016

DevCo

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Annual Report 2016

Annual Report 2016

Annual Report 2016

Annual Report 2016