African Development Bank Invests $20 Million in Private Equity Fund Focused on Renewable Energy Projects in Sub-Saharan Africa | African Development Bank

The Board of Directors of the African Development Bank Group today approved a $20 million equity investment in Evolution Fund III, a pan-African clean and sustainable energy private equity fund mobilizing approximately $400 million in renewable energy and resource efficiency assets in subregions. -Saharan Africa over a period of 10 years.

Inspired Evolution Investment Management is an established fund manager with more than 15 years of experience and a track record of deploying more than $310 million to renewable energy projects in African provinces. Through its predecessor funds, the fund manager has delivered 21 sustainable energy projects with a total generation capacity of 2 GW.

EVIII aims to broaden the geographic and technological scope to include North Africa and several SSA countries and decentralized energy business models as the key climate mitigation and energy transition. The bank’s support will contribute to an additional 2,162 MW of installed capacity for renewable energy generation, 1.8 million tonnes of CO₂ emissions reductions and green and sustainable growth across Africa by creating 2,480 full-time jobs, building on the track record of Evolution Funds I and II, which generated approximately 1,309 jobs, of which 22% were women.

Vice President Kevin Kariuki of the African Development Bank’s Power, Energy, Climate Change and Green Growth Complex said the bank is committed to increasing its portfolio of renewable energy projects and encouraging private investment in renewable and efficient energy solutions. to encourage.

“The Evolution Fund III is well placed to invest much-needed capital in long-term, low-carbon and climate-resilient development pathways to achieve an equitable, net-zero future for African countries,” said Kariuki.

The Bank’s investment in Evolution Fund III aligns with its High Five goals, specifically “Light Up and Power Africa” ​​under its New Deal on Energy for Africa.

According to Wale Shonibare, Director of Energy Financial Solutions, Policy & Regulations, the Bank’s support to a private equity fund focused on advancing renewable energy in Africa will help regional member countries meet their nationally determined contributions and commitments under the Paris Agreement. to fulfill.

Christopher Clarke, Co-Managing Partner at Inspired Evolution, said: “AfDB has been a consistent supporter of Inspired Evolution since 2010 and this third capital commitment demonstrates our trusted partnership established in achieving the AfDB climate targets for Africa.”

Wayne Keast, Co-Managing Partner at Inspired Evolution, added: “AfDB’s investment confirms our track record and advanced approach to investment management in accelerating the clean energy transition in Africa.”

The African Development Bank and partners in the new fund will continue to provide growth capital and infrastructure assets to support renewable and sustainable energy, focusing on decarbonisation, decentralization and digitalisation as key strategies for climate mitigation and energy transition.