Ghana: Putting Energy Efficiency and Renewable Energy within the Reach of Households and Businesses with Sunref
published on 25 May 2022
AFD and GCB Bank Plc signed a USD 13.7 million Credit Facility Agreement and a EUR 1 million Grant Financing Agreement from the European Union, to support local businesses towards the development of Energy Efficiency (EE) and Renewable Energy (RE) projects under the Sustainable Use of Natural Resources and Energy Finance programme (Sunref) in Ghana. Through this partnership with GCB PLC, Sunref Ghana will continue to offer competitive loans and technical assistance for structuring green investments to companies, organizations, individuals and households. This will enable them to seize the opportunities of green finance and the ecological transition.
The objective of the Sunref Programme is to mobilize Ghanaian financial institutions, such as GCB Bank Plc and CALBANK, to finance private sector investments in green technologies, especially in the RE and EE market segments in Ghana. These partner financial institutions provide green loans, investment grants (up to 10% of the loan) and technical assistance to finance small and medium scale RE and EE projects in Ghana. Thanks to the European Union support and the investment grant incentive, the Sunref Ghana programme promotes the development of a low carbon and resilient economy by financing solar rooftops, electric vehicles, green buildings or other EE and RE investments for individuals and companies.
The Technical Assistance Facility of the Sunref Programme is a 3-year programme jointly developed by AFD and the Energy Commission and financed by the European Union. It supports project preparation and provides training to partner institutions on climate-smart technologies.
Held at the Marriot Hotel, the Ambassador of France to Ghana, H.E. Anne-Sophie Avé, representing the EU Ambassador, the EU Delegation Head of Cooperation, Massimo Mina, the Director of AFD’s Africa Department, Christian Yoka, and GCB Bank PLC’s Managing Director, John Kofi Adomakoh, highlighted the main features of the SunrefF Programme, which is the first comprehensive green finance project to be deployed at this scale in Ghana. Senior officials from the European Union, the French Embassy AFD and GCB Bank Plc attended the event.
“For us at GCB Bank Plc, sustainability is a matter of survival. It is time for a rethink of how we deploy our capital and resources to achieve growth beyond our generation. Our partnership with AFD is a demonstration of our commitment to this cause”, John Kofi Adomakoh, MD, GCB Bank PLC., stated.
"The partnership between AFD and GCB Bank PLC is a great way to promote Ghana’s efforts closer to the achievement of their contribution to the Paris Agreement Nationally Determined Contributions (NDCs). Through this partnership, GCB will be able to reach local businesses and households with an attractive financial offer for green projects, and guide their clients towards more climate-smart technologies, such as electric mobility, green building, solar energy," etc. Christian Yoka, Director of AFD’s Africa Department added.
In the words of H.E. Anne Sophie Avé, Ambassador of France to Ghana, “Affordable loans and grants to fund projects, whether for companies or individuals, to provide greener energy is one of the tools to fight climate change, improve livelihood and contribute to sustainable growth. This is an example of the win-win partnerships between France and Ghana.”
On behalf of H.E. Mr. Razaaly Irchad, EU Ambassador, the EU Delegation Head of Cooperation, Massimo Mina said: “It is a great example of European partners coming together, in a Team Europe spirit, to support and boost investment in Renewable Energy (RE) and Energy Efficiency (EE) projects in Ghana. This support contributes to Ghana’s green transition via its private sector. It facilitates Ghana’s energy decarbonisation path and confirms our shared commitment to climate actions. Energy Efficiency and Renewable Energy are priorities for Ghana and high on the EU Green Deal agenda.”
