Dubai-based Access Power and French renewable energy investment firm EREN have launched a US$500 million joint venture to will fund early stage power projects in Africa, the biggest fund of its kind on the continent.
The investment vehicle, named Access Infra Africa, aims to develop a portfolio of assets worth over US$500m, with EREN taking a ‘strategic’ equity stake in Access and a seat on its board.
“Access Infra Africa perfectly illustrates EREN’s strategy of developing renewable projects in areas of the world where renewable energy represents a competitive answer to growing local energy needs, such as Africa,” said David Corchia, chief executive officer (CEO) of EREN Développement.
“We are thrilled to bring our global expertise in the field of renewable energy to Access’ world-class team and strong regional presence.”
Reda El Chaar, chairman of Access, said: “We are delighted to be joining forces to develop sustainable and affordable power assets across Africa. Africa’s energy sector and wider economy could be transformed by the billions of dollars of financing available. However, this funding cannot have an impact without well-resourced and experienced developers willing to take early-stage project risk and turn good concepts into bankable projects.”