European Investment Bank (EIB) to fund Burkina Faso solar plant

The European Investment Bank (EIB) last week confirmed EUR 38.5 million ($46.5 million) of new financial and technical support to transform renewable power generation in Burkina Faso. EIB will finance half the cost of expanding the first solar project built by Sonabel, the West African nation’s electricity utility. Sonabel is expanding its first solar power plant from 37 MW to 50 MW. 

The latest European Investment Bank support for climate action in the Sahel was announced during a virtual event earlier today by Ambroise Fayolle, European Investment Bank Vice President.

EIB is pleased to back Sonabel’s first solar power plant that will transform renewable energy generation in Burkina Faso

Ambroise Fayolle, European Investment Bank Vice President.

This new agreement will enable thousands of people in the West African nation to benefit from more reliable access to clean energy.

Reducing the electricity import bill of Burkina Faso

The EUR 38.5 million scheme will increase domestic electricity production and help reduce Burkina Faso’s electricity import bill. Burkina Faso relies significantly on power imports from southwestern neighbor Côte d’Ivoire to meet some of its power needs. 

“The European Investment Bank has supported long-term investment in Burkina Faso since 1970 and is committed to strengthening economic opportunities, supporting sustainable development and accelerating climate action across the Sahel.” said Ambroise Fayolle, European Investment Bank Vice President.

The EIB initiative will improve energy access in Burkina Faso and assist the West African country increase energy security to meet its developmental ambitions. The Burkinabe Minister of the economy, finance and development, M. Lassané Kaboré celebrated the new investment saying it will scale up renewable energy generation capacity in the country.

Support for climate change mitigation

EIB is also investing in climate change mitigation in the West African nation. The country recently experienced devastating floods that destroyed more than 24,000 homes and about 150,000 properties were damaged. The total finance scheme of EUR 70.5 million will cover renewable energy investment (EUR 38.5 million) and climate change mitigation. 

“Team Europe is committed to delivering sustainable development in Burkina Faso and Africa and strengthening cooperation with African partners. This new agreement will enable thousands of people in Burkina Faso to benefit from more reliable access to clean energy and address flood risks.” said Wolfram Vetter, European Union Ambassador to Burkina Faso.

Supporting climate related investments is part of EIB’s agenda for Africa. The European Investment Bank is the world’s largest international public bank and owned directly by the 27 European Union member states.