The Board of Directors of the African Development Bank (AfDB) Group on Wednesday approved a US$20 million equity investment in Evolution Fund III, a pan-African private equity fund specializing in clean and sustainable energy , which is mobilizing approximately $400 million in renewable energy and resource efficiency assets in sub-Saharan Africa over a 10-year period.
Inspired Evolution Investment Management is a well-established fund manager with over 15 years of experience. It has already invested more than $310 million in renewable energy projects in African countries.
Through its previous funds, the fund manager has completed 21 renewable energy projects with a total generation capacity of 2 gigawatts, an AfDB statement said.
The Evolution Fund III aims to broaden its geographic and technological reach to incorporate North Africa as well as several Sub-Saharan African countries and distributed energy business models as a key factor in mitigating climate change. and energy transition.
The Bank’s support will help generate an additional 2,162 megawatts of renewable energy, reduce CO2 emissions by 1.8 million tonnes, and drive green and sustainable growth across Africa.
It will facilitate the creation of 2,480 full-time jobs, building on the results obtained by the Evolution I and II funds, which generated approximately 1,309 jobs, 22% of which are occupied by women.
Kevin Kariuki, the African Development Bank’s Vice President in charge of the Power, Energy, Climate Change and Green Growth Complex, quoted in the statement, said the Bank is committed to strengthening its portfolio of renewable energy projects and encourage private investment in renewable and efficient energy solutions.
“The Evolution III Fund is well positioned to invest much-needed capital in long-term, low-carbon and climate-resilient development pathways that will enable African countries to achieve the goal of a just future. and net zero,” Kariuki said.
The Bank’s investment in Evolution Fund III aligns with its operational objectives, the “High-5s”, in particular the objective “Light up and Power Africa”, as part of its “New Deal” on energy for Africa.