The Editor Solar energy would be particularly suited to the African continent. “NEoT Offgrid Africa (NOA) has concluded a receivables securitization program with Zola Electricity Côte d'Ivoire (ZECI - joint venture of EDF and Zola Electric) which aims to equip more than 100,000 households with domestic solar kits in Côte d'Ivoire d'Ivoire, mainly in rural and peri-urban areas", reports a press release from the said structure, of which Fratmat.info received a copy, this Monday, March 02, 2020. NOA, majority-owned by Meridiam, is the first investment platform to put set up a receivables securitization program in the financing of off-grid energy projects in Africa. Its objective for this operation is to achieve a portfolio worth 40 million euros. Through this innovative financing mechanism, NOA enables ZECI to focus on commercializing and deploying clean energy supply solutions in remote areas. With its securitization program, NOA bears the financial risks in this "rent-to-own" scheme which allows customers to become owners of the solar kits at the end of the rental period. In order to reach a majority unbanked population, payments are made via a mobile money platform. NOA steers the financial structuring of the entire project. As part of this operation, NOA has mandated Crédit Agricole CIB (CACIB), Société Générale CIB and Société Générale de Banques en Côte d'Ivoire (SGCI) to meet the financing needs. SGCI has granted a loan in local currency (FCFA), the sums of which will vary monthly depending on the characteristics of the customer portfolio. The guarantees are provided by the African Development Bank (AfDB) and CACIB, while the Grameen Crédit Agricole Foundation will be in charge of monitoring the social and environmental performance of the project.
Solar energy is particularly suitable for the African continent, being able to operate outside the transport and distribution networks, thus making it possible to supply isolated households as well as entire cities. In its study "The Grid won't connect Africa but solar can", the consulting firm Kleos Advisory estimates that nearly 120 million households (i.e. nearly 600 million people) do not have access to energy on the African continent. With each household spending an average of $200 per year on energy service, the market for companies offering off-grid solar solutions for individuals is estimated at $24 billion.
"NEoT Offgrid Africa is very proud to have set up this innovative financing mechanism," said Philippe Ringenbach, CEO of NEoT Capital. The financing needs of the energy sector in Africa are immense, but many obstacles persist for private investors. This operation will position NOA as a key player in the financing of solar home kits and other off-grid clean energy supply solutions such as mini-grids and commercial and industrial (C&I) infrastructure, allowing to provide a much greater energy access to people and industries in Africa. »
“We are developing sustainable and resilient infrastructure with a particular focus on energy transition and energy access in Africa, as illustrated by the 15 projects we are developing, financing and overseeing on the continent, adds Mathieu Peller, COO of Meridiam Africa. With this project led by NOA, we are contributing to the emergence of alternative financing methods and innovative solutions in the African energy sector, for which demand, particularly in the off-grid, is immense. »

About NEoT Offgrid Africa

NEoT Offgrid Africa (NOA) is an investment platform intended to support the energy transition in Africa by responding to the issues of access to energy and zero-emission mobility. Founded and owned by Meridiam (as majority shareholder), EDF and Mitsubishi Corporation, NOA sets up innovative financing solutions for its clients to remove obstacles related to initial investments, the deployment of new technologies and the management business risk.

NOA is managed by NEoT Capital, which brings together a team experienced in financial structuring and clean energy solutions, and which relies on international strategic partners to provide the financial and operational support necessary for the development of a carbon-free world.

www.neotcapital.fr

About Meridiam In Africa, Meridiam develops and finances 15 major projects for a total amount of more than 3 billion euros. Meridiam is a strategic partner of the Africa France Summit for sustainable cities and territories in Bordeaux from June 4 to 6, 2020.

Meridiam was founded in 2005 by Thierry Déau, with the belief that aligning the interests of the public and private sectors can provide critical solutions to the collective needs of communities. Meridiam is an independent investment company with a mission specializing in the development, financing and management of sustainable and long-term public infrastructure assets and projects in the mobility of goods and people, energy transition and infrastructure. social. With offices in Addis Ababa, Amman, Dakar, Istanbul, New York, Luxembourg, Paris, Toronto and Vienna, Meridiam currently manages €7 billion in assets, and over 75 projects and assets to date. Meridiam is ISO 9001: 2015, ISO 26000 Advanced certified by VigeoEiris and applies a systematic and clean methodology in terms of ESG (environmental, social and governance criteria) and impact based on the UN Sustainable Development Goals ( UNSDG).