Burkina Faso's National AMP Project aims to increase access to clean energy by improving the financial viability of, and promoting large-scale commercial investment in, solar photovoltaic minigrids in Burkina Faso. It will, in particular, focus on enabling innovation and technology transfers in dece Contact online >>
Burkina Faso''s National AMP Project aims to increase access to clean energy by improving the financial viability of, and promoting large-scale commercial investment in, solar photovoltaic minigrids in Burkina Faso. It will, in particular, focus on enabling innovation and technology transfers in decentralized renewable energy distribution and storage solutions.
The project will also support the government''s COVID-19 recovery efforts and strengthenthe resilience of vulnerable communities by supporting livelihoods and providing income-generating activities.
Lasting 48 months from February 2023 to January 2027 for a total cost of 1,086,476,580 CFA francs, Burkina Faso''s National AMP Project is funded by the GEF, UNDP and the Government of Burkina Faso. It is implemented by the Burkinabè Agency for Rural Electrification (ABER) through four components:
• Policy and regulation, which aims to contribute to removing the political, regulatory and institutional obstacles which may hinder private sector investments in renewable energy minigrids in Burkina Faso;
• Innovation and private-sector business models, which aims to demonstrate the commercial viability of new minigrids models, with a focus on supporting the productive uses of energy;
• Large-scale financing, which aims to facilitate access to low-cost commercial capital including equity and debt, and ideally in local currency, to reduce the cost of minigrids and ensure the long-term commercial viability of minigrid markets;
The project will be active in seven municipalities across the following seven regions: the Cascades, the Boucle du Mouhoun, the Center, the Center-North, the Center-East, the North and the Central Plateau.
It is expected to significantly contribute to accelerating the country''s rural electrification efforts. Burkina Faso''s rural electrification rate has already been rapidly increasing, going from 3.2% in 2016 to nearly 10% in 2019, through the extension of the national grid. However, because extending the grid is a costly electrification method, the overall rural electrification rate has remained low.
Due to falling hardware costs, the rise of digital technologies and the adoption of private-sector business model, solar-battery minigrids can now be a competitive option to provide electricity to off-grid areas in Burkina Faso.
Overall, UNDP modelling estimates that minigrids are the least-cost option to provide electricity to 265 million people in the AMP''s 21 countries, for a total investment opportunity of $US 65 billion. This equates to the construction of 110,000 minigrids, powering 200,000 schools and hospitals and driving economic growth in the region by supporting 900,000 businesses.
Launched at the United Nations Climate Conference COP27 in November 2022, the AMP has already started rolling out national projects in Nigeria, Eswatini, Djibouti, and Somalia, with additional national projects to start implementation throughout the year.
The Burkinabe government is developing a roadmap to guide it in diversifying its electricity mix. This strategy is being developed with the Société nationale d’électricité du Burkina Faso (Sonabel). The West African country will rely more on clean energy to increase its installed capacity and accelerate its electrification. In recent months, Burkina Faso has received several financing packages, notably from private investors and international donors, for the production of solar energy.
Like wind power, solar energy is intermittent and only feeds the grid during the day. To solve this problem, Burkina Faso wants to direct some of the funding to battery-based electricity storage systems that will meet demand after sunset. To deploy these solutions, the government will rely on the private sector, which is already behind many solar projects in the country.
According to the Burkina Faso government’s roadmap, by deploying 60-70 MW (160-220 MWh) of independent battery electricity storage solutions (i-BESS), the energy sector could potentially save between 800 million and 1.8 billion CFA francs (€1.2 million to €2.7 million) per year, while reducing CO2 emissions. Burkina Faso is unveiling its ambitions at a time when the market for electricity storage is set to grow worldwide with renewed investor interest in renewable energy.
According to the International Renewable Energy Agency (IRENA), the deployment of electricity storage in emerging markets is expected to increase by more than 40 percent per year between 2020 and 2025. The Burkinabe government’s plan was developed with the support of the International Finance Corporation (IFC). The World Bank Group’s private sector financing arm plans to continue supporting the implementation of this roadmap through the Conflict Affected States in Africa (CASA) initiative.
This program, launched in 2009, supports countries devastated by conflict by providing financing to rebuild their private sectors to create jobs and economic opportunities. Burkina Faso is among the Sahel countries most affected by insecurity caused by terrorist movements. The CASA initiative is supported by Ireland, the Netherlands, Norway and Sweden. In addition to the IFC, the strategy to deploy electricity storage systems in Burkina Faso is already supported by the governments of Denmark and Japan.
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