Panel Discussion

Recording of Wednesday, June 19, 2024 | The smarter E Europe Conferences 2024 | Conference Program | Language: English | Duration: 44:26 .

Unequal Distribution of Solar Financing and Capacity Highlights Urgent Need for Investment in Sub-Saharan Africa

The discussion highlights the disparities in financing and solar capacity distribution, with 2023's record new solar installations concentrated in just ten markets like China, the US, and Europe. Emerging markets struggle primarily due to financing issues despite having vast potential; for instance, Sub-Saharan Africa holds 40% of global solar resources but received only 1% of renewable energy investments. Developing countries collectively hold two-thirds of the global population but possess only a small fraction (10%) of the world's financial wealth. There is a pressing need for developed nations to collaborate more effectively with developing regions by channeling funds appropriately and establishing conducive policy frameworks. The perceived risk is another significant barrier; projects in these areas face higher interest rates compared to those in developed nations. Blended finance models involving both public and private sectors are suggested as potential solutions. Public sector involvement can help mitigate risks by assuming initial tranches or offering soft loans without overshadowing commercial financing needs. This approach could provide essential liquidity for large-scale electrification projects while encouraging market development despite recent trends favoring home-market investments post-EU Green Deal initiatives and geopolitical crises.

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Speakers

Rosa Tarragó
Investment Director
EBG compleo GmbH
Germany

Rethabile Melamu
CEO
South African Photovoltaic Industry Association
South Africa

Tsvetelina Kuzmanova
Senior Policy Advisor
E3G -Third Generation Environmentalism
Belgium

Dr. Konstanze Kinne
Head of Treasury Aquila Clean Energy EMEA
Aquila Capital
The Netherlands

Talk of session: Shaping the Solar Landscape: Female Visionaries on Project Funding for PV

Despite the global exponential growth of solar power, challenges currently loom large — from soaring debt costs to dwindling capture prices and escalating curtailment rates. These hurdles threaten to impede deployment growth in the urgent race to triple renewables installation by 2030. The pressure for innovative solutions and rapid action is high, and financing is key. Our session will therefore convene investors, developers and financing institutions to analyze key issues and explore new perspectives on solar finance, with the aim of driving the realization of a sustainable and prosperous future through advanced solar initiatives. Topics will include:

1. Assessing financing conditions for solar power plants
2. Analyzing the impact of policy shifts on PV project financing
3. Strategizing to enhance solar project financing

This panel discussion is organized by the Bundesverband Solarwirtschaft (BSW-Solar) in cooperation with the Women Energize Women (WEW) initiative. Women Energize Women (#womenenergize) is a campaign for the global empowerment of women in the energy sector by the Federal Ministry for Economic Affairs and Climate Action (BMWK). It is implemented by the Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) within the scope of BMWK's global project Bilateral Climate and Energy Partnerships and Dialogues. (https://www.womenenergize.org/)

Further Talks of this session: