The UK Climate Investments Impact fund (UKCI) has partnered with H1 Holdings to invest R253 million in three Round 4 projects, with a total capacity of 254MW. The projects are the 140MW Kangnas Wind farm, the 110MW Perdekraal East Wind farm and the 4MW Kruisvallei Hydro project.
UKCI is a joint venture between the Green Investment Group and the UK Government’s Department for Business, Energy and Industrial Strategy. UKCI forms part of the UK aid funded International Climate Finance and is managed by the Macquarie Green Investment Group.
The finance is for investment in projects that are being developed by Mainstream Renewable Power and Building Energy. H1 Holdings is a Black Economic Empowerment shareholder in the three projects, which are expected to be completed by the end of 2020. They will provide clean electricity to power up to 200,000 homes each year. During their lifetime, the projects will offset approximately 844,000 tonnes of greenhouse gas emissions per year.
The innovative funding mechanism was developed in close consultation with H1 Holdings and is designed to support Black Economic Empowerment entities in South Africa. The investment is part of a £200 million pilot programme mandated to invest in sub-Saharan Africa and India. Read the full release here.