Local governments are looking to develop renewable energy projects, commonly referred to as embedded generation (EG), to achieve city-level goals. These projects can assist in:
- Reaching climate change targets,
- Provide a cost-effective electricity supply,
- Reduce power outages, and operational loses
- Stimulate local job creation and industry development
However, many cities struggle with developing and funding these projects for a number of reasons. This toolkit helps address the capacity gap for cities in South Africa to develop embedded generation projects and applying for funding. Although relevant to the South African context, key themes are relevant to cities across Africa and the globe.
About Alternative Financing for Municipal Embedded Generation (AFMEG)
TThe AFMEG project is supported by the UK Partnering for Accelerated Climate Transitions (UK PACT) programme, which is funded by the UK Government. UK PACT supports countries that strive to overcome barriers to clean growth and have high emissions reduction potential to accelerate their climate change mitigation efforts.
ICLEI Africa implemented this project alongside its partners, the Development Bank of Southern Africa (DBSA) and consortium partners Rebel Group and 3E.
The aim of the AFMEG project was to address the resource and capacity gap of intermediary cities in South Africa applying for embedded generation funding, specifically the DBSA’s Embedded Generation Investment Programme (EGIP). These municipalities are:
- King Sabata Dalindyebo Municipality
- Matzikama Local Municipality
- Walter Sisulu Local Municipality
- Ray Nkonyeni Municipality
We appreciate the valuable contributions key stakeholders made to the AFMEG project.