The AfDB’s Sustainable Energy Fund for Africa (SEFA) is providing a USD 965,000 grant to Morocco’s Societe d’Ingenierie Energetique (SIE), to support its transition into the 1st Super Energy Service Company (ESCO) initiative in Africa.
Super Energy Service Companies are vehicles for channelling funds into public sector energy efficiency investments such as schools, hospitals, and street lighting, laying the foundation for private investment later in the industrial and commercial sectors.
Over growing demand, Morocco targets to meet its energy needs by combining large scale energy efficiency strategies and renewable energy investments.
Ahmed Baroudi, SIE’s Chief Executive Officer, said: “This support from the AfDB will enable the operationalization of the new SIE as a Super Energy Service Company, thus creating a model well aligned with the needs of the country’s energy efficiency sector.”
Super Energy Service Company expansion
As a Super Energy Service Company, the SIE should be able to overcome many of the challenges in scaling up energy efficiency investments.
It will also open market opportunities for local Energy Service Companies, offer quality assurance support and build their reputation among end users and investors.
The grant will provide SIE with operational tools to develop a pipeline of bankable energy efficiency investment projects, said Brice Mikponhoue, Officer in Charge at the North Africa Regional Development and Business Delivery Office of the African Development Bank.
Chief Investment Officer and Energy Efficiency Specialist Mr Jalel Chabchoub, in the Department of Renewable Energy and Energy Efficiency at the African Development Bank said: “The implementation of Super Energy Service Companies on the continent will steadily contribute to the expansion and strengthening of the energy efficiency financing ecosystem.”
Jalel Chabchoub added: “AfDB is proud to support the first Super Super Energy Service Company in Africa and is looking forward to supporting further projects in the future.”