- The Development Bank of Southern Africa (DBSA), a South African government-owned development finance institution, has announced the availability of funding towards green economy development projects and programmes in the Green Fund.
The Green Fund has been set up to contribute towards a wide range of goals in transitioning to a greener economy, including the financing of projects and programmes that reduce the impact on climate change.
The main objectives of the fund are to promote high-impact, innovative, low-carbon, inclusive programmes, while reinforcing climate policy objectives and sustainable development imperatives that fall in line with social, economic, and environmental priorities. There is also a focus on building an evidence base for the advancement of a climate-resilient, inclusive economy, together with the mobilizing and leveraging of additional resources to support the country’s low-carbon economy.
The Green Fund current focus areas include:
- Supporting a just transition to a low-carbon economy through
- Exploring opportunities that have the potential to catalyse initiatives that drive a just transition such as new/emerging energy generation and storage technologies.
- Supporting local environmentally-friendly building technologies that promote the use of energy efficient materials for sustainable human settlements.
- Accelerating green technologies that support beneficiation of local mineral resources
- Supporting greening within the transport sector
- Supporting resilience within the water sector including wastewater treatment programmes in consultation with all relevant government and private sector stakeholders.
- Developing and funding waste management programmes and projects including initiatives such as national solid waste programmes within municipalities, establishment of material recovery facilities, waste pelletisation etc.
- Promoting market-based adoption of integrated biogas technologies in small, medium, and micro-scale enterprises to promote the development of the renewable energy sector and the green economy.
- Providing support for youth development (including skills development and enterprise development) within a sustainability context.
The Green Fund investment criteria are designed to support the National Development Plan and the Sustainable Development Goals. As such, it will prioritise projects with clear environmental benefits which align with important environmental/climate policies; have the potential to improve the delivery of public goods and services; support transformation objectives; support the development of the local labour market, with improved opportunities for employment and green skills development; promote sustainable socio-economic development; support the capacity of a committed project sponsor to oversee and implement the project, while providing financial as well as management capacity for operations and maintenance, together with a high degree of sponsor/partner participation in co-funding the project.
To apply for funding, send an electronic introduction of the project to email@example.com. The introduction should include:
- Incorporation certificate
- Comprehensive business plan
- Latest audited annual financial statements
- Financial projections for at least three years
Applications should demonstrate commercial viability and will be assessed through a competitive process. The Fund will also consider projects that are in advanced stages of development and are strategically aligned with the objectives of the Green Fund and demonstrate strong potential to reach bankability with the support of the DBSA. The DBSA has the sole discretion to respond to multiple green economy objectives in making its selection, including climate, environmental impact, and gender mainstreaming potential for the project.
Author: Bryan Groenendaal