BRUSSELS – The United States is providing $10 million through its Power Africa initiative to support for the European Union Electrification Financing Initiative, or “ElectriFI”. United States Agency for International Development Associate Administrator Eric Postel and a representative of the European Commission signed an agreement launching the initiative today at European Development Days. The agreement will promote investment in new and improved electricity connections in underserved areas of Africa, and further Power Africa’s goals of adding 30,000 megawatts and 60 million connections across sub-Saharan Africa by 2030.
ElectriFI is an innovative platform that works to unlock, accelerate and leverage private sector investment for energy projects in developing countries by providing funding and support to developers and investors. ElectriFI supports electrification investments that will lead to new and improved connections, with a focus on populations living in rural, underserved areas. In addition, ElectriFI seeks to encourage the adoption of renewable energy.
“ElectriFI will help Power Africa meet our ambitious generation goals,” said Associate Administrator Postel. “It will help the most innovative and promising projects overcome obstacles so they can become self-sufficient and fully operational. Together, we will bring electricity to millions across Africa who need it most, and facilitate innovation and long-term economic growth.”
U.S. Ambassador to the European Union Anthony Luzzatto Gardner hailed the agreement as another concrete example of U.S.-EU cooperation. “The European Union and the United States continue to demonstrate that our common values increasingly lead us to joint action on important political, economic, and development issues across the globe,” he stated.
This agreement is only the latest instance of energy sector cooperation between the European Union and the United States. The European Union is one of the key partners in Power Africa, and the U.S. and the E.U. coordinate on policy dialogues and key regulatory reforms, and work together to increase technical assistance and improve energy efficiency.