Triodos Investment Management, together with the European Investment Bank (EIB) and EDFI ElectriFI, announce a collective investment of EUR 19 million to support WeLight’s EUR 28 million project in Madagascar. The investment enables WeLight to build and develop solar mini-grids and provide 45,000 households and businesses with access to clean, affordable and reliable energy.
Supplying electricity 24 hours a day
At present around a quarter of the population in Madagascar has access to electricity. Off-grid solar technology has proven to be a fast and effective solution to accelerate economic growth and sustainable development in regions where connection to the grid is still challenging.
WeLight’s new mini-grids will provide residents in off-grid rural villages with first-time access clean, affordable and productive energy and light. Alongside homes and businesses, the project will benefit schools, health centres and public spaces, strengthening the local economy and improving health, security and education.
Made up of a solar power plant and energy storage system, a distribution line and a meter for each customer, a mini-grid can supply electricity 24 hours a day, seven days a week.
The impact of mini-grid solutions is multifaceted. They provide low-income households access to electricity and boost socioeconomic development. The close collaboration between WeLight, committed shareholders and like-minded impact investors is an essential ingredient to enhance access to energy in Madagascar’s rural communities. As such, Triodos IM is very pleased to participate in this impactful initiative through its investment funds Triodos Groenfonds, Hivos-Triodos Fonds and Triodos Emerging Markets Renewable Energy Fund.
WeLight existing shareholders AXIAN Group, Sagemcom and Norfund bring the remaining EUR 9 million in the form of shareholder loans.
Read the full press release.