HOWWE FUND BUSINESSES IN THE
HOWWE FUND BUSINESSES IN THE
Facilitating Economic Development through Cleaner Energy, the Energy Strategic Business Unit (SBU) was formed in 2020 to consolidate and focus the previous Green Energy mandate of the Industrial Infrastructure Unit in facilitating the energy transition and ensuring sustainable energy security in South Africa and the rest of the continent in support of growing economies.
The South African energy sector is currently undergoing several impactful transformations, moving from traditional fossil fuel power sources to lower carbon environmentally sustainable technologies and business models such as Renewable Energy (e.g. Solar PV, Wind, Biomass and Hydropower), Energy Storage Technologies, Green Hydrogen, Distributed Generation, Mini and Micro Grids, Energy Efficiency and Management, etc.
In support of the energy transition, the South African Government issued the updated Integrated Resource Plan (IRP2019), which presents a major shift towards these low carbon emitting technologies.
With a specific focus on stimulating local, regional, and continental economic activity through targeted funding to and investments in the energy value chain with significant development impact, such as support for:
We target opportunities at bankable stage, ranging in size from Utility Scale through to Small-Scale Embedded Generation, thus supporting both opportunities aimed at the Southern African Government’s Independent Power Producer Procurement Programmes and opportunities in the private sector, specifically in the Commercial & Industrial space.
We focus on viable energy projects that boost the country’s energy supply security whilst not impacting the environment adversely. To that end, we support projects that focus on the reduction or avoidance of carbon emissions.
We also manage several funds, which allows us to offer attractive funding terms for Clean Energy Generation and/or Efficiency opportunities. The unit also continues to build strategic partnerships with commercial banks, other Development Finance Institutions, Private Equity Funds, and Investment Houses focused on investing in the Energy space in general and in Renewable Energy specifically. IDC always prefers to co-fund opportunities with one or more of these funding partners.
The SBU provides funding in the following sub-sectors of the value chain:
The project must be of direct benefit to South Africa in any of the following ways:
Draw up a well-researched business plan, stating a compelling case for funding
*Applications can also be submitted at the IDC office
Upload your application with the relevant documents, certificates and business plan
IDC will confirm that it has received your application. While processing we may ask you to supply extra information or documentation
IDC will give you feedback on the outcome of your application, in writing. If your application is successful, due diligence will be conducted on your business.
Once the IDC has satisfied itself of your bona fides, you will be asked to sign a loan contract