Africa Biz Construction and Business News
USTDA Announces New Funding for Energy-Related Projects in Africa
August 9, 2018
Project sponsors in sub-Saharan Africa or U.S. companies working with African project sponsors are eligible to apply for new grants for energy-related projects paid for by the U.S. Trade and Development Agency. The announcement of the opportunity was made on August 6.
Those interested are invited to submit an initial concept paper (not to exceed five pages) on energy-related projects to USTDA no later than Tuesday, October 2, 2018 at 12:00pm Eastern Time to be considered for funding.
The proposal should include a brief description of the project’s size and status, including project location, economic fundamentals, equipment and technology requirements, legal and regulatory considerations, and the purpose and amount of USTDA funding requested. The proposal should also outline the sponsor’s experience, potential options for financing the project, risks the project faces, and estimated potential for U.S. content in the project’s implementation.
USTDA is an implementing agency of both the Power Africa and U.S.-Africa Clean Energy Finance programs, which seek to increase access to electrical power and support private sector investments in African energy infrastructure. USTDA’s investments under these programs provide critical early-stage support to advance new power generation, transmission and distribution infrastructure.
USTDA accepts proposals to support infrastructure project development in low and middle-income countries throughout sub-Saharan Africa. Teams comprised of qualifying U.S. businesses and eligible African entities from the public or private sectors may submit proposals wherever the U.S. business meets USTDA’s nationality requirements. See USTDA’s Guidelines for Sole Source Project Proposals for more details. Eligible African entities who intend to engage a U.S. business but have not yet selected such a business may also submit proposals. If selected for funding, USTDA will assist these entities in identifying a U.S. business to conduct a mutually agreed-upon scope of work.
USTDA will employ the following criteria among others to evaluate proposals and make programming decisions:
- Potential for U.S. exports: USTDA’s goal is to create export opportunities for manufacturing enterprises in the United States. Proposals will be evaluated based in part on the potential that projects represent for U.S. manufacturers and service providers.
- Potential for financing and implementation: Proposals will be evaluated to determine the potential that projects have to eventually attract financing and, subsequently reach implementation. Offerors are expected to demonstrate how USTDA’s grant capital will attract public and private investment, and lead to new infrastructure capacity.
- Potential for development impact: As an implementing partner of both the Power Africa and U.S.-Africa Clean Energy Finance Initiative, USTDA strives to help enterprises build new power capacity, extend access to underserved customers, and drive public and private investment in the region’s power sectors. Proposals will be evaluated based on the potential those projects represent for adding capacity, achieving new connections, and/or driving investment.
- Strength of the offeror: USTDA will consider the credentials of the host country project sponsor and, where applicable, the expertise of the U.S. firm.
Prospective offerors may pose questions to USTDA at the following address: PowerAfrica@ustda.gov. Five-page proposals which are responsive to the evaluation criteria may be submitted to this address no later than Tuesday, October 2, 2018 at 12:00pm Eastern Time.