Access Co-Development Fund 2015

Access
Co-Development Fund
2015
Application Guidelines
April 2015
INSIDE
About Access------------------------------------------------ 3
About Eren--------------------------------------------------- 3
About Access Co- Development Fund------------------- 4
Forward------------------------------------------------------ 5
Objective----------------------------------------------------- 6
The Proposition--------------------------------------------- 6
Eligibility----------------------------------------------------- 7
ACF Structure----------------------------------------------- 7
Project Selection Process---------------------------------- 8
Evaluation Criteria------------------------------------------ 8
Submission--------------------------------------------------- 9
Clarifications------------------------------------------------- 9
Terms & Conditions----------------------------------------- 9
PAGE 02
ABOUT ACCESS
Access is a developer, owner and operator of power and
water assets focused on emerging markets. Access Infra
Africa is a fully owned subsidiary of Access dedicated to
developing affordable and sustainable power projects
across the African continent.
Access Infra Africa is
actively developing projects in over 15 countries with over
500 million US Dollars of assets under development.
Access Infra Africa core expertise are:
- Development of early stage projects taking them from
concept to commercial operations;
-
Rigorously applying well developed processes and
procedures to ensure the bankability of development
assets; and
- Innovative debt and equity structures ensuring the fastest
route to financial close and long term sustainability of
the asset
For more information please visit www.access-power.com
ABOUT EREN
As a long-term IPP, EREN develops, builds, owns
and operates renewable energy projects in countries
where renewable energy represents an economically
viable response to growing energy demands. Through
partnerships established with local developers, EREN has
accumulated a portfolio of over 400 MW of renewable
energy assets in operation or under construction, and
over 1,500 MW of assets under development in less than
three years.
EREN is a subsidiary of EREN Groupe, the first group
dedicated to natural resource efficiency, founded by
PârisMouratoglou and David Corchia. EREN is a strategic
investor in Access.
For more information visit www.eren-groupe.com
PAGE 03
ABOUT ACCESS CODEVELOPMENT FUND
Access Infra Africa has designed the
Access Co-Development Fund (“ACF”)
to serve as a platform to bridge the gap
between local power project developers/
originators and the experience/funding
required to bring such projects to life.
To achieve its objectives, Access Infra
Africa through the ACF will form several
development partnerships with selected
developers/originators and co-develop
the power projects, bringing them to
financial close in the shortest time
possible. Thereafter Access Infra Africa
and its partners will continue to own and
operate the asset.
PAGE 04
FORWARD
Africa’s power sector and wider economy could be transformed by the billions of dollars
of financing available for Africa. However, this funding cannot have an impact without wellresourced and experienced developers willing to take early-stage project risk and turn good
concepts into bankable projects. As such, investment in the early stage development of power
projects forms the cornerstone for the realization of Africa’s growth potential.
The Access Co-development Fund (ACF) aims to deploy 5 million US dollars to co-develop
up to 5 power projects. The projects will be selected and shortlisted through an application
process launched on April 1, 2015. The shortlisted applicants will be invited to Dubai to take
part in the final round of screening which will take place in conjunction with the Africa Energy
Forum 2015.
The selected project developers/originators will enter into a Joint Development Agreement
with Access Infra Africa, pursuant to which Access will inject equity in the project alongside
the developer/originator and provide:
- Technical support;
- Financial structuring;
- Development process management; and
- Fund all third-party development costs related to the project (such as feasibility studies, grid
studies, environmental and social impact assessments, due diligence fees).
Reda El Chaar
Executive Chairman, Access
PAGE 05
OBJECTIVE
This document provides information on the Access CoDevelopment Fund (ACF), the project application steps,
and selection process and criteria.
THE PROPOSITION
ACF is a platform that aims to bridge the gap between
local power project developers/originators and the
experience/funding required to bring such projects to
fruition. ACF will form several development partnerships
with selected developers/originators and co-develop the
projects bringing them to financial close at the shortest
time possible. Thereafter, Access Infra Africa and its
partners will continue to own and operate the asset.
Under this inaugural deployment, ACF will seek to
deploy up to 5 million US dollars to co-develop up
to 5 power projects. The projects will be selected
following the application process outlined in this
document.
The selected project developers/originators will
benefit from:
-T
he necessary technical, legal and financial
expertise required to bring a project to
financial close
- Funding of all third party development costs
related to the project (such as feasibility
studies, grid studies, environmental and social
impact assessments, due diligence fees, etc.…)
- A clear route to exit the project at financial
close
PAGE 06
ELIGIBILITY
Projects owners applying for the Access Co-Development Fund should meet the following minimum
requirements. Projects must be;
(i) Located within the African continent
(ii) Utilizing commercially-proven power generation technologies
(iii) Based on renewable energy (including hydro) or hybrid power generation
technologies
ACF STRUCTURE
ACF provides funding and technical assistance to early stage developers to enable the co-development
of power projects in Africa. The funding and technical assistance will be made available pursuant
to a Joint Development Agreement will be executed with the applicant. The key terms of the Joint
Development Agreement are as follows:
(i) ACF shall fund all third party development costs to bring the project to financial close. The
development budget shall be presented by the applicant in the application form.
(ii) ACF provides technical, financial and legal resources towards the project in accordance
with the following table:
Responsibilities of ACF
Manage the development process in
accordance with industry best practices
Manage the development process in
accordance with industry best practices
Provide in house technical, financial and
legal support throughout the development
process
Secure project financing for the project
Responsibilities of the Applicant
Manage the interface between the project
and all local authorities
Lead the process for the acquisition of the
required local permits and licenses
On the ground management of the various
project consultants including environmental
consultants and technical consultants
Secure the land rights and associated
easements
At financial close inject or arrange to inject
the required equity
(iii) At financial close the applicant will receive a development success fee (to be determined
by the international panel of experts) depending on the business case of each project.
(iv) The applicant shall have the right to convert all or part of the development success fee into
equity in the project.
PAGE 07
PROJECT SELECTION
PROCESS
The selection process shall be carried out in two stages,
as follows:
Stage 1 – Applicant Shortlisting
The applicant shall fill in the Project Proposal Form (the
“Form”) in accordance with the requirements of the Form.
The Form (along with supporting documents) shall be
submitted in accordance with the Submission section of
this document.
The applicants will be ranked in accordance with the
selection criteria highlighted in this document.
ACF will shortlist up to 5 applicants for Stage 2
Stage 2 – Panel Evaluation
The shortlisted applicants will be invited to present in
person the projects to an international panel of experts
during the Africa Energy Forum on 11 June 2015 in Dubai,
United Arab Emirates. The Panel shall be made up of senior
representatives from Access, development institutions,
and international financing institutions.
ACF will then notify its decision to enter into Joint
Development Agreement with up to 5 selected applicants.
EVALUATION CRITERIA
The applications submitted as part of Stage 1 shall be
evaluated based on the following criteria (as per the
application form):
Technical Aspects: 20%
Commercial Aspects: 50%
Environmental & Social Aspects: 30%
The highest scoring applications will then be invited to
Africa Energy Forum 2015 (11 June 2015) in Dubai, United
Arab Emirates for the final selection stage (Stage 2).
PAGE 08
SUBMISSION
Application
Forms
(along
with
any
supporting
attachments) shall be submitted in electronic format to
the following e-mail address:
[email protected]
All applications shall be submitted on or before 20th
of May 2015 at 11:00 AM Dubai Time
CLARIFICATIONS
Questions and comments can be directed to
[email protected]
TERMS & CONDITIONS
Access may at its discretion decide to accept or reject
any or all of the applications.
www.access-power.com
PAGE 09