The Renewable Energy Industry in CARIFORUM Countries

COUNTRY INDICATOR ANALYSIS

During the more recent period between 2013 and 2019, the Caribbean has benefited from a more active multilateral and international funding community. Admittedly the pursuit of these funds has also been more competitive, with countries broadening their scope and identifying more of their needs under their climate change agendas. Several funding agencies now participate. Funding Agencies • The EU provides up to US$12M for multi-country projects and CIF which has been financed for US$130M. • IDB invested over US$5 Billion over the last 5 years in the Caribbean and Latin American region and has committed between US$200M and US$300M to the Caribbean region annually until 2030. • UNDP provides country assistance that can vary from US$5M to US$10M annually. • RMI currently has US$1 Billion in projects in the pipeline and estimates that their work will save the region US$9 Billion annually and create 75,000 new jobs by 2030. • Spain, Germany, China, Japan and others provide supplemented funds for developing regions like the Caribbean. Consequently, a significant portion of the funds required for investment in the RE sector may be mobilized from the multilaterals and international funders and all countries need to pursue this option diligently. However, their dependence on these sources will vary by country as may be gathered from Table 4.2. Countries focusing on utility scale projects with little focus on small and medium size projects require larger investment at more favourable terms. • Countries focused on large IPP utility scale implementations will depend heavily on financing from multilaterals and international funding agencies along with direct investment from local and foreign investors and less on local financial institutions. • Countries focused on all-scale generation will depend less on financing from multilaterals and international funding agencies and more on direct investment with a greater focus on local financial institutions.

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The Renewable Energy Industry in CARIFORUM Countries