|The Regional Technical Assistance Programme|
Why is KAM offering Technical Assistance as a part of the Renewable Energy & Energy Efficiency Financing Programme?
The Renewable Energy & Energy Efficiency Financing Programme is designed to stimulate the access to long term and concessional rate financing of investors in Renewable Energy and Energy Efficiency.
For the purpose of this programme, Renewable Energy (RE) projects are projects producing any form of energy (heat, steam, power) without any fossil fuels or any radioactive source, including hydroelectricity, wind power, biomass & biogas, solar energy, sea energy and geothermal energy. Energy Efficiency (EE) projects are capital expenditure projects that allow consumers to use less energy for achieving the same or a higher level of energy services (output).
Long term and concessional financing is being made available by the Agence Francaise de Developpement (AFD) to two commercial banks (partner banks) in each participating country (Kenya, Uganda, Tanzania).
The Regional Technical Assistance Programme (RTAP) operated by KAM provides technical assistance to project sponsors and partner banks for financing RE and EE projects. The RATP assesses if the submitted RE or EE projects fulfil the qualifying criteria and makes recommendation to the credit committee of the partner banks.
KAM is setting up an RTAP operation office in each participating country.
This programme is available to eligible project sponsors to develop, finance and implement RE and EE projects.
How to apply for the support of the RTAP for your RE and EE project
Once a project is identified, your business should submit an initial application.
After approval at pre-feasibility level by the RTA Team, the next stage involves assembling the requested documentation prior to submitting the final application. Should you apply for pre-financing of the feasibility study, then you have to comply with the procurement process as indicated in the Feasibility Study Agreement that you have signed with KAM.
When the feasibility study is completed and paid, simply submit all required documentation with the final application to the RTAP in order to obtain a technical eligibility agreement from KAM.
KAM will then transfer your application to your chosen partner bank. Getting the technical support of the RTAP or the technical eligibility agreement is not a guarantee to obtain financing from the partner bank.
Who is eligible to apply for project financing through the Renewable Energy & Energy Efficiency Financing Programme?
Eligible project sponsors are any registered companies in the three participating countries (Kenya, Uganda and Tanzania) that apply for financing investment projects to be built in the three participating countries.
There is no obligation from the partner banks to finance a project presented by an eligible project sponsor.
Additional eligibility is programme-specific to the applicable financing programmes. Additional details regarding financing requirements are found on the corresponding financing application.
To qualify for the Renewable Energy and Energy Efficiency Financing Programme:
- The area of improvement must be on an approved technology schedule as listed in the Policies and Procedures Manual.
- Projects must involve a facility improvement that results in a sustained reduction in commercial energy usage.
- Complete requirements and details for each financing programme must be met as outlined in the Policies and Procedures Manual.
Am I eligible even if my company is not a member of KAM or KAM’s partners hosting the RTAP operational office in Uganda and Tanzania?
Yes you are eligible. Eligibility is neither limited to KAM members in Kenya nor members of KAM partners in Uganda and Tanzania that host the RTAP operation office.
Do I have a chance to obtain a financing offer with one of the partner Banks of the project, even if I don’t hold an account with these banks?
You may wish or not to do banking business with one of the two participating banks. If no, then it should be explored whether your regular banker may secure financing with one of the two participating banks. Your choice and the willingness of participating banks need to be matched.
How can I apply for RE or EE project financing?
Once a project is identified, your company should submit an initial application.
When approved at pre-feasibility level by the programme, proceed with assembling the requested documentation prior to submitting your final application. Should you apply for pre-financing the feasibility study, then you have to comply with the procurement process as indicated in the Feasibility Study Agreement that you would have signed with KAM.
When the feasibility study is finished and paid, simply submit all required documentation with the final financing application to the programme for obtaining a technical agreement from KAM.
KAM will then transfer your financing application to a partner bank for negotiating the financing agreement. Until the closing of the financing agreement, there is no guarantee that your project will be financed.
Upon closing of the financing agreement, you are welcome to use any contractor of your choice for the engineering, procurement and commissioning of your financed RE or EE project as well as the manufacturers of your choice for the equipment.
The financing applications are included under the 'Details' tab of this webpage.
What types of financing are available?
The programme offers financing for RE & EE equipment and pre-financing of technical assistance in new construction and retrofit projects. For equipment upgrades, project sponsors can choose from an established "menu" of prescriptive measures or can design a custom project with verifiable energy savings. Complete information on all RE & EE financing programme can be found on the ‘Details’ tab of this webpage. The partner banks will make the final determination of financing levels for any project having received the technical agreement of KAM.
What is the order of magnitude of the financing offering of partner banks? What interest rate? How many years repayment?
These conditions are driven by each Bank/AFD agreement and each partner Bank’s marketing strategy to meet its commitment under the above agreement. In no way, KAM RTA is authorized to interfere with this matter. Communication on this matter by KAM RTA is strictly controlled by the participating banks and shall be clarified very soon.
I am interested with your Renewable Energy and Energy efficiency financing programme but have no idea where and how I can save energy in my facilities; how can you help?
You may be eligible to the energy audit programme managed by KAM’s Centre for Energy Efficiency and Conservation; please contact KAM’s energy audit coordinator.
How can I find a contractor to perform my energy-efficiency upgrade work?
KAM’s RE & EE financing programme works with RE and EE equipment vendors, contractors, engineers, architects and energy services providers who have been educated on the RE & EE financing programme. These Trade Allies play an important outreach role by helping businesses learn about KAM’s RE & EE financing programme. They have been educated on the financing programme features and understand the programme’s rules and processes.
If your business already has a contractor you work with, you are welcome to use them or go out for bid as usual. You may also check the list of programme Trade Allies, which can be found and downloaded from the Trade Allies tab of this Web site.
How can contractors get involved in the RE & EE financing programme?
If you are a renewable energy or energy efficiency equipment or services provider who is interested in participating in the Trade Ally programme, please visit the 'Trade Ally' tab of this Web site for additional information. All eligibility requirements are listed on the Trade Ally application.
Who can I contact for additional questions on program participation?
If your business is a member of KAM, please contact your regular KAM Regional or Sectoral interlocutor for additional information. For all other inquiries about the RE and EE financing programme, please contact Mr Jeff Murage, our RTAP project coordinator at KAM’s Center for Energy Efficiency and Conservation (CEEC).
Mailing Address: KAM, PO Box 30225 - 00100 GPO, Nairobi
Office tel: (+254) 20 3744886, 3741634, 3746022 | 6, (+254) 20 3746030
Office fax: (+254-20)3746030
Office cell: (+254) 722-201368, 734 646005
Personal cell: (+254) 720261149 , 735818626.
Wireless: (+254) 020 8070594/5, 020 2324817/8
Location: Opposite Nakumatt Westgate, along Mwanzi Road, Westlands
Trade Ally Programme
If you are interested in becoming a Trade Ally, please click here.
What is a Trade Ally?
KAM’s Renewable Energy and Energy Efficiency Financing programme works with renewable energy and energy-efficiency equipment vendors, contractors, engineers, architects and energy services providers who have been educated on the Renewable Energy & Energy Efficiency Financing programme. These Trade Allies play an important outreach role by helping businesses learn about KAM’s renewable energy and energy-efficiency programmes. They have been educated on the financing programmes offered and understand the program's rules and processes.
Benefits for participating Trade Allies include:
- Increased exposure for your company - Your business’ name and contact information will be listed and made available for all project sponsors to reference.
- Build your business - Use KAM’s Renewable Energy and Energy Efficiency financing programme to broaden your customer base and provide additional support for your current customers.
- Marketing tools – Being a Trade Ally gives you tools to help market renewable energy and energy-efficiency services and products.
- Search for a Trade Ally to assist in your next renewable energy and energy efficiency project in the attached directory of trade ally.