• New capacity adds 13.5 MW of wind and 26 MWh of storage across four islands
  

• Project to lift renewables’ share of national power supply from 20% to 30%

Cape Verde inaugurated new wind and battery storage installations on Monday as part of the expansion of its Cabeólica renewable energy project, backed by more than 39 million euros in financing from the European Investment Bank (EIB).

The funding was arranged by EIB Global, the bank’s development arm, with support from European Union guarantees. The African Development Bank is also providing co-financing.

The new package builds on a 28 million-euro loan the EIB approved for the project in 2010. Cabeólica currently supplies about 20 percent of Cape Verde’s electricity. The latest expansion adds 13.5 MW of wind capacity and 26 MWh of battery storage across four islands, a boost expected to raise the project’s share of the national energy mix to 30 percent.

“As the first renewable energy commercial scale PPP in sub-Saharan Africa, Cabeólica is again proud to lead this transformative expansion project comprising additional wind capacity and battery energy storage,” said Ayotunde Anjorin, the company’s chairman.

Cape Verde relies heavily on imported diesel for power generation, a dependence that drives up costs. According to World Bank data, petroleum products accounted for 46.6 percent of the total value of merchandise imports in 2022.

Despite this reliance, the country maintains an electricity access rate above 90 percent, well above the regional average, and is considered one of Africa’s strongest performers in electricity-sector regulation.

Increasing the share of renewables in the national grid will reduce reliance on imported fossil fuels while improving system reliability and sustainability.

Abdoullah Diop