EIB $130m finance for SA CSP

The European Investment Bank (EIB) has signed a 1.4bn rand ($130m) agreement with the Development Bank of Southern Africa (DBSA) to part-finance Abengoa’s 100MW KaXu concentrating solar power (CSP) project in the Northern Cape.

An EIB spokesman told Recharge the bank is funding the project through DBSA as an intermediary. “Typically we would finance up to 50% of such a project with others brought in to finance the rest of the development,” he says.

The KaXu project will use parabolic-trough technology combined with a molten-salt storage system with three hours of storage capability.

Spanish CSP specialist Abengoa is also developing another 100MW parabolic-trough plant, Xina Solar One, and a 50MW power-tower, Khi, following its success in South African renewable energy tenders.