RLSF is a guarantee instrument provided by ATIDI to renewable energy Independent Power Producers (IPPs) that sell the electricity generated by their projects to state-owned power utilities.
RLSF was created to help tackle climate change and attract investments by supporting renewable energy projects in ATIDI ’s member countries. RLSF supports small and mid-scale renewable energy projects with an installed capacity of up to 100 MW by protecting the IPPs against the risk of delayed payments by public offtakers (larger projects can be considered on a case by case basis); in turn, improving project bankability and ensuring that more projects reach financial close.
RLSF was jointly launched by ATIDI and the KfW Development Bank in 2017, with the Norwegian Agency for Development Cooperation (Norad) committing additional funding towards the initiative in February 2022. IPPs located in ATIDI member countries that have signed an MoU with ATIDI can benefit from RLSF cover.