CEFF-CCA is an innovative, collaborative financing mechanism that brings together U.S. government expertise and resources in order to catalyze greater public and private sector investment in clean energy infrastructure in the Caribbean and Central America. The four U.S. government partners under the Facility are the U.S. Department of State, U.S. Agency for International Development (USAID), U.S. Trade and Development Agency (USTDA) and the Overseas Private Investment Corporation (OPIC). Under the Facility, USTDA will leverage its project planning expertise and early-stage funding to support activities to encourage investment in clean energy projects. The Facility will help promising but undercapitalized projects address key planning and feasibility issues that are critical to successful financing and implementation.
A notice of funding opportunity has been released. Applications can be downloaded at http://www.ceff-cca.org/apply.html
Is the proposed project in a CEFF-CCA eligible country?
The CEFF-CCA eligible countries are as follows: Antigua and Barbuda, Barbados, Belize, Costa Rica, Dominica, Dominican Republic, El Salvador, Grenada, Guatemala, Haiti, Honduras, Jamaica, Nicaragua, Panama, St. Kitts and Nevis, St. Lucia, St. Vincent and the Grenadines and Trinidad and Tobago. Please note that USTDA support is limited to eligible low- and middle-income countries.
Is there an additionality justification for CEFF-CCA support? In other words, would CEFF-CCA support make a meaningful difference in the likely outcome of the project?
CEFF-CCA support will be considered for activities that:
- Fill a funding gap: CEFF-CCA provides support for essential project development costs that the client or other financial partner does not otherwise have the financial resources to cover.
- Accelerates a project: CEFF-CCA support will accelerate the project's development process by helping to meet the project development costs in a manner that improves the probability of financial close.
- Attracts public or private sector investment: CEFF-CCA funding will enable the project to meet a key milestone that will allow previously uncommitted public sector resources or private investors to help finance the project.
- Removes barriers: CEFF-CCA funds address a barrier that would otherwise prevent USTDA from funding project planning assistance and/or may prevent OPIC from providing financing and/or insurance to the project.
Does the proposed project qualify as a "Clean Energy Investment"?
Clean energy activities eligible for CEFF-CCA funding support include, but are not necessarily limited to, the following areas: wind, solar, geothermal, hydropower, biomass and other sustainable sources of energy that will reduce carbon emissions, improve access to electricity for remote populations and support economic growth. "Clean energy investment" is defined as investment, including financing and insurance, that:
- Promotes the sustainable use of renewable energy technologies or energy efficiency technologies; or
- Supports other efforts to reduce, mitigate and/or sequester emissions of greenhouse gases, with the exception of activities that enable the production, transmission, distribution, direct use or the generation of electricity from nuclear, gas, coal or oil fuels.
CEFF-CCA support will also be considered for projects that promote energy efficiency, including: electricity grid loss mitigation and other smart grid activities, energy efficiency building solutions and activities that mitigate the need for new power generation.
Does the proposed project fall outside of the clean energy activities that are eligible for CEFF-CCA support?
The following types of projects are not eligible for CEFF-CCA support:
- Projects that involve renewable energy technologies unproven in commercial operations (e.g., wave technology).
- Captive power plants that introduce renewable energy for self-generation or for a single customer, without a broader developmental impact, unless it is in the context of broader scale introduction of distributed generation.
- Energy efficiency upgrades for an individual company's use (although energy efficiency consulting, financing or installation services can be considered).
- Renewable resources projects that do not have a primary renewable energy component (e.g., sustainable agriculture, water, forestry, etc.).
- Retrofit projects in which renewable energy sources replace traditional fossil fuel sources (although brownfield projects can be considered).
- Projects participating in bid selection processes that have not been awarded the concession or MW allocation.
- Natural gas projects.
- Nuclear power projects.
Do you satisfy relevant USTDA criteria?
The following criteria apply to USTDA-eligible projects:
- Projects should have the potential to generate measurable developmental benefits.
- Projects should have the potential to use U.S. goods and service exports during project implementation.
- The host country project sponsor may be either a public sector or private sector entity.
- Projects should have a reasonable likelihood of obtaining financing for project implementation.
- The requested support should make a meaningful difference in the likely outcome of the project (i.e., demonstrate additionality).
- For further information, please visit USTDAs website at: www.ustda.gov.
Do you satisfy relevant OPIC criteria?
The following criteria apply to OPIC-eligible projects:
- The Project Company will be majority-owned by the private sector.
- The requested support will be used to cover critical costs that are necessary for the project to reach financial close. Projects should promote and demonstrate social and economic benefits and will ultimately have processes in place to monitor and evaluate these benefits.
- Projects should have a positive impact on energy access, security, poverty alleviation, gender inclusion, and other key considerations important to USAID missions and activities in the country where the project is located.
- Projects should support low emissions development in Central America and the Caribbean.
- For further information, please visit OPICs website at: www.opic.gov.
USTDA encourages interested parties and prospective applicants to contact the CEFF-CCA team at email@example.com for further information and application instructions.
CEFF-CCA Fact Sheet (PDF)
Press Release: President Obama Announces USTDA’s Involvement in Clean Energy Finance Facility for Central America & The Caribbean
Press Release: Secretary Kerry Launches Clean Energy Initiative for Central America and The Caribbean