Overcoming bankability issues to make renewable energy feasible in Ethiopia

Overcoming bankability issues to make renewable energy feasible in Ethiopia

Share on facebook
Facebook
Share on twitter
Twitter
Share on linkedin
LinkedIn
Share on email
Email
Share on print
Print

Key factors for project finance, potential risks, mitigation tools and more discussed during webinar held by BonelliErede in collaboration with RES4Africa Foundation 

ADDIS ABABA, Ethiopia, 27 May 2021 -/African Media Agency(AMA)/- BonelliErede a leading international law firm, along with the RES4Africa Foundation, an organisation dedicated to promoting renewable energy in Africa, recently held a webinar which covered the management of bankability issues regarding renewable energy projects in Ethiopia with governmental counterparties.
 
The latest in a series of such sessions organized by BonelliErede, it covered important points including the key factors for project finance, potential risks, mitigation tools and more. The agenda of the seminar was shared by Managing Associate at BonelliErede, Michele Saponaro, who then gave the floor to H.E Tsion Teklu, State Minister at the Ministry of Foreign Affairs of Ethiopia, and Andrea Pascali Deputy Head of the Consular Chancery, First Secretary of the Italian Embassy in Ethiopia, to deliver the opening remarks. 

H.E Teklu and Mr. Pascali spoke at length about the potential of renewable energy to combat climate change and the lack of energy security in Ethiopia, in addition to the government’s willingness to embrace the transition from biomass to more sustainable alternatives. 

Duncan Keil, Managing Partner of Africa FX led the discussion that involved Riccardo Bicciato, Partner at BonelliErede, and Matteo Cavadini, Matteo Cavadini, Head of Business Development East and West Africa – Enel Green Power.

Riccardo Bicciato touched on several matters in his presentation, including: 

  • how the cost of capital remains a crucial element in every renewable energy investment decision and can significantly influence the business case of a project
  • outlining the different risks associated with preconstruction and construction/ operational phases, such as legal and regulatory frameworks, land permits with the former and environmental, political, and financial risks with the latter 
  • the best approach to mitigate such risks, with the core approach being to share the burden among the parties that are best placed to handle them efficiently 
  • why failing to allocate risks properly can have serious consequences ranging from deterioration of the terms and conditions of the financing, and increase of overall spending, to the project being delayed or outright cancelled 

Matteo Cavadini, followed with an overview on:

  • macro country factors that impact project bankability such as a stable political environment, well defined energy policies, a healthy financial structure, and clear legal and regulatory frameworks 
  • proper tender processes for projects such as only allowing reputable bidders to be involved with no free-riders or speculative bidders, no material changes to the tender process close to the submission date or after being awarded, watertight timelines and sound governance of the entire process 
  • the need for Ethiopia to have a comprehensive renewable energy plan and roadmap to achieving targets, in addition to more independent bodies that can support the government with procurement procedures 

Closing marks were delivered by Antonio Passero, Sub Saharan Program Manager at the RES4Africa Foundation, who stressed the importance of the private sector working with the Ethiopian government to see that renewable energy projects come to fruition in the nation. Commenting on the webinar, Riccardo Bicciato said “Ethiopia embarked on a bold journey when it announced its Climate Resilient Green Economy (CRGE) Strategy, with objective of transitioning the nation into a climate resilient green economy by 2025. The significant opportunity for renewable energy to form a key pillar of this plan is clear, however project finance issues associated with such projects pose a threat to their viability. At BonelliErede, we remain committed to counselling clients on how to overcome these hurdles with practical mitigation actions. It is our firm belief that together with private lenders and leading energy players, we can help Ethiopia drive the most value from its natural resources and ensure energy security for its people for years to come.”

“Ethiopia has a huge potential in terms of photovoltaic, hydroelectric, geothermal and wind energy.” commented Roberto Vigotti, RES4Africa’s Foundation Secretary General “To exploit the renewable resources of this country is the strategy to pursue and guarantee its sustainable development. Both the public and private sectors play a crucial role in this process and promoting this type of synergies is at the heart of the work that RES4africa carries out together with its partners.”


BonelliErede has been operating in Africa since 2016 with offices in Cairo and Addis Ababa. In Ethiopia, the law firm operates in cooperation with Tameru Wondm Agegnehu Law office. The team is headed by Gianpiero Succi, partner at BonelliErede, and Tameru Wondm Agegnehu, Founding Partner of Tameru Wondm Agegnehu Law office in cooperation with BonelliErede and Of Counsel BonelliErede and is composed of an integrated group of around 10 lawyers who offer a complete range of legal services to international investors and major local corporations.

Distributed by African Media Agency (AMA) on behalf of BonelliErede..

About BonelliErede:
BonelliErede is the market leader for legal services in Italy, covering all areas of business and corporate criminal law. Thanks to its offices in Europe and Africa and to the partnerships with independent law firms around the world, BonelliErede is also a true international player.By combining the skills of its professionals, the firm also offers support through specialised working groups organised by sector and practice: the focus teams.The focus teams are organised by sector and practice area and pool their individual legal expertise and their in-depth sector knowledge to offer clients assistance with all aspects of their businesses.

Media Contact:
Brandon Almeida
M: +971 50 198 9408
Brandon.Almeida@kekstcnc.com

You might also enjoy

Subscribe To Our Newsletter

Get updates and learn from the best

Conférence de Presse en Ligne


Les frontières terrestres ne doivent pas constituer des obstacles à la dissémination de votre message. Grâce à notre service de conférence de presse en ligne, nous vous offrons l’opportunité de vous rapprocher des médias africains, chaque fois que vous en aurez besoin.

Nos services comprennent:

Digital Communications


Today, social networks constitute an organization’s first point of contact with a user and a potential customer. At first glance, you need to convince of the relevance and quality of your content to stimulate and motivate the user to go further. We create consistently inspiring online strategy to meet business objectives, engage stakeholders and enhance our client brand’s reputation internally and externally.

 

Communication​ digitale


Les réseaux sociaux représentent aujourd’hui le premier point de contact d’une organisation avec un utilisateur et un client potentiel. Au premier coup d’œil, vous devez le convaincre de la pertinence et de la qualité de votre contenu pour l’inciter à aller plus loin. Nous créons pour vous une stratégie de communication précise et adaptée sur les réseaux sociaux pour atteindre les objectifs commerciaux, impliquer les parties prenantes et améliorer la réputation de votre marque en interne et en externe.

Promotion​ d’événements


Le succès d’un événement réside en moitié dans sa promotion. Peu importe la beauté de l’événement, la qualité des orateurs et de l’ordre du jour, si personne ne rapporte ou ne parle de votre événement, vos efforts seront vains. Nous vous aidons à façonner votre récit et à créer un engouement autour de votre événement. De l’annonce de l’événement à la tenue de celui-ci, nous accompagnons votre effort de planification et le reflétons sur toutes les plateformes médiatiques.​

Formation​ Médiatique


Nous fournissons à vos porte-paroles les outils nécessaires pour présenter vos principaux messages et répondre avec confiance et cohérence aux questions. Notre formation est organisée soit à distance ou en présentiel, avec des études de cas réels et des répétitions. Nos clients repartent avec le sentiment d’être à l’aise devant les journalistes et d’agir en tant qu’ambassadeurs de la marque.

Veille​ Médiatique


Nous mesurons votre portée en relations publiques et rendons compte des informations de votre industrie et des activités de vos  concurrents en surveillant la majorité des canaux de diffusion dans toute l’Afrique. Une veille médiatique complète et opportune est essentielle pour s’assurer que vous ne manquez aucune référence à votre marque, que vous êtes constamment informé de ce qui se passe dans votre industrie et que vous êtes prêt à saisir les opportunités et à réduire les risques en temps opportun.

Relations​ Média


Peu importe le lieu où ils se trouvent, nous sommes une source d‘informations fiables pour les journalistes qui écrivent sur l’Afrique. Nous nous connaissons mutuellement et ils nous font confiance, car nous leur fournissons un contenu crédible qui les aide dans leurs tâches. Nous nous entretenons quotidiennement avec des journalistes aux quatre coins du continent, ce qui fait de nous l’un des organismes les plus efficaces pour mener des campagnes de relations avec les médias.

Stratégie et développement de contenu


Nous créons des stratégies de communication intelligentes, bien documentées et spécialisées destinées à vous aider à construire un récit fort qui engagera votre audience. Nous travaillons en synergie avec vous afin de rédiger des communiqués de presse et des articles d’opinions qui alimentent le récit de votre entreprise. Notre équipe a une expérience approfondie dans la création de récits et le développement de contenu multimédia.

DIFFUSION DE COMMUNIQUES​ DE PRESSE​


C’est le service phare d’AMA. Nous avons mis en place des canaux de diffusion des communiqués de presse auprès des journalistes des 54 États africains ainsi qu’auprès des journalistes américains et européens couvrant les sujets relatifs aux marchés émergents.​

​Nos services comprennent:​

Event Promotion


Half of the success of an event lays in its promotion. Doesn’t matter how beautiful the event is, how wonderful the speakers and the agenda are, if no one reports or talks about your event, your efforts are gone. We help you shape the narrative and create a drumbeat around your event. From the announce all the way to the outcome of the event, we accompany your planning effort and echo it through all media platforms

Media Training


We provide your spokespeople with the tools to present your key messages and answer questions with confidence and coherence. Our training is organised either remotely or face-to- face, with real case studies and rehearsals. Our clients leave feeling comfortable being in front of reporters and acting as brand ambassadors.

Media Monitoring


We measure and report on
your PR reach, industry news, and competitive activity by monitoring most channels in North, West, Central, East and Southern Africa. Comprehensive and timely media monitoring is critical to ensuring that you don’t miss any reporting of your brand,
you’re constantly informed on what’s going on around your business, and you’re ready to capitalise on opportunities and mitigate
risks in a timely fashion..

Media Relations


We have become an authoritative source of news for reporters writing about Africa, wherever they are. We know them, they know us, and they trust us for providing them with timely and accurate content that helps them do their job. We speak to reporters on a daily basis in all corners of the continent and this makes us one of the most effective agencies in running media relations campaigns.

Strategy & Content Development


We create smart and localised communications strategies to help build a strong narrative that will engage your audiences. We partner with you to create press releases and thought leadership pieces that sustain a drumbeat for your company’s narrative. Our team have deep experience in shaping narratives and developing media content.

PRESS RELEASE WIRE DISTRIBUTION

This is AMA’s flagship service. We have set up channels of distribution towards the journalists of the 54 African states, as well as to American journalists and European journalists covering emerging markets issues.
Our service includes:

Editorial advice

Localised editorial piece when needed

Distribution to the major print, broadcast and online publications along with industry-specific publications

Follow-up calls to secure interview request

Guaranteed distribution to Africa.com

Distribution to Bloomberg, LexisNexis and Thomson Reuters

Social Media Reach: Facebook, Twitter, LinkedIn, Instagram

Full online monitoring and print monitoring when available. Includesreadership stats and Advertising Value Equivalent

Translation in French, Arabic and Portuguese available