Clean and energy efficient solutions are critical in combatting climate change. We have joined forces with the European Commission to create DESIREE, a programme designed to unlock investment in such small-scale projects in sub-Saharan Africa, Asia and Latin America.
Currently, these investments are limited due to lack of access to local financing, limited technical knowledge and increased initial costs.
The programme’s mission is to mobilise private sector investments for the energy efficiency and electrification of social infrastructure in these regions. We also can help design and finance demand-side management programmes for a more efficient use of energy resources.
DESIREE contributes to the EU Global Gateway strategy by fostering sustainable and inclusive socio-economic growth in selected partner countries through the provision of clean, climate-friendly and energy efficient solutions. DESIREE focuses on specific market segments by promoting innovative business models for households and small enterprises as well as social infrastructures. Boosting investments in energy efficiency and renewable energies in these countries will directly help reducing greenhouse gas emissions from their energy sectors.
A programme created by:
How DESIREE works
DESIREE unblocks such barriers by offering blending, in other words a combination of technical and financial instruments:
- technical assistance to originate, develop and implement the projects
- grants for project development, implementation and operation
- concessional loans to de-risk commercial loans
- direct EIB financing
Discover how EU blending facilities work.
DESIREE targets innovative projects that develop new business models and novel technologies, easy to scale up and apply into other projects. It specifically supports the following:
- creation and operation of super-energy service companies, also known as Super-ESCOs,
- implementation of domestic and commercial consumer energy efficient measures through better demand-side management by the utility companies,
- innovative de-risking approaches, incentive schemes and scaling of private sector business models for the sustainable electrification of social infrastructure, such as hospitals and schools.
DESIREE can help the below types of businesses:
We support the establishment or improvement of Super-ESCOs in the target countries. A Super-ESCO is typically a government-backed entity, functioning as a project developer and facilitator primarily for the public sector, and, in some exceptional cases, for the private sector, if there is a clear public need.
- ESCOs (energy service companies), intermediary banks and utility companies
DESIREE supports projects in demand-side management, with the aim to optimise energy consumption by end consumers. It has been observed that an efficient energy consumption contributes to significant savings of energy resources, especially when applied by large energy consumers.
- Public-private partnerships for social infrastructure
Lack of access to reliable sources of power threatens the education and health sectors in rural communities around the world. DESIREE is crucial in creating public-private partnerships. Such partnerships can de-risk and scale up private sector business models for the electrification of social infrastructure, such as schools and healthcare facilities.
DESIREE is currently considering projects in Ecuador, India, Côte d'Ivoire, Kenya and Uganda.
The programme remains open for projects in other countries in sub-Saharan Africa, Asia and Latin America.
How to get support
Enquire if your project is eligible for support under DESIREE.
DESIREE in action
Our team can support a variety of projects. Here are some examples:
- renewable electrification of healthcare and education facilities
- energy efficiency and renewable energy technologies for small and medium businesses
- creation and operation of Super-ESCOs
- securitisation of ESCO loan portfolios
Global Gateway is the European Union’s strategy for reducing the worldwide investment gap by boosting smart, clean and secure connections in digital, energy and transport sectors, and by strengthening health, education and research systems. The Global Gateway strategy embodies a Team Europe approach that brings together the EU, Member States and European development finance institutions. It aims to mobilise up to €300 billion in public and private investments from 2021 to 2027, creating essential links rather than dependencies, and closing the global investment gap.
For more than 50 years, the EIB has been the European Union’s international development bank. Our key investments across the world help create stability, promote sustainable growth and fight climate change everywhere.
What is blending?
Blending involves the strategic use of a limited amount of grant resources to catalyse additional financing for development projects. Grants are often combined with loans, equity, beneficiary resources or other forms of financing, with the aim of de-risking projects and making them bankable. Blending allows partners to get the most out of their grant resources and enhance their overall development impact.
Our blending facilities
The European Investment Bank carries out global blending operations, through seven regional investment facilities and other thematic blending funds.