The green bond market in Mauritius is gaining momentum, all thanks to Envolt, a subsidiary of the prominent Mauritian conglomerate ENL. Envolt is spearheading a program worth 2 billion Mauritian rupees, equivalent to $45 million for the Development of 13 Solar Energy Facilities .
According to FSD Africa, a UK-based financial firm supporting this endeavor, this marks a significant milestone for the Mauritian renewable energy sector and the country’s capital markets. It stands out as the first green bond issuance to finance clean energy projects in Mauritius.
Completion date for Development of 13 Solar Energy Facilities
This green bond program is scheduled to extend until 2028, and its purpose is to fund the development and operation of 13 solar photovoltaic parks, collectively generating 14.4 MWp of power. These solar installations in Mauritius are slated to be completed over a timeframe ranging from 10 to 17 months.
Furthermore, these green bonds are distinctive as they are the first in Mauritius to adhere to the 2021 Green Bond Principles developed by the International Capital Market Association (ICMA). These principles adhere to global standards and aim to combat “greenwashing” by demanding a rigorous evaluation of projects and their environmental or emissions-related claims, as highlighted by FSD Africa.
The Envolt transaction Is receiving advisory support from MCB Capital Markets, an investment bank headquartered in Port Louis, Mauritius. This initiative is part of the Southern African Development Community (SADC) Green Bond Program, which has the backing of FSD and is scheduled to run until March 2024. Mauritius’ participation in this program is set to expedite the growth and development of its capital markets and bolster the nation’s efforts to attract private investment.
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