The government of Maldives has secured financing of a US$6mn from the Abu Dhabi Fund for Development (ADFD) for a project that will generate energy from waste
ADFD said the loan agreement is part of its strategy to finance renewable energy in accelerating economic development in developing countries. Aimed at contributing to the development of the Maldivian economy, the project will support the energy sector in the northern city of Addu, the second largest city after the capital Male. The project involves the installation of a power plant that will use waste in an eco-friendly manner to generate about 4MW of energy from heat, meeting 18 per cent of the city's electricity needs. It will also help save about 1.9mn litres of diesel and reduce the total waste of the city by 10 per cent.
The agreement was signed by Abdulla Jihad, the minister of finance and treasury, Maldives and Mohammed Saif Al Suwaidi, director general of ADFD. “The UAE is working through ADFD to promote the widespread deployment of renewable energy towards achieving sustainable economic and social development in emerging economies. The bilateral relations between the two countries have grown remarkably over the past years primarily due to the UAE’s continued support to the stability and development of the Maldives. We look forward to forging further economic cooperation and joint investments with the UAE for the wider benefit of the two countries.”
So far, ADFD has funded four projects valued at close to US$20mn in sectors vital to Maldives’ economy, including housing, communications, transport and energy.
