This €5 million facility will go towards the partial funding of engineering, environmental, and socio-economic development workstreams related to the project’s development up to final investment decision (FID).
This partnership demonstrates the DBSA’s belief in the Hyphen project, which is set to have a transformational impact on Namibia and its economy. A major theme of the COP28 climate conference this year is international collaboration. The announcement underscores the importance of development finance institutions working with private developers in Africa to drive forward green energy development.
Catherine Koffman, Group Executive Project Preparation at the, DBSA, said, “Hyphen Hydrogen project demonstrates the catalytic impact of collaboration between private sector and development capital. The DBSA and Hyphen’s partnership will facilitate the creation of a new asset class in the energy sector with a profound and positive economic, social and environmental impact in Namibia and the region. Green hydrogen is a versatile energy carrier that is vital for decarbonising key sectors of the economy, including hard-to-abate industries like steel and chemicals. The investment emphasises the bank’s commitment in accelerating the transition to net zero and looks forward to a successful completion of the project.”
Marco Raffinetti, CEO of Hyphen Hydrogen Energy, stated: “Collaboration and partnerships with African lending institutions will be critical to the success of the Hyphen project. This funding facility shows these partnerships in action. It will provide crucial funding for the development and integration of the project, and subsequently, the socio-economic development of Namibia. Hyphen and the DBSA are aligned with the common purpose to drive the future of renewable energy in Namibia and beyond, and we look forward to working together to achieve this.”