Increased renewable energy capacity is what will secure a greener future—a future that will drive inclusive economic growth and the ability to meet the UN Sustainable Development Goals. Among renewable energy sectors, wind holds particular promise, given recent technological advances and falling turbine production costs. There are exciting opportunities in wind, especially for developing countries, where wind is an abundant natural resource. The World Bank Group’s Scaling Wind program helps reduce barriers to market entry and enables more investments in utility-scale wind installations in emerging markets.
Despite the tremendous potential, the number of wind installations in emerging markets has not increased at the same pace as in developed markets, or as compared to solar installations. In many World Bank Group client countries, bankable wind projects are in short supply—due in large part to the significant challenges faced in these markets. Among the issues:
IFC has developed a first-hand understanding of the challenges potential market players face, based on our experience investing in 66 wind projects around the world, representing around 4,800 MW of new capacity. The Scaling Wind program leverages this experience to facilitate expansion of utility-scale wind power in developing countries.
About Scaling Wind
The Scaling Wind program provides a standardized approach to utility-scale wind Independent Power Producers (IPPs). The program:
By standardizing the procurement process across jurisdictions, Scaling Wind aims to create a market for grid-connected wind power with increased competition and economies of scale available even to smaller and low-income countries. The objective will be accomplished by combining IFC transaction advisory support for governments to prepare and tender projects with offers of IFC financing and credit enhancements from MIGA and the World Bank. It is expected that the experience and capacity developed by governments that run Scaling Wind tenders will make subsequent tenders more efficient and easier.
Watch a video recording of the IFC webinar on October 5, 2020, exploring ways Africa can realize its tremendous wind potential. The webinar presented data of the new analysis, carried out by Everoze, revealing that many African countries—even those not considered to date as having a strong resource—actually possess world-class wind potential that could be developed to bring clean, affordable electricity to millions on the continent.