The African Development Bank (AfDB) has approved financing of 19.6 million euros for the second phase of the Cabeólica expansion project, a flagship initiative in the renewable energy sector in Cape Verde. This is the first national project on a large scale combining wind production and energy storage systems with batteries (BESS), according to a statement released on Monday, June 16.
The financing consists of a 12.6 million euro loan granted by the AfDB, supplemented by a concessional loan of 7 million euros from the Sustainable Energy Fund for Africa (SEFA), managed by the Bank Group.
Commissioned in 2012, the Cabeólica power plant will see its capacity strengthened in this second phase, with the addition of 13.5 megawatts of wind energy and 26 megawatt-hours of storage via batteries, all integrated into the national grid. This extension will generate more than 60 gigawatt-hours of green electricity per year, significantly reducing dependence on expensive thermal power plants and contributing to an annual reduction of 50,000 tons of CO₂ emissions.
The project is part of Cape Verde’s national strategy, which aims to increase the share of renewable energies to 50% in the electricity mix by 2030. It also contributes to achieving the climate goals set within the framework of the Paris Agreement. This support aligns with the AfDB’s strategic priorities, including the “Light up and power Africa” initiative, the 2024-2033 Decade Strategy, and the “Green Baseload” pillar of SEFA.
