The time is ripe for local businesses to seek finance in order to develop renewable energy and efficiency projects in the face of recent rotational blackouts and rising prices, the South African National Energy Development Institute (Sanedi) said on Tuesday.

Sanedi urged businesses to consider loans from SUNREF, an international lending programme which it hosts and which promotes green finance and energy innovation, to develop projects in support of the country’s efforts towards a "green" transition.

Developed by the French Development Agency, SUNREF relies on two pillars: a credit line to partner bank Industrial Development Corporation (IDC) and a technical assistance facility funded by SECO, the state secretariat for economic affairs in Switzerland. 

The credit line with the IDC is worth around $60 million and meant to fund projects that fit its mandate to promote energy efficiency and renewable energy in South Africa.

Projects which would be considered for funding include solar rooftop photovoltaic ones as well as those in biogas and biomass energy and any industrial projects that improve their processes to reduce carbon emissions.

The SUNREF credit line with the IDC is a debt fund offered at a concessionary rate. The green loans can be combined with equity support from the IDC.