InfraCo Asia comprises two companies; InfraCo Asia Development (IAD), investing early-stage development capital, and InfraCo Asia Investments (IAI), offering debt and equity
At a glance
|PIDG members currently funding||IAD: UK aid, SECO, DFAT|
IAI: UK aid
|Cumulative PIDG member funding||IAD: $128.0m|
|Chair||IAD: John Walker|
IAI: Keith Palmer
|Managed by||InfraCo Asia|
|Total commitments as at 31 Dec 2017||IAD: $103.4m to develop 32 projects, 6 having reached financial close and 26 having signed a JDA|
IAI: $28.2m on 3 projects that have reached financial close
|2017 commitments||IAD: $45.3m across 16 projects which reached JDA, one of which also reached financial close|
Expected development impact
|Total Investment Commitments (TICs) ($m)||97.4||413.7|
|% of TICs in priority countries*||87.9%|
|% of TICs in FCAS**||86.9%|
|Access (in millions)*||1.5||2.3|
|Job creation: short-term||310||2,010|
|Job creation: long-term||95||541|
|Fiscal benefits ($m)||0.3||0.8|
* Priority countries: Bangladesh, Bhutan, Cambodia, Laos, Myanmar, Nepal, Pakistan and DFID focus states in India
** Fragile and Conflict-Affected States: Bangladesh, Myanmar, Nepal, and Pakistan; Sri Lanka was FCAS until end 2016
Projects that signed a Joint Development Agreement or equivalent in 2017
|Bangladesh||Bangladesh Solar JV|
|India||Hydroponic Farming, Himachal Pradesh|
|Indonesia||Archipelago Hybrid Solutions|
|Myanmar||Myanmar Wind Power|
|Pakistan||Swat KPK Small Hydropower Projects - Ban Khwar, Gabral, Rathi Gali, Sakhara I & II|
|Philippines||Metro Manila Waste-to-Energy|
|Sri Lanka||Trincomalee Biomass to Pellets|
|Vietnam||Ninh Tay Power Projects - solar, wind|
|Vietnam||Water Supply Projects - Bai Lai, Kim Lien, La Giang, Thuy Nguyen|
Projects that reached financial close in 2017
|India||Hydroponic Farming Project, Himachal Pradesh|
|Nepal||Kabeli A hydropower|
Achievements in 2017
InfraCo Asia sold its shares in Pakistan’s two 50MW Metro and Gul Ahmed wind power projects to the private sector, allowing the public funds it invested during development to be redeployed. The sale marked InfraCo Asia’s first complete exit from a utility-scale renewable energy project and demonstrated its ability to catalyse private sector infrastructure investment in its target countries.
InfraCo Asia Development saw two financial closes: the 36.7MW Kabeli A hydropower in Nepal; and a 1.2 hectare greenhouse hydroponics facility in Junga, north India, which will improve the yield and quality of vegetables for sale and export.
Other notable highlights
InfraCo Asia Development signed joint investment and development agreements (JIDAs) for a total of 16 projects in 2017, including a series of firsts. Its first commitments to water treatment and solar projects in Vietnam, are expected to reach financial close in 2018. In addition, a first JIDA to provide power to remote islands in Indonesia was signed.
Recognising its important role in de-risking project development in low-income areas of Asia, the company was awarded Smart Seed Investor status by industry publication Thomson Reuters Project Finance International.
2018 and beyond
In the coming years InfraCo Asia will seek to play a greater supporting role in the renewable, water and waste management sectors across the south and south-east Asia regions. With 16 new projects with Joint Development Agreements signed in 2017, InfraCo Asia will focus its efforts on bringing these projects into commercial operation, thereby scaling the impact of PIDG’s unique model of early-stage infrastructure development.
In these efforts InfraCo Asia will foster greater cooperation with other PIDG companies, including InfraCo Africa and GuarantCo, with whom it is now co-located in Singapore.