The Accelerating Sustainable System Development Using Renewable Energy (ASSURE) Project was approved by the ADB Board on 12 September 2023. This project builds on previous interventions by ADB, Preparing Outer Islands for Sustainable Energy Development (POISED) and subsequent additional financing that has successfully deployed solar photovoltaic (PV) hybrid systems in the outer islands and continues to demonstrate other applications for renewables (solar-powered ice plant and ferry).
The ASSURE project comprises of a $41.5 million grant, $8.5 million concessional financing from OCR, and $500,000 grant from the Climate Change Fund. The project will install a grid-scale energy storage, energy management systems, and will upgrade the distribution grid in 20 outer islands. All these are the needed infrastructure to help bring the private sector to invest in rooftop, land, and floating solar PV – where ADB is also helping through transaction advisory support.
Apart from the demonstration of One ADB approach, the project introduces mechanisms in its financing instruments that mitigate payment risks and encourage efficient performance and tariff pricing. The project will be utilizing emerging technologies from ocean-based floating solar panels, ocean energy devices, small wind turbines, and flow batteries. The project has also been categorized as effective gender mainstreaming (EGM) by promoting gender development in its support for renewable energy-based livelihood activities for women and disadvantaged households. The project is being led by Jaimes Kolantharaj, South Asia Team, Energy Sector Group.