Under a Financing Agreements executed between GOU, IDA and GEF, UECCC was the Implementing Agency of the financial intermediation component that entailed establishment of a functional Credit Support Facility (CSF) at UECCC. The CSF is a menu of credit enhancement instruments aimed at encouraging the participation of local financial institutions in financing of renewable energy projects. The CSF Instruments established under ERT II at UECCC include:

1. A Solar Financing Facility
2. An On-Grid Power Connection Loan Facility.

• Standby Liquidity/Refinance Option:

1. Technical Assistance (TA) to PFIs and Independent Power Producers (IPPs) to strengthen their capacity to deliver renewable energy/rural electrification projects.

KfW provided funding to UECCC for provision of Early Stage Technical Assistance to Renewable Energy generation projects through a Channeling Agreement executed with the Government of Uganda. Early Stage Technical Assistance/Transaction Advisory Services were provided to developers of renewable energy generation projects (Independent Power Producers) to unlock generation projects for implementation.

The eligible menu of services included: Full pre-feasibility Studies, Technical Evaluation of Milestone Project Studies, Technical Validation of Environmental and Social Impact Assessment (ESIAs), Business Plan Preparation, Financial/Economic Modelling, Market and Risk Assessments, Marketing Projects to UECCC Participating Financial Institutions and other equity investors, and Valuing of Projects for Sale.

The key outputs of the Technical Assistance include Early Stage Technical Assistance and Match making services to Eight (8) local Independent Power Producers (IPPs) with a generation capacity of 76.7MW. This enabled the local developers to finish early stage studies and secure equity investors.