ADB backs wind, solar installations on Yap with USD-9m loan

Jun 21, 2013 - The Asian Development Bank (ADB) said Friday it will provide USD 9 million (EUR 6.8m) in loans for wind and solar power installations on Yap, an island group in Micronesia.

The USD-11.1-million project, which includes USD 2.1 million in counterpart financing from the Yap state government, aims to cut by 22% diesel use for power generation on the island and help stabilise power tariffs. It envisages the installation of a wind farm near the largest urban center on the main island to cover around 18% of power demand in Yap. In addition, grid-hooked solar systems on some 21 government buildings will meet 4% of local electricity needs. The plan also includes the deployment of more efficient power generators to reduce diesel use.

Completion of the project is expected in June 2017.

ADB will extend an ordinary capital resources loan of nearly USD 4.7 million and some USD 4.4 million from the concessional Asian Development Fund.

(USD 1 = EUR 0.757)

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