World Bank to finance solar-powered homes

World Bank to finance solar-powered homes

WASHINGTON (DPA): The World Bank said Wednesday it would
provide US$44.3 million to help finance construction of solar
powered homes in Indonesia, the first such project in the
developing world.

The project aims to provide solar energy to 35 million
Indonesians in rural communities, to help wean them from unsafe
or polluting sources of energy such as candles, kerosene,
flashlights and diesel, the bank said.

Conventional power grids are impracticable because of the
geographical dispersion and sharp urban-rural differences
inherent throughout Indonesia, where 115 million people live
without adequate electricity, the bank said.

The project will help the environment by reducing dependence
on fossil fuels and cutting carbon dioxide emissions, the bank
said. It will provide economic benefits by promoting private
sector involvement and strengthening the country's electric power
infrastructure.

The total project is expected to cost US$118 million. The
bank's contribution will include a loan of $20 million and a
grant of $24.3 million from its Global Environment Facility trust
fund. About 57 percent of the project's costs will be borne by
the families receiving the solar power units, the bank said.