The Tina River Hydro Development Project is a national project intended to lower the cost of electricity which is the most expensive in the Pacific. The project attracted private sector equity from K-Water (80%) and Hyundai Engineering Co. Ltd. of Korea (20%). The project is to be funded as an IPP by concessional loans and grants from the Green Climate Fund, World Bank-IDA, The Economic Development Cooperation Fund of Korea, ADB, Abu Dhabi Fund for Development and The Government of Australia, through the Australia Pacific Islands Partnership. Funds raised from the concessional financiers to the government will be on-lent by MOFT to the project under an On-Lending Agreement (OLA).
MOFT will need to manage the concessional financing to the government and also the on-lent project finance loan to the Project.
Help MOFT meet conditions precedent to fund drawdown
Prepare a Project procedure manual to ensure MOFT can manage fund flows and Project documentation during the construction and operation periods
By end 2019: All conditions precedent for both the Concessional Financiers’ grants and loan agreements and the OLA are met