CME Solar secures USD 12.8 million investment from GCPF

Vietnam-based solar power developer, CME Solar Investments (CME Solar), has secured financing to improve commercial and industrial (C&I) solar initiatives.

A notable project funded by this initiative is the Foxconn Solar Project in Bac Giang – Bac Ninh, Vietnam, boasting a capacity of 31.5 MWp, which is substantial enough to power approximately 40 million kWh and save up to 20,000 tons of CO₂ annually. This project adopted advanced N-type PV technology throughout and emphasized Health, Safety, and Environment (HSE) standards.

Supporting Vietnam’s Solar Ambitions

The additional funds enable CME Solar to tackle a range of projects, primarily aimed at improving commercial and industrial (C&I) solar initiatives across a wide spectrum of sectors in Vietnam. This includes manufacturing, electronics, food, beverages, and textiles. In line with its operations, CME Solar is dedicated to adhering to the environmental and social (E&S) standards, aiming to balance social welfare, economic growth, and environmental protection.

CEO’s Vision for Vietnam’s Solar Growth

Chung Dieu Tuan, CEO of CME Solar Investments, sees a growing demand for rooftop solar installations in Vietnam, particularly within the FDI manufacturing sectors like electronics, semiconductors, garments, textiles, and global MNC consumer areas. Tuan cites government support as a driving factor for the potential expansion of rooftop solar energy in Vietnam over the next decade. He also appreciates the efforts of his team in adhering to international standards in all projects and believes CME Solar is on track to meet its targets this year.

GCPF’s Commitment to Impact Investing Partnerships

Stefan Issler, Head of Climate Finance Direct Investments, responsAbility stated, “The investment in CME Solar underscores our dedication to renewable energy. Drawing from our past experiences, we recognize the value of partnerships in advancing impact investing. We’re confident about the potential of Vietnam’s solar market, particularly with C&I consumers aiming to streamline operational costs. CME Solar has built a commendable network in Vietnam, collaborating with recognized offtakers like Foxconn and LG. Our financial backing for CME Solar aims to fill a pivotal funding need in a sector crucial for both economic and societal progression.

About CME Solar Investments

Founded in 2019, CME Solar Investments (CME Solar) is an investment company specializing in investing and developing distributed rooftop solar across Vietnam. CME Solar is well-positioned to meet the challenges of the rapidly growing national solar market. With a strong in-house engineering capability, national scope, and unmatched responsiveness, CME Solar commits high-quality for all projects to its clients and community.

About the Global Climate Partnership Fund (GCPF)

The Global Climate Partnership Fund is a Luxembourg-based fund managed by the Swiss asset manager responsAbility Investments AG. The Fund is an innovative public-private partnership dedicated to mitigating climate change through a reduction of greenhouse gas emissions in emerging and developing markets. It focuses on financing energy efficiency and renewable energy projects, through local financial institutions or directly. Only projects that generate significant energy savings and pledge to reduce projected greenhouse gas emissions by at least 20% are eligible for funding.

GCPF was established by the German Federal Ministry for the Environment, Nature Conservation and Nuclear Safety (BMU), KfW Entwicklungsbank and the International Finance Corporation (IFC) in 2009 as a public-private partnership. Junior catalytic capital is provided by BMU, the department for Business, Energy and Industrial Strategy (BEIS) of the UK, Denmark’s development cooperation (Danida). Other private and public investors include ASN Bank, Ärzteversorgung Westfalen-Lippe, FMO, OeEB, Sparkasse Bremen, the European Investment Bank (EIB) and Heilsarmee.

About responsAbility Investments AG

responsAbility Investments AG is a leading impact asset manager specializing in private market investments across three investment themes to directly contribute to the United Nations Sustainable Development Goals (SDGs): Financial Inclusion, to finance the growth of Micro & SMEs; Climate Finance, to contribute to a net zero pathway; and Sustainable Food, to sustainably feed an ever-growing population. All responsAbility investment solutions target specific measurable impact alongside market returns.

Since its inception in 2003, responsAbility has deployed over USD 13 billion in impact investments. With over 200 employees collaborating across seven offices, as of 1 March 2023 the company manages USD 4.8 billion in assets across approximately 280 portfolio companies in 74 countries. Since 2022 responsAbility is part of M&G plc, the international savings, and investments business, and contributes to enhancing M&G’s capabilities in impact investing.