The Project Sponsors and Shareholders are Paul Makumbe (40% as trustee of Ora Trust), Ajay Raniga (33%) and Lachlan Macpherson (8%, as trustee of Summerlands Trust). Other individuals, including employees and board members hold the remaining shares.

Total Project Cost is US$5.5million of which IFC plans to invest up to US$1 million for a 20% equity interest in Sunergise International Limited and an additional investment of up to US$1 million in preferred shares of the company.

2.0 million (USD)

Product Line	IFC Investment (million USD)
Risk Management
Guarantee
Loan
Equity	2.0

* These investment figures are indicative

IFC’s investment will be used to finance solar power installations in Solomon Islands, Papua New Guinea and Fiji.

- Sunergise provides companies in the Pacific region with access to lower cost power and reduces reliance on expensive fossil fuel imports and exposure to oil price fluctuations, increasing energy security in the Pacific region.
- Supports the renewable energy targets to achieve 50% by 2015 of many Pacific Island Countries. For each 1 MWp of installed solar power it is estimated that around 900 tCO2eq/annum of GHG emissions will be avoided based on peak daytime loads currently being met by diesel generation of grid electricity in Fiji and 1,600 MWhr/annum of electricity generated per installed MWp. Accordingly, the project will reduce the generation of GHG Emissions by an estimated 2,745 tCO2eq/annum with the targeted installation of 3.05 MWp by the end of 2015.

- Providing access to long term equity capital that is not readily available in the Pacific region and promoting private sector investment in renewable energy.
- Providing technical guidance to ensure company-wide compliance with performance standards across multiple projects.

The proposed investment is a Category B project as per IFC’s Environmental and Social Sustainability Policy because it is expected to have limited adverse environmental and social impacts during construction and operation, with impacts primarily expected to be short term, restricted to the site and relatively minor. Predicted adverse impacts can be avoided or mitigated by adhering to recognized site selection and design criteria, guidelines and performance standards, as described in the following sections.

IFC’s project appraisal considered environmental and social management issues and plans for the Project, and gaps between these plans and IFC requirements. Corrective measures intended to close these gaps within a reasonable period of time are summarized below and in the agreed Environmental and Social Action Plan (ESAP) disclosed in this review summary. Through the implementation of these management plans the Project is expected to be designed and operated in accordance with Performance Standards objectives.

Key environmental and social issues applicable for this investment are: i) design and construction of the project in accordance with accepted building structural and electrical codes, most notably related to loading roofs, resistance to cyclone damage and electrical safety; ii) labor and working conditions for construction workers and operational staff, including occupational health and safety; iii) waste management.

The company does not own any premises at present, while all solar energy systems will be installed on client buildings or land. Clay Energy’s leased depot in Suva will be used by Sunergise (currently leased on a five year plus five year contract, which is now four years into the initial term) or alternatively Sunergise will purchase or develop its own depot. Village installations on community land will only occur with the village council agreement and PPAs with individual customers. Accordingly, no involuntary resettlement or economic displacement has occurred and PS5: Land Acquisition and Involuntary Resettlement does not apply.

Ground-mounted panels are usually sited on open, ideally flat land with grass cover (although individual trees may be removed to prevent shading of panels, therefore PS6: Biodiversity Conservation and Sustainable Management of Living Resources does not apply. Given that the use of premises or land for a solar energy system is only undertaken on a willing basis by the private owner/s or customary landowner/s, PS7: Indigenous Peoples does not apply. Similarly, as most ground sites have been previously disturbed PS8: Cultural Heritage does not apply.

Please refer to the related Environmental and Social Review Summary (ESRS) document for this project.

Please refer to the Environmental and Social Action Plan (ESAP) tab in the related Environmental and Social Review Summary (ESRS) document for this project.