MOZAMBIQUE CNG

Fund for the Development and Expansion of Compressed Natural Gas(CNG) in Mozambique

GEOGRAPHICAL COVERAGE

The Fund shall benefit projects in all Provinces of the Country.

PURPOSE

The Fund aims exclusively to provide support to the development of the CNG sector in Mozambique by financing individual and collective initiatives.

APPLICATION PROCESS

The application for funding includes the following phases:

 1. Expression of Interest

The applicant must submit a letter of Expression of Interest, with a brief description of the project, together with the form provided by the Fund Manager (FORM), dully filled in.

The letter of Expression of Interest must be supported with a specific business plan, subject to the eligibility criteria.

2. Legal Persons (individuals)

Funding application form, dully filled in;

Notorized copy of identification document (ID, DIRE or Passport);

Tax Identification Number (NUIT);

Bank details (ownership, NIB, SWIFT);

Quotation of equipment;

Credit protection insurance;

Promissory Note and promissory contract;

Business Plan and respective financial model.

3. Small and Medium Enterprises (SMEs):

Funding application form, dully filled in;

Notorized copy of indentification documents of company shareholder(s) (ID, DIRE, Passport);

Tax Identification Number (NUIT);

Audited Financial Reports of the last 3 financial years;

Tax Clearance Certificate;

Quotation of equipment;

Credit protection insurance;

Promissory Note and promissory contract;

Minutes of competent body approving the funding application and the respective signatories;

Business Plan and respective financial model.

FUNDING TYPE

The funding amount shall be based on the real needs of the project, i.e. on the necessary amount for the applicant and/or company to carry out its activities;

The funding may be granted in different types, depending on the specific features of each project with emphasis on the following:

• • Direct disbursement to the account of the contracted contractor;
• • Funding in kind, i.e. by paying suppliers for equipment and for the company’s account for working capital.

ELEGIBILITY CONDITIONS

The applicant must:

• • Present a project related with CNG in Mozambique;
• • Submit a Business Plan with duly proven economic and financial feasibility;
• • Possess implementation and technical capacity;
• • Fulfil the eligibility criteria set out in the BNI procedures manual;
• • Be free of any default situation in any banking institution or other funding support systems in the country.

ASSESSMENT CRITERIA

• • Technical feasibility (40%)
• • Economic and financial feasibility (45%)
• • Social feasibility (10%)
• • Legal and Compliance (5%)

ELIGIBLE PROJECTS

• Construction of CNG supply stations and incorporation of CNG supply components in existing stations for supply to individual users

• Rehabilitation/restoration of CNG facilities which are inoperable at the time of the funding application

• Purchase of vehicles (including public transportation vehicles, ambulances, fire engines and similar vehicles) designed to run on CNG and for exclusive use by the competent/relevant authorities

• Purchase of necessary components for conversion of vehicles owned by Mozambican citizens (as evidenced by means of registration title) into vehicles capable of running on CNG

• Development of specific facilities owned and managed by the relevant authorities, identified as necessary for the development of the CNG sector.

FINANCIAL TERMS AND CONDITIONS

• The funds will be disbursed in Meticais.

• The funding conditions – interest rate (10%-15%), grace period (2-6 months), maturity of the loan (12-48 Months) and the required collaterals (promissory notes, registration of ownership of assets, insurance and mortgages) – shall be set taking into account the specificities of each of the proposed projects.
apresentados.