CDB, GCF Back Solar Upgrades in Three Caribbean Nations
A US$68.7 million program lets utilities finance rooftop solar and efficiency upgrades for customers in Barbados, Belize and Jamaica.
Updated on Nov. 4, 2026 in Utilities
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The Caribbean Development Bank and the Green Climate Fund signed a Funded Activity Agreement for the Investing in Utilities for Sustainability Programme, unlocking US$68.7 million for households and businesses in Barbados, Belize and Jamaica. Under the arrangement, national utilities provide upfront financing for clean energy and efficiency technologies that customers repay through monthly electricity bills.
Why it matters
Barbados, Belize and Jamaica rely heavily on imported fossil fuels for electricity, which exposes consumers to volatile prices and makes the power sector a major source of greenhouse gas emissions. The model aims to shift that dependence toward locally installed renewable generation and efficiency measures.
The package combines US$26.74 million in GCF financing, including US$20.8 million in concessional loans and US$5.94 million in grants, with US$16.2 million in CDB loans. Utilities will separately invest about US$25 million in smart meters, but the stub gives no participation targets or completion dates.
The players
Caribbean Development Bank (CDB)
A regional multilateral development bank that delivers the program as the Accredited Entity and provides loans to Borrowing Member Countries across the Caribbean.
Green Climate Fund (GCF)
A global fund established under the United Nations Framework Convention on Climate Change that provides concessional loans and grants to developing countries for climate mitigation and adaptation.
Barbados Light & Power Company Limited
The national electricity utility of Barbados that serves as an Executing Entity for the program.
Belize Electricity Limited
The national electricity utility of Belize that serves as an Executing Entity for the program.
Jamaica Public Service Company Limited
The national electricity utility of Jamaica that serves as an Executing Entity for the program.
The details
Utilities in the three countries will finance eligible technologies installed at customers' premises, including rooftop solar photovoltaic systems, solar water heaters, energy-efficient air conditioning and LED lighting, installed by qualified service providers. Barbados Light & Power Company Limited, Belize Electricity Limited and Jamaica Public Service Company Limited serve as national Executing Entities, with CDB delivering the program as the Accredited Entity.
Timeline
- The Caribbean Development Bank and Green Climate Fund published the announcement of the signed agreement on November 3, 2026.
- The first phase is intended to lay the foundation for scaling the model across CDB's other Borrowing Member Countries.
Market Landscape
The Green Climate Fund's concessional finance window has increasingly been used to underwrite distributed renewable generation in small island developing states, where grid electricity has historically depended on imported diesel and fuel oil. This program extends that pattern by routing GCF loans and grants through regional development bank and national utilities rather than standalone energy projects.
For households in Barbados, Belize and Jamaica, the model means a utility may finance rooftop solar, solar water heaters or efficient cooling and lighting, with the cost recovered gradually through monthly electricity bills rather than paid upfront. Eligibility, participating providers and actual bill impacts will depend on how each national utility rolls out the program.
The takeaway
The IUS model shifts the upfront cost of clean energy onto utility balance sheets and recovers it through regular bills, so households may adopt solar and efficiency upgrades without large initial outlays. Whether that holds will depend on how transparently repayment terms are set in each country.
Further reading
For broader context on how power companies are adapting their grids and business models, explore more coverage in our Utilities section.
Source note: This article includes information reported by Caribank.
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