USTDA aims to advance economic development and US commercial interests in developing countries. It has a dual mission as a foreign assistance agency and trade promotion agency. It provides funding for investment analysis, feasibility studies, technical assistance, and reverse trade missions to enable investments in infrastructure and support a fair trading environment. USTDA evaluates projects based on their developmental priority, likelihood of implementation funding, and potential for US exports. It has numerous success stories funding projects in Sub-Saharan Africa focused on energy, transportation, and other infrastructure sectors.

1. USTDA – Overview
Ryan Blumenow
Trade Specialist (Johannesburg)

2. Overview of USTDA
Advance economic development and U.S. commercial interests in
developing and middle-income countries
Support modern infrastructure and a fair and open trading
environment
USTDA has a dual mission:
Foreign Assistance Agency
Grant-making agency
Development-oriented
Responsive to priorities in host country or region
Trade Promotion Agency
Supports US commercial interests

3. USTDA’s Program Activities
USTDA’s foreign assistance provides private sector solutions to
development challenges through funding for:
Investment Analysis / Feasibility Studies
Sector Development / Technical Assistance
Reverse Trade Missions
Conferences / Workshops
Our aim is to enable investments in infrastructure, technology
transfer/productivity enhancements, human capacity
building, and market-oriented reform
How? Through exposure to US technologies, product/equipment
suppliers, standards, and best practices

4. National Export Initiative
GOAL:
Double U.S. exports over the next five years
•USTDA named to export promotion cabinet
•Close coordination with U.S. Department of Commerce
on export advocacy
•Commitment by USTDA to increase number of reverse
trade missions – highly successful activity
•Support for trade-promotion activities and inter-agency
cooperation (visibility of projects)
•Commitment to the facilitation of eased trade

5. Where to go from here?
•Engage in projects utilizing USTDA assistance
Early investment analysis/feasibility studies
USTDA-funded investment analysis provides access to world-
class U.S. contractors to tackle development challenges
Evaluation of infrastructure development projects to support
internal decision making (including analysis for potential
investors and lenders)
Technical assistance
Development of sector strategies, industry standards, and legal
and regulatory regimes
Adoption of market-opening policies and procedures that
promote a favorable business and trade environment
•Reverse trade missions, training grants

6. USTDA Project Evaluation
How does USTDA evaluate projects?
1. Developmental priority to host country/project sponsor
(foreign assistance agency looking to be responsive to host
country’s needs)
2. Likelihood of receiving implementation funding, as well
as US government/private sector involvement and
promotion
3. Opportunity for significant US export potential (project
sponsor not tied into US procurements – merely the
contractors performing the analysis/evaluation.
However, US suppliers should be able to compete in a fair
and open trading environment through international
tenders)

7. How does Sub-Saharan Africa
Figure?
•Sub-Saharan Africa receives about 20% of
USTDA’s funding worldwide
•Approximately $8-9 million per year in grant
funding for the region
•USTDA funds about 25 assistance projects and
studies each year in the region
•The average grant is about $400,000
•USTDA has funded projects in 37 countries
throughout the region

8. Success Stories
1. Coal-Bed Methane in Botswana
• USTDA provided partial funding for a feasibility study
to the Botswana Development Corporation (BDC)
• The project is intended to capture and process CBM
from coalfields in Botswana to meet growing domestic and
regional demand for a low-cost, clean, and efficient fuel for
power plants and feedstock for industrial processes
• Also to advise on management of water reserves
(byproduct of production)
• USTDA also funded a RTM, which served as a form of
technical assistance to help identify technologies and
investment possibilities from abroad

9. Success Stories
2. Mamabula Power Plant
• USTDA provided funding for a technical assessment to
the Botswana Power Corporation (BPC) (as a follow on to
two earlier feasibility studies of different sized power
plants)
• The projects are intended to help advise on the
development of a more efficient power plant, to reduce use
of coal and to assess the Mamabula coal fields
• Also intended to provide financing analysis and
assistance, and to address regional trading issues and
bottlenecks to enable regional power trade

10. Success Stories
3. Regulation of IPPs and electricity Investment
Market Framework
• USTDA provided funding for technical assistance to Namibia’s Electricity
Control Board (ECB)
• TA developed a formalized electricity market model to facilitate investment by the
private sector
• Also advised on tariff structures and renewable energy integration
• Training component, support from OPIC and Ex-Im
• Contractor also worked on TA for eThekwini Electricity – complementary advice
to ensure holistic view of market across the continent
• New Namibian Electricity Act, several conditional licenses, at least 17 IPP
projects (including RE such as wind, IGCC, CCGT, geothermal, solar, cogen),
MOU with Nampower on IPP process
• Recent funding of second phase for TA to support commercially viable IPP
projects
• Pilot and flagship model on the continent

11. Success Stories
4. Van Eck Rhabilitation
• USTDA funded a technical assessment for Nampower
• Goal to improve efficiency in coal use, by upgrading
technological components of a baseload power station
• Technological improvements should allow increases in
processing capability to meet increased demand
• Regional power security of supply allows integration of
renewable energy
• Plan for rehabilitation will lead to the use of modern, clean
energy technologies that will reduce emissions of greenhouse
gases and other harmful pollutants

12. Success Stories
5. eThewkini Smart Metering
• USTDA funded a technical assessment for eThekwini
Electricity
• TA advises on economic, financial, and operating aspects of the
use of smart metering, time of use tariffs, and IPP framework to
meet NERSA requirements
• Project is a flagship in Southern Africa to provide the
technological foundation for improved demand-side management
policies and regulations as well as energy efficiency
• Grant is the second to be extended to eThekwini
Electricity, which, in 2007, used USTDA funding to develop a
strategic plan for the implementation of an integrated
information technology system to speed up response times to
network and system problems

13. Engagement in SA (1)
Over the past year, USTDA has hosted delegates from South Africa on
five different reverse trade missions.
These missions focused on sectors that are strategic priorities to
SA, including liquefied natural gas, agriculture, housing, energy
efficiency, and CSP.
USTDA is developing grants to support Eskom’s waste to energy
plans, and to offer generalized support to the development of solar
power.
USTDA provided a training grant offer to Transnet for a management
and operations training program that will support the development of
critical human resources in support of their capital investment
program.

14. Engagement in SA (2)
Recently approved USTDA activities related to South
Africa include a smart grid workshop and RTM, as well
as a Southern Africa regional rail integration
workshop, and we are evaluating funding opportunities in
aviation and water after recent Definitional Missions.
USTDA is proactively seeking opportunities to continue to
promote projects that have mutual economic benefits for
South Africa and the United States.

15. How to Utilize USTDA
No formal application procedure
Requests can be made year-round by project sponsor in SSA or an
interested US company
Supportive of private and public sector initiatives
Engage with USTDA about grant and RTM ideas
Grant Procedure:
1.Approach USTDA with project ideas
2.USTDA commissions U.S. technical consultant to review idea
(Desk Study or Definitional Mission)
3.USTDA provides grant to host country project sponsor
4.Opportunity is either competed through U.S. federal
procurement website or is a sole-sourced, cost-shared activity
5.Project sponsor contracts with U.S. firm, and project sponsor
manages the contractor under USTDA funding
6.Project milestones trigger USTDA payment to U.S. firm
7.Report provided to project sponsor

16. USTDA Contact Information
Website: www.ustda.gov
Ryan Blumenow
Telephone +27 (11) 290-3071
Email: rblumenow@ustda.gov