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For general information: OPIC InfoLine: 202-336-8799 For information via the Internet: http://www.opic.gov

Expanding Eco-Tourism

in Thailand

Pacific Subsea Saipan will develop an

underwater submarine reef exploration

tourism project located on the island town

of Phuket in Thailand with a loan from

OPIC. The project will involve the operation of the 48-seat state of the art submarine that will tour underwater reef sites

and other attractions.

The OPIC loan will provide working

capital as well as funds to construct the

necessary docking and related facilities. 

The project is notable in that it is the

first such tourism operation in Southeast

Asia and it will help support Phuket's

tourist industry, currently a primary engine

of economic growth for the country.

Pacific Subsea Saipan also intends to

duplicate its successful program of taking

local school children on submarine rides to

educate them about marine life, and to help

inspire an appreciation for both the ocean

itself and for environmental awareness.

The project is expected to create 44

permanent local jobs for Thai nationals by

the fifth year of operations. The U.S.

sponsor, Pacific Subsea Saipan, Inc., a

small business, has operated an identical

business in Saipan for over ten years.

Tapping Solar Power in

Sri Lanka

The Solar Electric Light Company

(SELCO) of California, will be able to

expand their operations because of an

OPIC loan of

$100,000. SELCO,

will on-lend the

funds to it’s subsidiary in Sri

Lanka. The subsidiary will use

those proceeds to

guarantee local

bank loans for financing sales of

SELCO’s solar home systems to Sri

Lankans, through a local nonprofit microfinancing institution. SELCO’s solar systems, which sell for between $450 and

$650, convert sunlight directly into electricity through roof- or pole-mounted

solar photovoltaic modules, which charge

deepcycle batteries with DC current. The

modules can produce power for up to 25

years, and are guaranteed by SELCO for a

minimum of ten years.

SELCO provides after-sales maintenance through its local network of sales

and service centers. SELCO is currently

installing more than 200 solar home systems per month in rural areas of Sri

Lanka, thus providing a reliable source of

electricity for homes not located on the

country’s main power grids, which serve

only 50 percent of the population. The Sri

Lankan government has declared a need

to develop power production between

1999 and 2009; current reliance on hydroelectric sources for 70 percent of production puts the country at risk for shortfalls

during periods of drought. Bringing 

Potable Water to

Communities 

Following on last year’s groundbreaking

project in Kenya, OPIC recently gave a

direct loan of $100,000 to Living

WaterInternational (LWI), a U.S. nonprofit corporation, for the development of

water wells in Ghana. The funds will be

used to purchase a new drilling machine

and air compressor, and other necessary

equipment and

materials to complete the planned

wells. The funds

from this investment will enable

LWI to significantly increase its production capacity.

According to LWI, childhood illnesses

caused by waterborne diseases have been

reduced from 95 percent to less than 5

percent in communities where pure drinking water has been provided.

OPIC and the Environment

May 2003

OPIC has a long-standing commitment to the environment and has been a leader among bilateral financial

institutions in working with investors and environmental groups to develop effective environmental policies

and procedures. All prospective OPIC projects receive a thorough environmental assessment.

OPIC Projects

Office of External Affairs

1100 New York Avenue, NW

Washington, DC 20527

202-336-8400

www.opic.gov

OVERSEAS PRIVATE INVESTMENT CORPORATION
All wells will be tested for contamination before commencing water supplies

in order to protect public health. Water

boards comprised of local citizens are

established at each well site. These water

boards are encouraged to sell the water

for a penny a bucket to finance the maintenance and to give the communities a

sense of well ownership. Additionally,

local citizens are trained to drill and

maintain the wells, pumps and storage

tanks, keeping them free from contamination. emerging market countries. The

$186.7 million combined) Global

Environment.

Expanding Access to

Safe Drinking Water

Faro de Agua, a company comprised of a

U.S. small business and a Mexican family-owned company, will double its water

purification facilities in an earthquake

ravaged area of Mexico, with a $1.5 million loan from OPIC.

The company will expand its curbside water purification and distribution

sites called faros from 28 to 59 in the

state of Colima. Colima was the epicenter

of a January 21 earthquake that killed

more than two dozen people. 

The faros are lighthouse-shaped automated kiosks from which pedestrians

draw water in one- or five-gallon quantities, at a fraction of the cost -- tow and

five pesos, respectively--of Faro de

Agua's competitors. Water distributed

from the faros is subjected to a multistage, reverse-osmosis purification and an

ultra-violet light sterilization process that

produces purified water.

Providing Housing while

Helping the Environment

The most ambitious project in the housing

sector undertaken by OPIC in 2002 was a

$15 million loan guaranty to the Soros

Economic Development Fund that will

enable South Africa's National Urban

Reconstruction and Housing Agency to

finance the construction of 90,000 homes

and associated infrastructure for lowincome families in South Africa.

These homes will provide shelter and

sanitation for up to half a million people.

Many of these people are now housed in

informal, unregulated settlements often

located on marginal land impacting heavily on sensitive ecosystems.

All of these homes will meet provincial and national housing standards, which

require environmental studies in order to

establish the sustainability of the project.

Other requirements mandate that the

developer obtain certification from the 

municipality that water and sanitation can

be provided by the local authority.

OPIC Funds Invest in the

Environment

The direct equity investments of OPICsupported funds complement OPIC's

insurance and project finance activities.

By supplementing the capital of funds

which are privately financed and managed

by experienced private investment professionals, OPIC can help profit-oriented

enterprises in the emerging markets

access risk capital, management guidance,

and financial expertise.

OPIC supports three funds that provide investments in environment-oriented

sectors: The $237.75 million Agua

International Partners Fund invests in

operating and special purpose companies

involved in the treatment, bulk supply and

distribution of water in emerging market

countries.

The $186.7 million (combined)

Global Environment Emerging Markets

Fund I & II are fully invested in environment-oriented sectors relating to the

developing, financing, operating or supplying of infrastructure relating to clean

energy and water.

OPIC is a U.S. government agency that helps U.S. businesses invest

overseas, fosters economic development in new and emerging markets, complements the private sector in managing risks associated with

foreign direct investment, and supports U.S. foreign policy.

Because OPIC charges market-based fees for its products, it operates on a self-sustaining basis at no net cost to taxpayers. Since 1971, OPIC has supported nearly

$145 billion worth of investments that will generate $65 billion in U.S. exports and

create more than 254,000 American jobs.

For general information, contact OPIC’s InfoLine at (202) 336-8799. For information

and to subscribe to the OPIC News via the Internet please go to http//www.opic.gov.