20 December 2022: Gridworks, the UK government-backed investor in Africa’s electricity networks, has today announced it will invest up to US$50 million in Virunga Power.

Virunga Power develops, invests and operates hydro-backed distributed renewable power generation projects and grid distribution networks that bring reliable and sustainable electricity to rural communities and businesses in East and Southern Africa. Gridworks was established, and is wholly owned, by British International Investment, the UK’s development finance institution. Gridworks’ focus is to create development impact by connecting Africa’s people and businesses to reliable, affordable, clean power.

Gridworks’ investment will fund new projects across the continent, including in Burundi, Malawi, Zambia and Kenya. It will also support the substantial growth of the Zengamina hydro-backed rural utility in northern Zambia (pictured above), resulting in increased generation capacity and the addition of thousands of new connections.

Virunga Power works with local developers and rural communities to drive sustainable economic growth and electrification for those not effectively served by national utilities. The company uses run-of-river hydropower technology and focuses on projects of up to 20 MW as well as associated transmission and distribution networks to provide affordable access to energy in rural areas, and to reinforce national grid stability.

Rural electrification is a key part of Gridworks’ mandate and an area that is gaining greater attention from governments, funders, and policy makers as the push to achieve connection targets under the UN’s Sustainable Development Goals intensifies. According to the World Bank, Zambia, Malawi and, in particular, Burundi have some of the world’s lowest rural electrification rates (15%, 6% and 2%, respectively).

The impact of this investment will be measured in a number of ways, including new GW hours generated, new connections made, and CO2 emissions avoided.

Virunga Power works with its newly connected communities to generate new income by using electricity to stimulate industrial and commercial activity. The company works with local financing and community development partners to help foster ecosystems that can drive productive uses of energy at the household, village, and industrial levels. For example, this includes helping customers buy machinery that can improve farming yields and boost income.

Virunga Power’s current institutional backers include EDFI ElectriFI, the EU-funded Electrification Financing Initiative, and the Camco-managed Renewable Energy Performance Platform (REPP,) who are leading investors in early-stage energy access and renewable energy companies in Africa. Together they provided Virunga Power with critical growth capital during its ‘Series A’ investment round which closed in 2019.

Welcoming the announcement, Gridworks’ CEO, Simon Hodson, said: “I’m delighted to announce our investment in Virunga Power. Access to reliable, clean, affordable energy is a catalyst to a better life, but this is currently out of reach for people in the rural areas that Virunga Power wants to serve. We’re committed to making Virunga Power our platform to build hydro-powered rural utilities in at least four countries in Southern and Eastern Africa. Our capital will help them to close the energy access gap and unlock opportunities for people across the region.”

Brian Kelly, CEO of Virunga Power, said: “We’re thrilled to be able to announce this transformational investment from Gridworks. An investment of this magnitude validates the approach we take to bringing clean and affordable power at scale to rural areas. Our pipeline and portfolio of utility projects continues to grow, and we will use the capital and expertise from Gridworks to expand electricity access and drive economic and industrial growth in communities across the region.”

Jean-Denis Collin, ElectriFI Manager at EDFI Management Company, said: “Over the past four years, EDFI ElectriFI, sponsored by the European Union, together with Power Africa, and the governments of Sweden and Italy, were instrumental in validating the model and further secure a pipeline of run-of-the-river hydro projects in East Africa. Gridworks’ investment is timely and catalytic; it brings additional expertise and capital to further convert the pipeline and build a strong hydro-powered rural utility platform in Southern and Eastern Africa. Congratulations to all involved.”

Ben Hugues, REPP Lead at Camco, said: “As an early-stage investor, we have long since seen the enormous potential of Virunga Power in delivering transformative impact to communities across the region. Our confidence in and support for the company has enabled it to grow to the point where it has been able to secure this pivotal investment from Gridworks, which will help the company deliver on its exciting expansion plans.”

21 December 2022: Sustainable energy developer Safi Power has completed a 400kWp rooftop solar PV installation at the Coastal Bottlers plant in Mombasa, helping the soft drinks bottler to transition one of its PET production lines to a cleaner and more affordable source of energy.

The project, funded by Spark Energy Services (Spark), is expected to generate c.600MWh of renewable energy a year, leading to more than 8,000 tonnes of avoided greenhouse gas emissions over the project’s lifetime and a like-for-like reduction in the company’s power costs of over 25%. The installation is the second of three phases of the project, with the first phase – commissioned in August 2020 – seeing the transition of Coastal Bottlers’ administrative block and wastewater treatment plant to solar power, enabling the company to avoid 6,720 tons of CO2 emissions.

In the latest phase, Coastal Bottlers, which has been operating in Kenya for the last 60 years, employed Nairobi-based Safi Power to identify and implement an on-site power generation solution at its premises near Mombasa to reduce carbon emissions and streamline operating costs.

The project was made possible courtesy of a financing agreement between Safi Power and Spark, an energy finance platform designed by climate and impact fund manager, Camco, to support energy efficiency and captive solar projects in Sub-Saharan Africa’s commercial and industrial (C&I) sector.

Through the agreement, Spark provides development partners such as Safi Power with 100% upfront financing for the installation of on-site renewable energy and energy efficiency equipment for C&I businesses. In doing so, the platform’s innovative business model supports the C&I sector as an engine for economic growth by enabling access to clean, reliable and affordable energy solutions for businesses that are both replicable and scalable, while also increasing the provision of high-skilled jobs in the region.

The Coastal Bottlers project is Spark’s largest funded installation to date, bringing the aggregate installed capacity of Spark-funded projects to 550kWp, in addition to the provision of multiple energy efficiency installations.

Camco’s Adam Fitzwilliam, who heads up Spark, said: “We are thrilled to work again with Safi Power on financing their sustainable energy pipeline. Supporting businesses such as Coastal Bottlers on their path to net zero is exactly why we initially established Spark, and we look forward to continued dialogue with Coastal Bottlers to help them become a regional leader in sustainability by further reducing their energy consumption and costs.”

Earlier this year, Safi Power completed a 90kWp solar rooftop installation with Spark funding at a paper manufacturing plant in Jula’s industrial area, near Nairobi.

David Kinyua, co-founder of Safi Power, said: ‘It’s been a rewarding relationship working with Camco’s Spark team, as off-balance sheet funding has been a challenge through the traditional commercial lending approach. Camco also brings international experience, especially on ESG reporting, which has helped Safi Power ensure its execution complies with best practice.”

Seth Adu-Baah, CEO of Coastal Bottlers, said: “This is a significant milestone for us as Coastal bottlers as we continue to drive and embrace innovation in every part of our business to reduce our carbon footprint.

“This second phase of the project, commissioned in October 2022, now adds our PET line, delivering even more combined impact. Transitioning a whole production line to solar energy brings us closer to achieving our ambitious goals to contribute solutions to climate change. We remain committed to doing business the right way to create a more sustainable and better-shared future in people’s lives, our communities and the planet.”

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About Spark Energy Services: Spark finances energy efficiency and captive solar projects in Sub-Saharan Africa’s commercial and industrial (C&I) sector, building a diversified and well-structured portfolio of clean energy projects across Africa with a strong ESG profile. The company was designed by Camco and is managed by the company from its offices in Accra, Johannesburg and Nairobi. For more information, visit: https://www.camco.fm/spark.

About Camco: Camco is a specialist climate and impact fund manager, leading the transition in emerging markets. We offer clean, secure investments, pairing the conscience of a development bank with the agility of a private company. Camco is an Accredited Entity of the Green Climate Fund and is authorised and regulated by the UK Financial Conduct Authority. The company has offices in Accra, Auckland, Helsinki, Johannesburg, London, Nairobi, Singapore, Sydney, and Toronto. For more information, visit: https://camco.fm.

About Safi Power: Safi Power is a Kenyan-owned regional alternative energy solutions developer. Headquartered in Nairobi, Safi Power has been creating customized solar and other renewable energy and energy efficiency solutions for East Africa’s commercial and industrial sector for four years, with a team that has a background of over 10 years in the renewable energy space. The company offers its clients a full suite of energy management services, from site feasibility, power consumption profiling and business case financial modelling, to fully financed project design, EPC, and ongoing operation and monitoring.

About Coastal Bottlers: Coastal Bottlers is one of Coca-Cola’s oldest bottlers in Kenya having started operation in 1962 as a small company in Mombasa Old town that delivered beverages to the colonial community on the coast of Kenya.

The plant runs several lines, including a returnable glass bottling line of 40,000 bottles/hour capacity, a canning line which is the only line in East and Central Africa with a capacity of 30,000 cans/hour and a PET (plastic bottles) line of 26,000 bottles/hour capacity.

The plant is ISO-certified and GMP (Good Manufacturing Practices)-certified. Due to its quality score being 100%, the company won Gold Award from Coca-Cola.

5 January 2023: Husk Power Systems has secured funding from Germany’s development finance institution DEG to build 8 new community solar microgrids in Nigeria, and to support expansion of the company’s India operations.

DEG allocated the funds from its Up-Scaling Program, which is co-financed by the Federal Ministry for Economic Cooperation and Development. The 5-year loan in the amount of US $749,000 follows Husk successfully closing debt totalling US $10.3 million from EDFI-ElectriFI and IREDA in 2022 to build over 200 microgrids in India. The DEG financing is the first debt raised by Husk for its business in Nigeria, where the company currently has 12 operational microgrids, and a target of building 500 by 2026.

The 8 microgrids in Nigeria will connect more than 500 residential and commercial customers, reduce the number of diesel generators in use by 400, while creating about 40 new direct local jobs.

Referring to the financing, Petra Kotte, Head of Banking and German Business Division, DEG, said: “Husk is exactly the type of company we’re looking for at the Up-Scaling Program, which supports innovative greentech business models in emerging markets that demonstrate high development impact and a significant reduction of carbon emissions.”

“Access to affordable debt is critical to scaling solar microgrids in Nigeria, home to 90 million people living without access to electricity,” said ManojSinha,Co-FounderandCEO, Husk. “This financing provides Husk with a solid foundation for unlocking additional debt, including local currency debt, this year and beyond.”

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About About Husk Power Systems: Founded in 2008, Husk Power Systems is the leading net-zero energy services company in rural Asia and Africa, and operator of the largest fleet of community solar microgrids. Its smart and sustainable solutions accelerate access to clean, modern and affordable electricity and catalyze socio-economic development. Husk’s focus on the customer meets the growing aspirations of businesses and households, while its grid-integratable solution supports national electrification plans. For more information, visit: huskpowersystems.com.

About DEG: For more than 60 years, DEG has been financing and advising private enterprises operating in developing and emerging-market countries. With a portfolio of around EUR €9.2 billion we’re one of the world’s largest private-sector development financiers. As an impact and climate investor we accompany companies that are addressing transformation and aiming to seize their opportunities. Our customers not only receive financing and advisory solutions tailored to their needs: they can build on our market knowledge, our impact and climate expertise and our international network. In this way, we contribute together to creating more skilled jobs and local income and to improving value creation on the ground in line with the SDGs. For more information, visit: deginvest.de.

• WeLight Madagascar’s access to energy initiative will receive €19 million in financing from the EIB, Triodos Investment Management and EDFI ElectriFI — the EU-funded Electrification Financing Initiative;
• The financing will be used to build and develop small solar mini-grids in over 120 villages in rural Madagascar, expanding WeLight’s coverage from eight regions to 17;
• The project aims to serve around 250 000 people, providing more than 45 000 households and businesses with first-time access to clean, affordable and productive energy and light.

17 January 2023: Today the European Investment Bank (EIB), Triodos Investment Management and EDFI ElectriFI announced their new collective investment of €19 million to support WeLight Madagascar’s €28 million project in Madagascar. The investment will enable WeLight to build and develop solar mini-grids to supply electricity to over 120 villages in Madagascar which currently have no access to the electricity grid.

WeLight existing shareholders AXIAN Group, a Pan-African group specialising in real estate, telecoms, financial services, energy and innovation; Sagemcom, a French industrial group and world leader in high added-value communicating terminals and solutions; and Norfund, the Norwegian investment fund for developing countries, cumulatively bring the remaining €9 million in the form of shareholder loans.

The new mini-grids will provide residents in off-grid rural villages access to clean and affordable energy. Alongside homes and businesses, the project will benefit schools, health centres and public spaces, strengthening the local economy and improving health, security and education.

Made up of a solar power plant and energy storage system, a distribution line and a meter for each customer, a mini-grid can supply electricity 24 hours a day, seven days a week. The 120 additional villages cover 17 regions and were selected thanks to outstanding work with Madagascar’s Ministry of Energy and the Agency for the Development of Rural Electrification (ADER).

At present around a quarter of the population in Madagascar has access to electricity. Off-grid solar technology has proven to be a fast and effective solution to accelerate economic growth and sustainable development in regions where connection to the grid is still challenging.

Romain de Villeneuve, Chief Executive Officer of WeLight Madagascar, said, “This new project will significantly improve rural electrification in Madagascar. It will also positively impact hundreds of thousands of people, greatly enhancing living standards, the local economy and people’s well-being. WeLight has already deployed its solutions in more than 40 rural communities. The EIB, ElectriFI and Triodos, all of them financial experts in this industry for Africa, are now partnering with us to cover 120 additional villages. This is an encouraging vote of confidence in the relevance of WeLight solutions to answer the vital electrification needs of deprived communities.”

Thanks to the support of these partners and with AXIAN Group, Sagemcom and Norfund as its shareholders, and through the operational excellence developed to serve customers, WeLight will pursue its growth in Madagascar and in other countries in Sub-Saharan Africa where such types of needs are still not answered.

EIB Vice-President Ambroise Fayolle remarked, “This project continues the EIB’s longstanding backing of off-grid solar energy in rural Africa, following successful projects in Benin, Chad, the Comoro Islands, Mozambique and Uganda. I am very happy that we can now implement such a project in Madagascar. Through these projects, the EIB aims to promote the scaling-up of the off-grid solar power Public model as part of its commitment to fighting climate change while fostering economic development and real improvements to people’s daily lives.”

ElectriFI Senior Investment Officer at EDFI Management Company Maud Watelet added: “This financing represents an important milestone for WeLight, as it will unlock the company’s potential to deploy more than a hundred mini-grids in Madagascar, a market with a significantly low electrification rate and challenging logistic conditions. EDFI ElectriFI’s first-mover role as a potential lender to WeLight has been pivotal to enable the company to attract co-investors in the current round. EDFI ElectriFI is particularly proud of the fruitful collaboration with the EIB and Triodos as co-investors in the project, and with Norfund, AXIAN Group and Sagemcom as sponsors of the company. Together, we share the commitment to bringing off-grid electricity to underserved communities and contributing to socioeconomic growth in Sub-Saharan Africa.”

Fadoua Boudiba, Regional Manager Africa and Middle East at Triodos Investment Management, explained, “The impact of mini-grid solutions is multifaceted. They are crucial in providing low-income households access to clean, affordable and reliable electricity, and they boost socioeconomic development for rural communities. The close collaboration between WeLight, committed shareholders and like-minded impact investors is an essential ingredient to enhance access to energy in rural communities. As such, we are extremely pleased to participate in this impactful initiative from WeLight Madagascar through our investment funds, Triodos Groenfonds, Hivos-Triodos Fund and Triodos Emerging Markets Renewables Energy Fund.”

Isabelle Delattre Burger, Ambassador of the European Union (EU) to Madagascar, commented, “This project is a great example of the positive impact of Team Europe to improve daily life for people in Madagascar. Access to affordable and clean energy for all is an important Sustainable Development Goal and contributes to the green and just transition supported by the EU’s Global Gateway strategy.”

24 January 2023: Today, Husk Power Systems, which pioneered the first renewable energy minigrid in 2008 and now operates the largest fleet of community minigrids across Africa and Asia, announced that it has achieved profitability on both continents. Husk is the world’s first minigrid company to achieve this major industry milestone.

The company became EBITDA positive in Q4 2022 in its two primary markets, Nigeria and India. EBITDA (earnings before interest, taxes, depreciation, and amortization) is a widely used measure of corporate profitability.

By achieving profitability, Husk has sent a clear signal to the market that rural minigrids are a fully bankable asset class, as well as an important contributor to net-zero growth for the more than 3 billion people – and countless small businesses and farmers – that are still without access to reliable electricity in rural Sub-Saharan Africa and Asia.

“When I took over the reins of Husk in 2014, we underestimated the amount of time and effort it would take to discover the right business model, right team and right technology platform to build a commercially viable minigrid company on two continents,” said Manoj Sinha, Co-Founder and CEO. “It took grit and innovation to arrive here – at a profitable and scalable minigrid company.”

In 2022, Husk launched its Nigeria Sunshot Initiative, with a target of building 500 minigrids by 2026 that benefit more than 2 million people, while also displacing 25,000 diesel and gasoline generators used by rural businesses and farmers. The company currently operates 12 off-grid minigrids in Nigeria, benefiting 50,000 people, and expects to expand 5X nationally by the end of 2023.

An active participant in the Nigeria Electrification Project (NEP), Husk is making a significant contribution to Nigeria’s energy transition goals and to reducing carbon emissions. The minigrids also power schools and health clinics, contributing to the broader Sustainable Development Goal (SDG) agenda.

The profitability milestone was achieved because of two factors: 1) Husk’s unique platform approach, which addresses the entire rural energy ecosystem (besides electricity and appliance sales, it also installs rooftop solar for businesses, and offers energy-as-a-service for drinking water, agro-processing, etc.); and 2) its relentless focus on technology and business innovation, which has allowed Husk to boast the lowest cost of delivered energy and highest average revenue per user in the industry.

Husk pioneered the rural minigrid 15 years ago using waste biomass gasification, and in 2017 followed up with the industry’s first solar hybrid minigrid. Since then, the World Bank and International Energy Agency have both recognized the central role of solar minigrids in ending energy poverty by 2030. It is estimated that between 100,000 and 200,000 minigrids need to be built before the end of the decade.

“Husk has proven that the rural minigrid business model works, in Asia and in Africa, and in off-grid, under-the-grid, and grid-interconnected communities. It works and it is robust,” said Board Chairman, Brad Mattson. “We have already scaled 10X, and are poised to scale another 10X. We urge the industry to embrace the roadmap Husk followed. If funders and governments embrace the minigrid sector and this roadmap for success, together we can not only end energy poverty, but also lay the foundation for a rural industrial revolution.”

In 2022, Husk signaled its ambitions to do its part in fueling that revolution by signing a UN Energy Compact. It committed to build at least 5,000 minigrids by 2030 that would impact more than 10 million people and avoid 7 megatons of carbon emissions from diesel generators.

Corporate profitability in India and Nigeria was achieved against a backdrop of severe market disruption caused by Covid-19, global inflation and rising costs of capital, demonstrating the resilience of Husk’s business model.

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About About Husk Power Systems: Founded in 2008, Husk Power Systems is the leading net-zero energy services company in rural Asia and Africa, and operator of the largest fleet of community solar microgrids. Its smart and sustainable solutions accelerate access to clean, modern and affordable electricity and catalyze socio-economic development. Husk’s focus on the customer meets the growing aspirations of businesses and households, while its grid-integratable solution supports national electrification plans. For more information, visit: huskpowersystems.com.

1 February 2023: Renewvia, a leading global solar energy microgrid developer, has partnered with Okapi Green Energy (Okapi) Ltd to launch a Joint Venture, OkRene Energy, to deliver clean and affordable electricity through a financially sustainable model to the community residing within the Kakuma Refugee Camp, Kenya’s second-largest refugee camp.

Together, Renewvia and Okapi will design, finance, instal and operate a scalable, innovative solar minigrid system, expanding access to power from 200 people to up to 15,000 living within the Kakuma III section of the refugee camp. OkRene Energy will exclusively provide power to Kakuma III through a 20-year license.

Renewvia will bring to the joint venture the funding, experience and expertise that will ensure the successful delivery of service. Okapi will take responsibility for the operation and maintenance of the solar minigrid system as well as the training and skills development of local workers to support the grid and power generation.

The project is expected to take one year to complete. The initial phase will be to build the infrastructure and expand the grid that will serve 15,000 customers; the installed capacity will increase over time as demand grows.

The Kakuma Refugee Camp, established in 1992, is located in the north-western territory of Turkana County and is divided into four parts (Kakuma I-IV). The Kenyan Department of Refugee Services (DRS) manages the camp in conjunction with the UNHCR, the UN Refugee Agency. There are over 19 nationalities living in the Kakuma refugee camp, with over 54% of the population originating from South Sudan. Households, micro and small businesses, schools and social institutions will benefit from the OkRene Energy minigrid development.

Okapi Green Energy Ltd was established in 2018 to help bring electrification to the refugee camp by resident Vasco Hamisi, a Congolese refugee who arrived in Kakuma in 2010. The company obtained the license to operate in the camp in 2021. The United States African Development Foundation, an independent United States government agency, partially funded the first phase connection of 200 clients, commissioned with Renewvia in late 2022.

Vasco Hamisi, Chief Executive, Okapi Green Ltd said, “The majority of our community, to date, has had to rely on expensive, unstable and unreliable sources of power. Our first phase saw us initiate the first step towards change, by connecting 1% of the 200,000 residents. Energy is one of the key engines for the economic growth of any society as it forms the basic blocks on which socio-economic development can be established. Providing access to energy for refugees is a critical enabler for basic and essential services. This next phase will be transformational”.

Commenting on the alliance, Trey Jarrard, CEO of Renewvia, said, “Working with a skilled and capable local partner in displaced communities exponentially increases chances of success for scalable power projects. Okapi Energy brings an ability to efficiently develop and operate a minigrid system, reliably connecting the community and supporting the economic needs of those living in displaced settings. Renewvia is enthusiastic about expanding the relationship with Okapi Energy and replicating the structure in other displaced settlements and camps”.

1 February 2023: With support from the IKEA Foundation, CLASP is collaborating with Charm Impact to pilot a new financing facility for early-stage, locally owned, renewable energy companies on the African continent. The Supporting Early-Stage Local Entrepreneurs (SESLE) Program promotes inclusive finance by investing in local companies, which are often challenged to access the capital they need to grow their renewable energy businesses. SESLE de-risks loans for investors and helps borrowers hedge against volatile currency fluctuations.

Locally-owned companies are key drivers of the renewable energy transition. Despite their potential, financing to help them expand operations and reach more customers is critically insufficient, with investors often perceiving them as too risky. Funding overwhelmingly goes to foreign-owned companies. Often, the ticket size of available micro-financing is too small to be useful for entrepreneurs. At the same time, local commercial banks are unwilling to lend to startups or carry prohibitive collateral requirements and charge exceptionally high annual interest rates.

Charm Impact has developed a unique approach to tackling the financial exclusion of local entrepreneurs. Using its credit risk and impact assessment tool, Charm supports companies in establishing a commercial credit history. This enables entrepreneurs to scale their operations, prove their creditworthiness and access capital from later-stage investors. Adding to this effort, SESLE’s blended finance approach offers a pathway for increasing financial flows to these local companies.

“Blended finance is typically only looked at through the lens of supporting investors,” says Gavriel Landau, CEO and Founder of Charm Impact. “With SESLE, we have flipped this paradigm on its head and created an innovative instrument that caters to investors and entrepreneurs. One component of SESLE de-risks loans for investors by guaranteeing a portion of their investments. While the other supports entrepreneurs by absorbing some of their potential losses in the event of currency depreciation.”

Locally-owned energy access companies are desperately needed to create competition in the marketplace, reach underserved geographies and cater to last-mile customers to boost progress towards United Nations Sustainable Development Goal 7. Without the commercial funding to enable these companies to grow, it will be impossible to achieve the SDG7 targets.

“Energy access for all is possible. SESLE can help accomplish this by offering an innovative new funding facility that creates an equitable investment ecosystem and supports locally owned companies that are fundamentally being left behind”, says Siena Hacker, a Senior Program Associate at CLASP.

SESLE has demonstrated early traction by already incentivizing investment in three locally owned companies across Rwanda, Nigeria and Kenya. After demonstrating the pilot’s success, SESLE will aim to expand its reach and ensure that local entrepreneurs across Africa can climb the credit ladder, illustrate the success of their customer-centric businesses and enhance the growth of the energy access industry.

Jeffrey Prins, Head of Portfolio, Renewable Energy at IKEA Foundation, says, “We have partnered with CLASP and Charm Impact to give locally owned, renewable energy companies on the African continent the means to scale their high-impact businesses. This will help boost the local renewable energy markets, reduce greenhouse gas emissions and enable many families on the continent to access renewable energy products that would otherwise be unattainable.”

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About the IKEA Foundation: The IKEA Foundation is a strategic philanthropy that focuses its grant-making efforts on tackling the two biggest threats to children’s futures: poverty and climate change. It currently grants more than €200 million per year to help improve family incomes and quality of life while protecting the planet from climate change. Since 2009, the IKEA Foundation has granted more than €1.5 billion to create a better future for children and their families. In 2021 the Board of the IKEA Foundation decided to make an additional €1 billion available over the next five years to accelerate the reduction of Greenhouse Gas emissions. For more information, visit: www.ikeafoundation.org.

About CLASP: CLASP serves at the epicenter of collaborative, ambitious efforts to mitigate climate change and expand access to clean energy through appliance energy performance and quality.

About Charm Impact: Charm Impact’s mission is to combat the financial exclusion of clean energy entrepreneurs across Sub-Saharan Africa. Charm has provided 27 loans across Nigeria, Kenya, Malawi, Rwanda, Zimbabwe, Tanzania and India with a combined value of £2m, improving energy for more than 350,000 people. To date, Charm maintains no defaults across its portfolio and has had 11 loans fully repaid.

2 February 2023: Today, RMI, founded as Rocky Mountain Institute, collaborated with Nigerian-based private minigrid developers Nayo Tropical Technology Ltd. and Prado Power Ltd. to announce the rollout of the first cohort of Sharing the Power’s community-centric minigrid projects. The objective is to prove that community-centered interventions in minigrid development can improve system performance while increasing socioeconomic development and empowering minigrid communities.

The proposed projects will achieve this win-win scenario by developing and implementing measures that will increase the community’s ownership and develop inclusive governance allowing for the equitable distribution of benefits among community members. In addition, RMI will integrate these projects into Nigeria’s existing minigrid programs to support ongoing national electrification efforts.

“Nayo Tropical Technologies believes Sharing the Power community-centric minigrids project collaboration with RMI will open an innovative and scalable ownership model, capable of catalyzing minigrid deployment across Africa,” said Okenwa Anayo Nas, CEO, Nayo Tropical Technology.

In Nigeria, minigrids have emerged as a cost-effective option for reliable electricity, creating exciting opportunities to increase the pace of electricity access. However, estimates from the Nigerian Rural Electrification Agency (REA) show almost 90 million people in Nigeria do not have access to grid electricity. Consequently, the country’s Energy Transition Plan is poised to advance the energy access agenda and seeks to add 30,000 MW of newly installed capacity by 2030, from at least 30% of renewable energy. This includes minigrids — self-contained energy generation and distribution systems — which usually operate at the community scale.

“We are pleased and excited about these minigrids projects in Nigeria. Having communities drive these efforts — providing examples for other communities — is exactly the model that we envisioned when we partnered with RMI to help fund this work,” said Marieke Rodenhuis, Deputy Head of the Charity Department, Dutch Postcode Lottery. “We are very happy to be able to support this effort thanks to our lottery players.”

Through its community-centric approach, Sharing the Power is well-positioned to leverage the momentum of the national plan to drive innovation and change. Community participation during minigrid design and implementation as well as inclusion of community-perceived opportunities for economic growth and increased productivity are critical to improving system impact.

“We see the community-centric minigrid model as a decisive step toward empowering rural communities while ensuring that minigrids unlock long-term local economic development and resilience,” said Suleiman Babamanu, RMI Nigeria Program Director.

RMI has identified five key elements to guide the design of community-centric projects:

1. Community ownership and/or co-ownership
2. Governance structure
3. Sharing of benefits
4. Gender equity and social inclusion (GESI)
5. Structure to safeguard community investment

In addition, Africa’s inherent local leadership structures — including religious groups, local associations (e.g., agricultural), and cooperatives — can feed on the success of new projects or save stranded assets. These dynamics and underlying characteristics can ensure project success by generating community buy-in, thus increasing project sustainability.

“In the middle of all the activity across our operations — technical, administrative, commercial — we never lose sight of a core goal, which is to empower the communities we operate in, lift them out of poverty, engender a better quality of life,” said Washima Mede, CEO, Prado Power. “That is why we are excited to be part of RMI’s Sharing the Power initiative, where we strive to deploy an innovative approach that goes beyond mere energy access and provides additional benefits that can form the foundational blocks for sustainable communities (SDG11).”

Partnering communities of the first cohort include Mokoloki in Ogun State, Tungan Jika and Aninigi in Niger State, and Mbiabet Ikot Esieyere in Akwa Ibom State.

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About Nayo Tropical Technologies: Nayo Tropical Technology (NTT) has been at the forefront of renewable energy technology in Nigeria for the past two decades. NTT is a vertically integrated cleantech company with core activities in renewable energy, utilities, e-mobility, and renewable energy product development. With a portfolio of 10 operational minigrids providing energy to over 11,290 homes and businesses (about 55,000 people) across Nigeria, NTT has a robust pipeline of 23 new isolated, interconnected, and commercial and industrial solar projects planned for commissioning in 2023 to serve over 25,000 homes and businesses.

About The Dutch Postcode Lottery: The Dutch Postcode Lottery is a marketing-driven organization with a social purpose. Lottery players win prizes and support charities. Since 1989, more than €12 billion has been raised for charities and good causes, near and far, that help contribute to a fairer, greener, and healthier world. The Dutch Postcode Lottery is part of the Postcode Lottery Group, the third largest private charity donor in the world. For more information, visit: www.postcodelotterygroup.com.

About RMI: Founded as Rocky Mountain Institute, is an independent nonprofit founded in 1982 that transforms global energy systems through market-driven solutions to align with a 1.5°C future and secure a clean, prosperous, zero-carbon future for all. We work in the world’s most critical geographies and engage businesses, policymakers, communities, and NGOs to identify and scale energy system interventions that will cut greenhouse gas emissions at least 50 percent by 2030. RMI has staff in over 25 countries, including teams based in Abuja and Lagos, Nigeria, and offices in Beijing; Basalt and Boulder, Colorado; New York City; Oakland, California; and Washington, D.C. For more information, visit: www.rmi.org.

About Prado Power: Over the past six years, Prado Power has provided cutting-edge renewable energy solutions for commercial, industrial, residential customers across urban and rural areas in Nigeria. With over 2MW of solar PV deployments and a focus on the productive use of minigrids in rural communities in tandem with agriculture hubs, Prado Power has a vision to resolve the region’s energy deficit and significantly empower smallholders economically through agro/energy deployments in rural communities. In pursuit of this, Prado Power is in constant engagement with internal and external stakeholders, including regulatory agencies, fund managers, and technical partners to pull together resources to make this vision a visible reality.

16 February 2023: Merrin Investors is happy to announce the completion of an investment round led by the company to support Ignite Power‘s growth and expansion throughout Africa and provide millions with sustainable, advanced solutions to their everyday needs.

In addition to the investment, Seth Merrin will join Ignite Power’s board of directors alongside Peter Feinberg, former head of Oppenheimer’s Equity Trading. The addition of Merrin and Feinberg to the board will bring a wealth of expertise, strategic insight, and experience in driving impact and promoting sustainability to the company as it continues to grow and expand its impact throughout Africa.

“We are happy to expand our support in Ignite Power, as it continues to grow and make a difference in the world,” says Merrin. “Investing in Ignite means supporting a company that is not only revolutionizing the distributed infrastructure sector but also making a significant impact at scale. With its proven models of operations, Ignite is showing the world that it is possible to create positive change on a large scale while still being financially successful.”

Today, more than 700 million people are still living without access to electricity; According to a report from 2022 by the Global Off-Grid Lighting Association, Off-Grid Solar is estimated to be the most cost-effective, feasible solution to electrify more than half of the currently unconnected households. The sector is expected to set record-breaking investments in the coming years, as it recorded a 10% increase in sales in 2021, indicating a nascent recovery from the impacts of the COVID-19 pandemic.

Ignite Power is a pan-African provider of solar-based, distributed infra-tech solutions, such as solar home systems, solar pumps, clean cooking solutions, and more. To date, the company has already directly empowered 2 million people in 5 countries through clean home electricity, created 3,500 jobs, and saved more than 250,000 tonnes of GHG emissions.

“We are thrilled to welcome Seth and Peter to our board,” said Yariv Cohen, CEO of Ignite Power. “Their unique, strategic perspective and unparalleled experience will be invaluable as we work to bring our distributed infra-tech solutions to even more people and communities in need. Their passion for sustainability and commitment to creating a better world will be a driving force as we work to create impact at a different scale”.

With advanced, proven technologies and the most capital-efficient operational model in the sector, Ignite Power is expanding its footprint across the SSA region while growing its product offerings to create a positive impact at scale. The current investment round will support the company’s plans to empower 100 million people in the next few years through organic growth and strategic acquisitions.

“This investment round, especially in today’s market, strengthens our belief that Africa’s infrastructure sector presents the best opportunity for a successful capital investment and impact,” says Cohen. “Working to create impact at a pan-African scale requires the best people possible in every position, and we are honored to have such world-leading supporters on our side and to keep paving the way to a cleaner, more inclusive future.”

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About Ignite Power: Ignite Power connects last-mile, hardest-to-reach communities across Sub- Saharan Africa to clean, sustainable, and affordable solar solutions. The company’s mission is to alleviate extreme poverty in bottom-of-the-pyramid societies through solar power, technology, and inclusive financing schemes.

About Seth Merrin: A renowned entrepreneur, business leader, philanthropist, and author, Seth Merrin has spent his entire career reinventing how global financial markets work by implementing advanced technology solutions to drive efficiencies and eliminate barriers for investors. Seth was the Founder and Executive Chairman of Liquidnet, a global institutional trading and investing network connecting more than 1,000 of the world’s top asset management firms across 45 financial markets and six continents. Seth orchestrated Liquidnet’s expansion into AI-based investment decision support, focusing on delivering actionable market intelligence and insight to fund managers worldwide. In 2007, Seth and his late wife Anne Heyman founded the Agahozo-Shalom Youth Village (ASYV), a home, community, and high school for hundreds of orphans and vulnerable children in Rwanda.

About Merrin Investors: Merrin Investors LLC is a family investment office focused on investing in companies that disrupt industries with the use of technology. Managed by Seth Merrin, on behalf of his family, he strives to make a positive impact on the world through impact investing, strategic partnerships, and innovation.

22 February 2023: A presidential roundtable on the side-lines of the 36th Ordinary Session of the Assembly of the African Union has called for the acceleration of financing for energy access in Africa with clear targets and steps for ensuring the achievement of universal energy access by 2030.

The event which was organised by the African Union Commission (AUC) and the World Bank in collaboration with the Union of the Comoros was attended by the Presidents of Comoros and the Republic of Madagascar and ministers of the Republic of Namibia, the Republic of Congo, the Republic of Malawi, high-level representatives of the African Development Bank, the World Bank, international and regional institutions, and development partners. It took place on 18th February 2023.

In his keynote address, the President of the Union of the Comoros and the Chairperson of the African Union for 2023, H.E. Azali Assoumani shed light on the irony of energy poverty on a continent that is richly endowed with vast energy resources that remain untapped. President Assoumani also highlighted the energy situation in most African island nations and noted that continental approaches can complement national initiatives to boost energy access. Using the Geothermal Risk Mitigation Facility (GRMF) as an example, and Comoros as the beneficiary of a USD 9 million GRMF grant, H.E. Assoumani demonstrated how continental initiatives can augment Member States’ efforts. “Accelerating the implementation of Agenda 2063 flagship projects such as the Grand Inga Dam Hydro project, and the energy projects under the Programme for Infrastructure Development in Africa (PIDA) is critical in enhancing energy access, regional integration, fostering economic transformation, and climate resilience”, underscored the President.

The African Single Electricity Market (AfSEM) was noted to be a key strategic element of facilitating energy access and enhancing energy security in Africa and, therefore, the AU Member States, regional economic communities and their specialised institutions were urged to play their part in facilitating its operationalisation.

President of the Republic of Madagascar H.E. Andry Rajoelina, who also chaired the high-level panel discussion emphasised the need to invest in clean sources to fast-track universal energy access in Africa underlining that energy is every African leader’s priority. “Addressing Energy Access is not negotiable for any leader, and we need now to move from words to action,” said, President Rajoelina, adding that Madagascar aspires to achieve 100% energy access in the shortest possible time mainly by harnessing renewables.

On behalf of AUC Chairperson H.E. Moussa Faki Mahamat, H.E. Dr Monique Nsanzabaganwa, warmly welcomed and commended the presence of the dignitaries which, according to the Deputy Chairperson, is a clear demonstration of the importance they attach to energy access and security in Africa.

In her opening remarks H.E. Dr Amani Abou-Zeid, African Union Commissioner for Infrastructure and Energy accentuated that energy is a bedrock for the success of every development sector and thus increased effort is required in ensuring affordable and reliable access. Dr Amani stated that “Africa’s key priorities and initiatives including industrialisation, AfCFTA, agricultural development, food security, poverty alleviation, job creation and regional integration, as well as the achievement of the SDGs, are all dependent on modern and universal energy access and services.”

Africa needs 25 billion USD in investment annually to meet its energy targets. The deliberations in the high-level panel underscored the role of partnerships in the area of finance, knowledge and technology transfer to help speed up existing and new initiatives to overcome constraints that African countries face in their quest for energy development.

Speaking on behalf of the World Bank, Ms Victoria Kwakwa and Mr Ousmane Diagana, respective Vice-Presidents for Eastern and Southern Africa, and Western and Central Africa, emphasized the World Bank’s commitment to partnering on this agenda. “The World Bank remains committed to helping countries strengthen their institutional and regulatory frameworks and develop strong utilities – both of which are essential to a thriving power sector,” said Kwakwa and Diagana.

In her concluding remarks, Commissioner Abou-Zeid assured the gathering that the AUC remains committed and ready to implement the recommendations made during the deliberations. “The various programmes that the Commission is already coordinating will be accelerated and aligned with the priority of achieving universal energy access by 2030,” reiterated the Commissioner.

23 February 2023: The Universal Energy Facility (UEF) – a results-based financing facility managed by Sustainable Energy for All – has announced that it will provide grants to renewable energy companies who applied to have their projects financed as part of the facility’s Stand-alone Solar for Productive Use programme in Nigeria.

These companies will now begin construction on their proposed solar projects, all of which are designed to connect businesses and services to a clean, affordable and reliable electricity source.

These projects will span most states in Nigeria and be completed within the next 12 months. Together, they will connect approximately 3,500 businesses, markets, shopping malls, cold-storage facilities, clinics, schools, and other productive uses of energy, which are uses that support economic activity and community infrastructure.

As stand-alone solar energy projects, they will alleviate the need for businesses and services to rely on expensive, polluting fossil fuel generators as their source of power. The UEF estimates that approximately 5,400 tons of CO2 equivalent per year will be saved once all of the proposed projects are implemented.

“With this programme in Nigeria, the Universal Energy Facility will demonstrate the enabling power that sustainable energy can have on local economic development and climate action,” said Damilola Ogunbiyi, CEO and Special Representative of the UN Secretary-General for Sustainable Energy for All “Solar projects supported by the facility will give businesses clean and affordable electricity to help them scale up, create jobs, and replace polluting power sources.”

Last year, the Government of Nigeria launched its Energy Transition Plan showing how the country will achieve universal energy access by 2030 and net-zero emissions by mid-century, as well as the finance required to meet these goals. The UEF is contributing to the plan’s finance targets for the power sector by providing grants that companies can leverage to attract additional finance for clean energy.

“The Universal Energy Facility will provide grant payments to enable solar companies to expand their operations to small and medium-sized enterprises across Nigeria, while crowding-in additional private capital,” said Prof. Yemi Osinbajo SAN, Vice President of the Federal Republic of Nigeria. “Projects supported by the Universal Energy Facility will help grow businesses and create jobs, making them key contributors to our Energy Transition Plan.”

Hon. Goddy Jedy Agba, Minister of State for Power of the Federal Republic of Nigeria, said “This Universal Energy Facility programme is a practical demonstration of targeted investment in our power sector and in our overall objective to provide energy access to all of the Nigerian people.”

The Stand-alone Solar for Productive Use programme in Nigeria opened for applications in August 2022 and received expressions of interest from hundreds of energy developers.

“Within just a few months of opening this programme in Nigeria, we are now at the point where grantees have been selected and companies can start building transformative stand-alone solar projects,” said Anita Otubu, Senior Director, Universal Energy Facility. “The Universal Energy Facility is proving the effectiveness of results-based finance to catalyse energy development at speed and scale.”

Simon Harford, CEO, Global Energy Alliance for People and Planet, said, ““The global energy transition must power both people and planet, enabling economic opportunities and displacing carbon-intensive technologies. The Global Energy Alliance for People and Planet (GEAPP) is proud to support the Universal Energy Facility’s efforts to offer targeted, country-specific solutions in those communities most affected by energy poverty and climate change. The UEF has the potential to become a unifying force and the platform of choice for those interested in results-based financing.”

This is the first grant funding window under the Stand-alone Solar for Productive Use programme in Nigeria. The UEF has identified many additional viable projects for financing in future waves.

More information on the Stand-Alone Solar for Productive Use programme and the UEF are available here.

24 February 2023: Economies of scale and speed of deployment have been two major hurdles for the minigrid industry. Today, Husk Power announced new benchmarks that erased both barriers: it became the first company to own and operate more than 200 community solar minigrids in Asia and Africa. And it also averaged a rollout of 16 minigrids per month.

The two achievements follow closely on Husk’s announcement in January 2023 of being the first minigrid company to achieve corporate profitability.

Taken together, the trifecta of industry milestones – a profitable business model, a large portfolio of assets, and the ability to deploy minigrids in previously unseen numbers – are proof that the minigrid industry is scaling, with Husk Power, which pioneered the industry 15 years ago, showing the path forward.

Today, at an event in India’s Uttar Pradesh state attended by government leaders, business partners and Husk executives, 16 new minigrids – all of which were built within a one month period – were inaugurated, taking Husk’s portfolio over the 200 mark.

Husk expects to double again its portfolio to 400 minigrids by the end of 2023. At the same time, Husk’s excellence and know-how in project deployment is being transferred to its operations in Sub-Saharan Africa, including Nigeria, where the company already has 12 sites in operation, with plans for up to 100 by 2023 and 500 by 2026.

Referring to today’s announcement, Manoj Sinha, Husk’s Co-Founder and CEO, said: “These latest milestones confirm our confidence – for Husk and for the industry as a whole – in scaling community solar minigrids and making a major contribution to achieving universal electrification in Asia and Africa. It took Husk four years to grow 10X and reach 200 minigrids, and we are now able to double our portfolio to 400 in just one year and begin our next 10X journey.”

In 2022, Husk became the first and only minigrid company to sign a UN Energy Compact, which included a commitment to building 5,000 minigrids by 2030 and displacing 700 million gallons of fuel for diesel generators, which currently dominate economies in Asia and Africa.

According to a Minigrid Industry Roadmap released in 2022, rate of deployment “may be the most daunting challenge” for the industry, noting that 10 companies with 10 times the current maximum rate of deployment are needed to achieve Sustainable Development Goal 7 (SDG7) – access to modern, affordable, clean, reliable energy for all.

Husk’s speed of deployment is the result of achieving efficiencies across multiple aspects of its business: site scoring and selection, land leasing and permitting, supply chain management, logistics and warehousing, construction and digital automation.

Since 2019, Husk has raised $40 million ($25 million in equity and $15 million in low-cost, long-term debt) and grew 10X despite being hit by Covid and other global market disruptions, demonstrating efficient deployment of capital and business resiliency.

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About Husk Power Systems: Founded in 2008, Husk Power Systems is the leading net-zero energy services company in rural Asia and Africa, and operator of the largest fleet of community solar microgrids. Its smart and sustainable solutions accelerate access to clean, modern and affordable electricity and catalyze socio-economic development. Husk’s focus on the customer meets the growing aspirations of businesses and households, while its grid-integratable solution supports national electrification plans. For more information, visit: huskpowersystems.com.

27 February 2023: Solar mini grids can provide high-quality uninterrupted renewable electricity to underserved villages and communities across Sub-Saharan Africa and be the least-cost solution to close the energy access gap on the continent by 2030.

Climate action efforts can tap solar mini grids that offer a lower greenhouse gas emission alternative compared to diesel-fueled systems and kerosene-based appliances. The World Bank’s Mini Grids for Half a Billion People: Market Outlook and Handbook for Decision Makers notes that to realize the full potential of solar mini grids, governments and industry must work together to systematically identify mini grid opportunities, drive costs down, and overcome barriers to financing.

“Kenya has deployed mini grids to serve communities that are not connected to the main grid,” said Mr Davis Chirchir, Cabinet Secretary Ministry. “Currently we have about 62 mini grids that are fully operational and 28, which are under construction. We hope to deploy more mini grids to close the energy access gap and ensure universal access to electricity by 2030.”

In Sub-Saharan Africa, 568 million people still lack access to electricity. Globally, nearly 8 out of 10 people without electricity live in Africa. At the current rate of progress, 595 million Africans will remain unconnected in 2030.

“While Africa remains the least electrified continent, it also has the biggest potential for solar mini grid deployment,” said Gabriela Elizondo Azuela, Manager of the World Bank’s Energy Sector Management Assistance Program (ESMAP). “Solar mini grids can reach populations today that would otherwise wait years to be reached by the grid. They have the potential to transform the power sector in Sub-Saharan Africa. Through World Bank operations and advice to governments, ESMAP is helping take mini grids from a niche to a mainstream solution.”

The deployment of solar mini grids has markedly accelerated in Sub-Saharan Africa, from around 500 installed in 2010 to more than 3,000 installed today, and a further 9,000 planned for development over the next few years. This is the result of falling costs of key components, the introduction of new digital solutions, a large and expanding cohort of highly capable mini grid developers and growing economies of scale. In Africa, mini grids are on track to provide power at lower cost than many utilities. The cost of electricity produced by mini grids could be as low as $0.20/kWh by 2030, making it the least-cost solution for more than 60 percent of the population.

Important progress has been made in several African countries to accelerate the deployment of mini grids. In Nigeria, for example, a market-driven approach to mini grid development under the World Bank-supported National Electrification Project has catalyzed the deployment of more than 100 new solar-powered mini grids. In several countries such as Ethiopia and Zambia, new regulations and policy directives are making mini grids more attractive for private sector investment. In Kenya, a combination of geospatial planning, favorable policies and regulations, and a robust business model based on public-private partnership is underpinning the World Bank-supported Kenya Off-Grid Solar Access Project, which is targeting almost 150 new mini grids in areas with low electricity access rates.

Further acceleration is needed, however, to meet Sustainable Development Goal 7 (SDG7). Powering 380 million people in Africa by 2030 will require the construction of more than 160,000 mini grids at a cumulative cost of $91 billion. At the current pace, only around 12,000 new mini grids serving 46 million people will be built by 2030 at a total investment cost of approximately $9 billion.

The World Bank has committed more than $1.4 billion to mini grids over the next seven years, through 38 projects in 29 countries. The investment plans of the World Bank’s portfolio include the deployment of 3,000 mini grids by 2029, with the expectation of bringing electricity to more than 13 million people. This investment commitment is expected to crowd in more than $1 billion of co-financing from private sector, government, and development partners. In countries where the World Bank has an investment commitment in mini grids, the Bank’s investment represents on average about 25 percent of the total investment in mini grids in each country from governments, the private sector, and development partners.

Produced by the World Bank’s Energy Sector Management Assistance Program (ESMAP), the book, the Mini Grids for Half a Billion People: Market Outlook and Handbook for Decision Makers, identifies five market drivers that would help the mini grid sector achieve its full market and development potential:

1. Reducing the cost of electricity from solar hybrid mini grids to $0.20/kWh by 2030, which would put life-changing power in the hands of half a billion people for just $10 per month;
2. Increasing the pace of deployment to 2,000 mini grids per country per year, by building portfolios of modern mini grids instead of one-off projects;
3. Providing reliable electricity service to customers and communities would generate the demand for 3 million income-generating appliances and machines and expand services at 200,000 schools and clinics;
4. Leveraging development partner funding and government investment to “crowd in” private-sector finance, potentially raising $127 billion in cumulative investment from all sources for mini grids by 2030;
5. Establishing enabling mini grid business environments in key access-deficit countries through light-handed and adaptive regulations, supportive policies, and reductions in bureaucratic red tape.

The handbook is the World Bank’s most comprehensive and authoritative publication on mini grids to date.

6 March 2023: Aiming to accelerate public-private partnerships (PPP) that can achieve universal electrification in Least Developed Countries (LDCs), Husk Power Systems today issued an invitation to governments in Sub-Saharan Africa to partner in scaling the deployment of renewable energy minigrids in off-grid, weak-grid and under-the-grid communities.

Announced during the Private Sector Forum at the 5th United Nations Conference on the Least Developed Countries (LDC5), Husk said it welcomed expressions of interest from national and sub-national governments.

Elements of the company’s proposed PPP:

• Husk to finance the building of 200 minigrids in one or more LDCs in Sub-Saharan Africa;
• Husk to own and operate the minigrids for the lifetime of the projects;
• Husk to select the 200 communities based on its business model and to have the ability to charge cost-reflective tariffs that are affordable for customers;
• Interested governments to provide a 20- to 25-year concession to Husk;
• If required, interested governments and/or their funding partners to provide viability gap support for the initial phase of minigrid operations.

The need to accelerate electrification in LDCs is enormous. Lack of electricity impacts hundreds of millions of lives and countless small businesses. In the 33 LDCs in Africa, the electrification rate is only 36%. For rural areas in LDCs, the number of newly connected customers each year needs to increase from 13.7 million to 41 million to achieve Sustainable Development Goal (SDG7) – access to modern, reliable, clean and affordable electricity for all by 2030.

Under its proposed PPP, in one country Husk estimates that 200 of its minigrids would benefit up to 1 million people and 10,000 small businesses, power hundreds of schools and health clinics and avoid 15,000 tons of CO2 annually by displacing diesel and gasoline generation.

In 2022, Husk became the first and only minigrid company to sign a UN Energy Compact in support of SDG7. In its UN Energy Compact, Husk pledged to build up to 5,000 minigrids that would benefit more than 11 million people.

Husk currently has more than 200 minigrids in operation in India, Nigeria and Tanzania and expects to double that number to 400 within the next 12 months.

Referring to today’s announcement, Manoj Sinha, Husk’s Co-Founder and CEO, said: “As LDC governments in Sub-Saharan Africa look to roll out integrated energy systems that will be both fiscally sound and climate resilient, Husk is ready for action. We have the scale and a proven business model, and it’s now time for SDG7-focused public-private partnerships to move from pilot phase to full-fledged market interventions that can achieve radical scale.”

“By expanding access to modern energy services, renewable energy can help lift millions of people out of poverty, improve health and education, create jobs and income opportunities for people in the Least Developed Countries,” said Heidi Schroderus-Fox, Director of the UN Office of the High Representative for the Least Developed Countries, Landlocked Developing Countries and Small Island Developing States and Executive Secretary of the Fifth UN Conference on the Least Developed Countries (LDC5). “It is encouraging to see that the private sector is stepping up at LDC5 with innovative solutions to achieve SDG7 in the Least Developed Countries.”

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About Husk Power Systems: Founded in 2008, Husk Power Systems is the leading net-zero energy services company in rural Asia and Africa, and operator of the largest fleet of community solar microgrids across the two continents. Its smart and sustainable solutions accelerate access to clean, modern and affordable electricity that has the ability to catalyze socio-economic development. Husk’s focus on the customer meets the growing aspirations of businesses and households, while its grid-integratable solution supports national integrated electrification plans. For more information, visit huskpowersystems.com.

8 March 2023: Inspired Evolution Managers Limited, a Pan-African climate-centred private equity firm specialising in clean energy infrastructure and energy and resource-efficiency growth investments, successfully achieved the first closing of its third fund, Evolution III Fund, on March 3, 2023.

Evolution III closed at USD 199.4 million in conditional commitments from seven international investors, allowing a further 12–18 months window to reach its target close of USD 400 million in capital commitments.

Inspired Evolution has been involved in financing the development and operations of more than 2 GW of renewable energy infrastructure-type generation projects and multiple growth equity investments across Sub-Saharan Africa since 2007. The firm focuses on key climate-driven principal investment themes, namely clean energy infrastructure, energy access, energy and resource efficiency and the value chains that support them.

Inspired Evolution launched the Mauritian-domiciled Evolution III Fund in 2022, which is targeting USD 400 million in capital commitments and is expected to comprise existing (predominantly Development Financial Institutions) investors and new global and regional institutional investors, endowments, and family offices.

Investors in Evolution III’s first closing include the European Investment Bank (EIB), the Dutch Development Bank FMO, the African Development Bank, the Finnish Fund for Industrial Cooperation (FinnFund), the Emerging Markets Climate Action Fund (EMCAF), Swedfund International AG, and the Swiss Investment Fund for Emerging Markets (SIFEM).

Wayne Keast, Co-Founder and Managing Partner at Inspired Evolution, said, "We are a private equity firm with 16 years of on-the-ground African investment experience in clean energy and climate finance investing. We have made 21 investments to date in our two Evolution clean energy private equity funds, and we have exited 16. Achieving this first closing within such a short time period is a great validation of our investment thesis, active investment management approach, and the track record we’ve built.”

Christopher Clarke, also Co-Founder and Managing Partner at Inspired Evolution, added: "There's been a growing investor preference for climate-centred, socially responsible investments that follow strong international governance guidelines, aligned to the Paris Agreement and UN's Sustainable Development Goals. Institutional investors seek trusted investment managers with strong fiduciary principles that can deliver measurable, lasting climate and social impacts while achieving superior returns. This first closing also speaks to our professional investment team's pedigree and deep skill set."

Evolution III offers next-generation energy transition investment strategies and will look to invest in traditional utility-scale, grid-connected IPP platforms and projects, decentralised commercial and industrial (C&I) private offtake opportunities, off-grid solutions and energy-as-a-service (EaaS) micro-grid infrastructure-type offerings. It will also look to invest growth equity into energy and resource-efficiency, technology-based businesses that ‘do more with less’ and reduce resource footprints. Evolution III will provide investors with long-term capital growth and yield by taking significant minority and controlling equity and equity-related stakes, predominantly in renewable energy platforms.

The investment case:

Africa has tremendous solar and wind potential and vast hydropower resources. The funding needed to facilitate Africa's energy transition to a net-zero energy mix by 2050 is estimated to be around USD2.8 trillion. For Africa to achieve its climate action and energy SDGs, its generation capacity must be doubled by 2030 and multiplied five-fold by 2050.

Since the adoption of the Paris Agreement and the recent COP 26 UN Climate Change Conference held in Glasgow at the end of 2021, markets have been lifted by the accelerated adoption of new low-carbon energy commitments and policies by African member states. Meanwhile, rural households and small-, micro-, and medium enterprise (SMME) consumers with growing energy access needs have accelerated the addressable market for affordable and reliable clean energy technology-based solutions.

This reflects a vast investment opportunity to catalyse the growth in the renewable energy space across the African continent. With increased electrification of rural areas and additional funding for renewable and off-grid projects, renewables will systematically replace bioenergy and fossil fuels as the primary energy source.

New opportunities for private equity investment to plug the funding gap have opened up as capital-constrained public utilities have pulled back their levels of investment.

Fund focus:

The Fund will contribute to decarbonisation by replacing ageing and inefficient carbon-intensive power plants (predominantly coal thermal and heavy fuel oil (HFO)) and contribute to building least-cost, low-carbon, small- to large-sized grid-connected renewable and sustainable energy generation capacity.

In addition, the Fund will target new high-growth market segments, including commercial and industrial (C&I) solar and storage solutions and digital infrastructure, predominantly for private investors. It will promote energy access to rural communities, businesses, and industries by accelerating innovative fintech business models across off-grid, mini-grid and micro-grid markets.

Evolution III will look to complement the traditional grid-connected projects while bolstering its exposure to energy-access solutions in rural areas via mobile money payment platforms and pivoting to energy-as-a-service (EaaS) micro-grid market offerings, promoting smart cities and efficient industry.

The remaining capital allocation is expected to be invested as growth equity into technology-based companies active across eligible high-growth sectors, including agriculture, waste and wastewater, logistics and cold chain management, energy and resource-efficient manufacturing and other energy-centric supply chains.

The Fund will target around 10 to 15 investments over an investment period of five years.

It will target established growth companies and back investments into greenfield projects and platforms and select eligible brownfield projects with a high probability of conversion success and where bankability criteria are met.

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About Inspired Evolution and Evolution Funds: Inspired Evolution, investment advisor to Evolution I and Evolution II Funds, and currently raising Evolution III Fund, is a specialised clean energy infrastructure, energy access and resource efficiency investment advisory firm that offers a broad African footprint with headquarters in Cape Town and strategically located international, regional and country offices in London, Nairobi, Abidjan and Grand Bay in Mauritius.

Over the past 16 years, Inspired Evolution has been involved in financing the development and operations of more than 2+ GW of renewable energy infrastructure generation projects and multiple growth equity investments across Africa. Evolution III Fund’s first close investors include the European Investment Bank (EIB), the Dutch Development Bank FMO, the African Development Bank, the Finnish Fund for Industrial Cooperation, Swedfund International AG, the Swiss Investment Fund for Emerging Markets (SIFEM), and the Emerging Markets Climate Action Fund (EMCAF) – an innovative blended finance fund of funds created in partnership by Allianz Global Investors (AllianzGI) and the EIB, Evolution III Fund is expected to comprise the majority of existing investors to predecessor Evolution I and II funds, as well as new global and regional commercial institutional investors, endowments and family offices. For more information, visit: www.inspiredevolution.co.za.

8 March 2023: Nuru SASU (Nuru), the company behind Democratic Republic of the Congo (DRC)’s first solar PV metrogrid, is on track to build 13.7MWp of isolated solar-hybrid grids by mid-2024 after securing an initial USD1.5 million from investors in a convertible note round ahead of the close of its Series B funding round.

Renewable Energy Performance Platform (REPP), Proparco and E3 Capital have each decided to invest USD500k in Nuru, bridging a financing gap to bolster the company’s USD 25 million Series B equity fundraise. The residual funds will be invested by an impressive consortium of international investors at financial close. The raise will help to accelerate the implementation of three nationally strategic late-stage development projects in Goma, Kindu and Bunia, with an aggregate installed capacity of 13.7MWp.

REPP is funded by the UK’s Foreign, Commonwealth and Development Office (FCDO) and managed by Camco. Proparco is the private sector financing arm of Agence Française de Développement Group (AFD Group), and E3 Capital is a leading investor in low-carbon early-stage companies.

According to the World Bank, approximately 19% of DRC’s population has access to electricity, making the Central African country one of the least electrified in the world. Making things worse, DRC’s grid power generation comes predominantly from hydropower plants, which are coming under mounting pressure due to a lack of maintenance and the increased incidence of drought due to climate change.

Nuru and its investors endeavor to aid in closing the energy access deficit while directly diversifying and decentralising DRC’s energy mix, thereby supporting DRC’s Strategic National Development Plan (SNDP 2019-2023) goal for increased renewable energy capacity.

To date, the company has installed 1.7MWp of operating capacity, providing commercial and industrial (C&I), retail and residential customers in large off-grid towns with reliable, affordable and clean electricity via solar PV installations (with battery storage and diesel back up) and isolated distribution networks.

In addition to the three late-stage development projects, Nuru has a further 35MWp in its current active pipeline, which it expects to be fully commissioned within the next three years. Once both phases have been completed, the company will be providing first-time clean energy access to over 230,000 people as well as approximately 5,300 C&I businesses and social and public institutions, most of whom currently rely on diesel gensets for their power.

British Ambassador to the Democratic Republic of the Congo, Emily Maltman, said: “It is great to see how UK investment in Nuru is helping to accelerate its solar projects in Goma, Kindu and Bunia. The UK is committed to helping improve access to clean energy in DRC – to create jobs, power public services and improve livelihoods.”

Ben Hugues, who heads REPP at Camco, said: “Nuru has the potential to deliver truly widescale and transformational impact in one of the world’s poorest countries.

“REPP’s investment alongside Proparco and E3 Capital will not just lead to greater emissions reductions, but also higher levels of economic activity and improved living standards for hundreds of thousands of people through clean, reliable and affordable energy access. At the same time, it will demonstrate DRC’s improving investment conditions and give confidence to other funders to invest.”

Jonathan Shaw, co-founder and CEO of Nuru, said: “Nuru is thrilled to have partners like REPP, Proparco, and E3 Capital empowering us to deliver life-changing energy access in an extremely challenging environment. REPP, Proparco, and E3 Capital have demonstrated tangible commitments to helping Nuru achieve our mission of delivering reliable, affordable, renewable energy to 5 million people in the DR Congo.”

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About Nuru: Nuru, Swahili for “light,” designs, deploys and operates renewable energy powered metrogrids in strategic urban zones of the Democratic Republic of Congo. Nuru was the first company in DRC to deploy a solar mini-grid, built the largest fully off-grid solar hybrid metrogrid in Sub-Saharan Africa in 2020, and is now seeking to provide 5 million clients with world-class connectivity in the country. For more information, visit: https://nuru.cd/.

About REPP: The Renewable Energy Performance Platform (REPP), managed by Camco, works to mobilise private sector development activity – and investment – in small to medium-sized projects (typically up to 25MW) in Sub-Saharan Africa. It is supported with funding from the UK’s International Climate Finance through the Foreign, Commonwealth and Development Office (FCDO) and, to date, has agreed contracts with 42 renewable energy projects across 18 countries, employing seven different technologies, from SHS and PV mini-grids to onshore wind and run-of-river hydro. For more information, visit: https://repp.energy.

About Camco: Camco is a specialist climate and impact fund manager, leading the transition in emerging markets. We offer clean, secure investments, pairing the conscience of a development bank with the agility of a private company. Camco is an Accredited Entity of the Green Climate Fund and is authorised and regulated by the UK Financial Conduct Authority. The company has offices in Accra, Auckland, Helsinki, Johannesburg, London, Nairobi, Singapore, Sydney and Toronto. For more information, visit: https://camco.fm.

About Proparco: Proparco is the private sector financing arm of Agence Française de Développement Group (AFD Group). It has been promoting sustainable economic, social and environmental development for 45 years. Proparco provides funding and support to both businesses and financial institutions in Africa, Asia, Latin America and the Middle East. Its action focuses on the key development sectors: infrastructure, mainly for renewable energies, agribusiness, financial institutions, health and education. Its operations aim to strengthen the contribution of private players to the achievement of the Sustainable Development Goals (SDGs) adopted by the international community in 2015. To this end, Proparco finances companies, whose activity contributes to creating jobs and decent incomes, providing essential goods and services and combating climate change. For a World in Common. For more information, visit: http://www.proparco.fr/en.

About E3 Capital: E3 Capital is a leading investor in low-carbon early-stage companies developing innovative business models that are digitised, decentralised, and decarbonised. E3 Capital has a young and diverse team, committed to the future of the low carbon economy in Africa and the emerging world. With a combined investment experience of 40 years, the company is uniquely positioned to help companies grow and scale, without compromising sustainability. E3 Capital partners with forward-thinking entrepreneurs endeavouring to bridge the gap between climate transition and growth in emerging and frontier markets with energy as the enabler of these products and services. For more information, visit: https://e3-cap.com/.

16 March 2023: Ignite Power, a leading provider of solar solutions across Africa, announced today the acquisition of Pawame, an Abu-Dhabi Global Markets (ADGM) headquartered distributor of Solar Home Systems. This acquisition reinforces Ignite Power’s commitment to bringing affordable and sustainable energy solutions to millions across the SSA region, and creating impact at a continental scale.

Pawame has been providing off-grid solar solutions to mostly rural homes and small businesses in Kenya since 2016, electrifying 30,000 households through an affordable Pay-As-You-Go financing model. The acquisition will enable Ignite Power to expand its reach to the Kenyan market and grow its impact to millions more. “We are thrilled to welcome Pawame into the Ignite Power family,” said Yariv Cohen, CEO of Ignite Power. “With this acquisition, we are expanding our presence to Kenya and growing our ability to provide affordable and sustainable energy solutions to even more people in Africa.“

The acquisition of Pawame is another milestone for Ignite Power, which already directly impacted 2 million people in 12,000 villages across 4 African countries, utilizing its proven models and advanced technologies for smart and efficient operations. With said models and technologies for last-mile operation, Ignite Power has been instrumental in bringing distributed infra-tech solutions to remote areas of the continent.

“We believe that access to reliable and affordable energy is a basic human right”, says Cohen. “We remain committed to making this a reality for more communities across Africa, and are excited to pave the way to a cleaner, more inclusive and sustainable future for millions across Kenya in the coming years.”

This acquisition is part of Ignite Power’s ongoing commitment to expanding its footprint in Africa through organic growth and strategic acquisitions, leading the way to sustainable impact at scale.

“We have been supporting Pawame since 2018, and we believe this acquisition will accelerate Ignite Power’s growth and make it one of the leading companies in Kenya, while also supporting existing customers and employees. This opportunity has the immense potential to multiply the impact, which Pawame has been trying to achieve in the last 5-6 years.” Said Arivazhagan G D, Partner at SIMA Funds, which is the largest lender to Pawame and the lead arranger of this deal.

“Pawame has brightened the lives of over one hundred fifty thousand people in Kenya by making solar energy affordable to low-income households. We are extremely pleased that this legacy of impact will continue and be further built upon under Ignite Power, and look forward to seeing them further improve the quality of life in rural Africa”, said Alexandre Allegue, Pawame’s Chairman and Founder.

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About Ignite Power: Ignite Power connects last-mile, hardest-to-reach communities across Sub- Saharan Africa to clean, sustainable, and affordable solar solutions. The company’s mission is to alleviate extreme poverty in bottom-of-the-pyramid societies through solar power, technology, and inclusive financing schemes.

• Schneider Electric, Capelan, Capital Croissance and Investisseurs & Partenaires (I&P) team up with Gaia Impact team to launch Gaia Energy Impact Fund II, a venture capital fund specializing in the energy transition in Africa and the support of entrepreneurs with high environmental and social impact.

21 March 2023: Gaia Impact team, Capital Croissance, Schneider Electric, Capelan and I&P, aware of the challenge represented by the access to energy in Africa, are launching Gaia Energy Impact Fund II (GEIF II), an investment fund that meets the stringent impact guidelines of Article 9 of the SFDR regulation. This fund, which targets €80M in commitments, will bring together an agile coalition of entrepreneurs, families and familyoffices, companies, and institutional investors willing to reconcile financial return, social impact and environmental impact.

The GEIF II fund will be managed by Capital Croissance, an AMF-approved management company, while the Gaia Impact team will act as exclusive advisor. Schneider Electric and Capelan will each invest €15M. Investisseurs & Partenaires will bring its expertise on the different countries of the African continent and technical assistance to the Gaia Impact team.

Gaia Impact Fund II will benefit from the experience gained by the Gaia Impact team. In 2017, Hélène Demaegdt created Gaia Impact Fund I, financed by the French family office Capelan, with the aim of acting for the climate and catalyzing private investment in the energy sector in Africa and the rest of the world. She then put together a team of entrepreneurs and expert investors to finance and support start-ups and SMEs active in the decentralized renewable energy value chain.

The GEIF II fund will invest, in equity and quasi-equity, between €500k and €5M in around twenty companies in the early (Seed and Series A) or growth phase (Series B). The majority of investments will be made in companies operating in Africa (up to 15% in other emerging countries) in the sectors of energy access, productive use of energy, electric mobility, new energies and enabling technologies. It aims to bring energy to 4M people, create 20,000 jobs while saving 4MT of CO2. These goals are a key component of the investment team’s financial incentive.

The coalition targets an initial closing of €40M in 2023 and a final closing at the first half of 2024 for a total Target amount of €80M.

Hélène Demaegdt, President-Founder of Gaia Impact: "We are delighted to be joined by new partners. Thanks to them, our action in favor of the energy transition in Africa takes a new dimension. We are convinced that this new coalition of expert and complementary actors aligned on the same vision will allow the Gaia Impact team to strengthen its social and environmental impact, by promoting the conditions of economic".

Christophe Poline, Director Sustainable Investments of Schneider Electric: "GIF II is a great opportunity for Schneider Electric to reinforce its commitment to promote clean and efficient energy for the development of communities in Sub-Saharan Africa. This commitment is part of Schneider Electric’s actions for a just transition worldwide. With our experience in solidarity and impact investing, we are convinced that the partnership with Gaia Impact, I&P and Capital Croissance will bring the efficiency and professionalism necessary to achieve the project’s impact objectives".

Eric Neuplanche, President-Founder of Capital Croissance: "We were seduced by the achievements and the great professionalism of the Gaia Impact team since 2017 and even more by the very strong environmental and social ambition of this impact fund: over the life of the fund, we aim to create 20,000 jobs, give access to energy to 4,000,000 people who are currently without it and save 4,000,000 tons of CO2 by substituting polluting energy with decarbonized energy. The entire Capital Croissance team is very proud and extremely motivated to be associated with the Gaia Impact, I&P and Schneider Electric team".

Jeremy Hajdenberg, Co-CEO of Investisseurs & Partenaires: "Impressed by the dynamism and expertise of the Gaia Impact team, we are determined to bring I&P’s complementary perspective and to implement numerous synergies on the ground. Acting in favor of renewable energies in Africa is an obvious urgency and we are proud to participate, with Schneider Electric and Capital Croissance, in this initiative supporting entrepreneurs who are transforming Africa and implementing innovative solutions every day".

5 April 2023: The United Nations Development Programme (UNDP) will support the development of seven innovative financial aggregation models targeting a variety of clean energy solutions ranging from off-grid solar, mini-grids and e-mobility to clean cooking, across various East African countries.

These solutions were competitively selected as the winners of the UNDP Climate Aggregation Platform Financial Innovation Challenge, which was a global call for applications launched in July 2022 by the Climate Aggregation Platform (CAP), a UNDP initiative to promote the scale-up of financial aggregation for small-scale, low-carbon energy assets in developing countries. Funded by the Global Environment Facility, the CAP is a flagship initiative of UNDP’s Sustainable Energy Hub to support the structuring and deployment of innovative business models and financial mechanisms to accelerate energy access and the clean energy transition.

Through this innovation challenge, UNDP aims to foster the development of innovative financial aggregation structures and models that can help increase the availability and reduce the cost of financing for low-carbon energy in East Africa. And, in doing so, help close the investment gap to achieve universal energy access.

“We are excited to support the development of such innovative and pioneering financial solutions for clean energy,” said Riad Meddeb, Director of UNDP’s Sustainable Energy Hub. “Increasing energy access is critical to advance socio-economic development and progress on the Sustainable Development Goals in East Africa. 242 million people, close to half of the region’s population, do not have access to electricity. We need to think outside the box to close this gap—business-as-usual won’t do. Developing new ways of financing clean energy is critical to ensure that everyone can have access to affordable, reliable energy and the opportunities it brings.”

Distributed renewable energy solutions have been identified as the least-cost, fastest option to rapidly close the energy access gap in Africa by 2030. However, scaling these solutions requires large upfront public and private investments, which are currently lacking due to a series of barriers, including perceived investment risks.

Recent research by UNDP shows that financial aggregation holds great potential in enabling these upfront large-scale investments. It could notably help reduce the mismatch between distributed renewable energy funding needs and investor requirements, and in turn increase investments in such solutions. Yet, to date, there are few examples that have turned this potential into reality.

Financial aggregation instruments are complex, and their successful implementation depends on a favorable enabling environment. In that sense, the market is still nascent and faces a range of barriers that need to be addressed if financial aggregation is to be widely employed and scaled.

For that reason, through the CAP Financial Innovation Challenge, UNDP aims to support solutions at the design stage, so that novel financial aggregation structures and models can be developed that can lead to financially closed transactions in East Africa, in the near future.

In response to the call, UNDP received many applications from around the globe, with very diverse and interesting innovations, and targeting different energy sub-sectors and countries in East Africa – While the call for applications was open to applicants from any country, supported solutions are to be developed in view of being deployed in one or multiple developing countries in East Africa, with a special focus on the CAP’s two pilot countries, Rwanda and Uganda.

The seven solutions below were competitively selected as the winners of UNDP’s Climate Aggregation Platform Financial Innovation Challenge. Each of them involves a different approach to financial aggregation to help unlock new sources of financing for the clean energy sector, including climate finance. These target different sub-sectors, from off-grid and on-grid solar, mini-grids, productive use appliances, e-mobility to clean cooking, and could be deployed across different countries in East Africa including Rwanda, Uganda, Kenya, Tanzania, Malawi, Ethiopia, Madagascar, Mozambique.

• ‘AI-enabled financing to scale energy access’, by Nithio: Nithio will adapt its data-driven blended-finance model – a sustainable, risk-informed approach to finance aggregated receivables for the off grid solar sector – to determine how it can be best tailored to the Rwandan market. [Target country: Rwanda]
• ‘A digital platform to bundle debt and results-based payments with climate finance’, by 4R Digital: Through its Carbon Value Exchange platform, 4R Digital will connect micro-small clean energy products with the Voluntary Carbon Markets – enabling aggregation of hundreds of thousands of clean energy device users. 4R Digital will explore how to layer additional product financing opportunities on top of the carbon related payments. [Target countries: Uganda, Kenya]
• ‘Carbon Credit Aggregator Platform’, by Mirova SunFunder: Mirova SunFunder will explore the feasibility of setting up a Special Purpose Vehicle (SPV) to aggregate the carbon rights of clean energy companies. Financial aggregation at the SPV level would enable a group of similar companies to attract the required funding for pre-financing their activities. [Target countries: Uganda, Rwanda, Kenya, Tanzania, Malawi]
• ‘E2W Africa, a financing platform for electric vehicles’, by PJ & Company: PJ & Company will develop a pioneering financing platform to provide both growth equity and small-scale asset finance for the electric vehicles sector in East Africa – Creating a founder-friendly finance instrument to help grow this asset-heavy industry. [Target countries: Uganda, Rwanda, Kenya, Tanzania, Ethiopia]
• ‘A platform for scaling up off-balance sheet receivables financing for off-grid solar’ by Solaris Offgrid: Solaris Offgrid will develop a platform to allow last-mile off-grid solar companies to sell pools of receivables, and partner funds to purchase these based on the investment criteria of debt providers – Aggregating receivables to allow debt funds to deploy larger amounts of capital. [Target country: Uganda]
• ‘Exploring securitization for minigrid projects’, by Hypoport Africa: Hypoport proposes to introduce the concept of securitization and other innovative structured lending solutions for PAYGO solar assets in East Africa – To show that once payment data is structured and monitored effectively using state of the art data management, innovative structures can be introduced that will reduce costs of capital and improve the efficiency of PAYGO portfolios. [Target countries: Mozambique, Malawi, Rwanda, Kenya]
• ‘Powerblocks, a platform to accelerate clean energy access in emerging markets’, by Incharge Energy: Incharge Energy proposes to develop PowerBlocks, a Web3 platform to help increase the profitability and utilisation of distributed renewable assets in emerging markets through the financing and provision of productive use off-takers, initially via bitcoin mining, and using smart contracts to pool funding from crypto investors. [Target countries: Rwanda, Kenya, Tanzania, Madagascar.

UNDP will provide an award of up to US$40,000 to each of these innovators to develop a Feasibility Study for their Innovative Financial Aggregation Structure or Model. UNDP will also promote the supported innovations within UNDP and to a broader audience across its network.

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About the Climate Aggregation Platform: The Climate Aggregation Platform (CAP) promotes the scale-up of financial aggregation for small-scale, low-carbon energy assets in developing countries – with the goal to increase access to and lower the cost of financing for the clean energy sector. In so doing, the CAP can contribute to improving the lives of people in developing countries, bringing about affordable, reliable and clean energy. The United Nations Development Programme (UNDP) is implementing the CAP, in partnership with the Climate Bonds Initiative, with initial seed-funding from the Global Environment Facility (GEF). The CAP is a flagship initiative of the Sustainable Energy Hub to support the structuring and deployment of innovative business models and financial mechanisms to accelerate energy access and the clean energy transition. For more information, visit: https://www.undp.org/climate-aggregation-platform.

About the UNDP Sustainable Energy Hub: The UNDP Sustainable Energy Hub is a platform to bring together and catalyze UNDP’s work on energy for development. It is a network of partners that work alongside countries to transform energy systems through an integrated agenda focused on the policy, technology and financial shifts that shape sustainable economic development. It helps countries build a net-zero society that puts people first and is driven by a just, sustainable energy transition that leaves no one behind. This includes mobilizing partners to enable 500 million additional people to have access to sustainable, reliable, affordable energy by 2025. For more information, visit: undp.org/energy.

12 April 2023: Access to productive use appliances can deliver significant economic, health, education, and quality of life benefits for the approximately 600 million people across the African continent who lack access to electricity. This can also put under-electrified parts of the world on a low-carbon pathway to electrification. However, affordability remains a major barrier to access and scale. The Productive Use Appliance Financing Facility aims to help address the affordability barrier, and the current auction window will make procurement subsidies available for companies in six African countries.

Makena Ireri, Director at the Global Energy Alliance for People and Planet, said: “The Facility will help make high-quality, productive use appliances more affordable and accessible. These technologies can transform lives and livelihoods by helping to create new green energy-enabled jobs, enhance income generation for micro-enterprises and smallholder farmers, and improve the sustainability of renewable energy infrastructure projects through increased demand for electricity.”

The Facility’s initial scope includes the Democratic Republic of Congo, Ethiopia, Kenya, Nigeria, Sierra Leone, and Uganda based on growth potential and market maturity. Eligible technologies include electric pressure cookers, fans, milling, solar water pumps, refrigerators/freezers, and walk-in cold storage. All technologies must complete quality assurance testing, helping to ensure that users receive high-quality products.

Eligible distributors can also apply for capacity-building small grants to offset one-off costs associated with nascent PUA business lines, such as warehouse space, staffing, or training. The procurement subsidies and capacity-building grants will allow eligible companies to lower costs for customers while investing in long-term growth. Participating companies may also agree for the Facility to share their information with Nithio, should they wish to be considered for debt investment to help them further scale their business and reach more consumers.

Interested companies should send in their applications by the end of day on April 21, 2023. Please check out these resources to learn more about the program, including eligibility requirements of the procurement subsidy auction window and how to submit a subsidy request. For any other questions, please get in touch with This email address is being protected from spambots. You need JavaScript enabled to view it. .

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About the Facility : Launched in October 2022 by CLASP and Nithio, with support from the Global Energy Alliance for People and Planet (GEAPP), the Facility supports companies in catalyzing the growth of productive use appliance markets. Facility operations will also generate a foundational data set on appliance market activity and the developmental impacts of appliances, improving our collective knowledge base on appliance performance, national markets, and consumer experience and satisfaction.

Companies can leverage the Facility to access bulk discounts on solar appliance procurement and offer products on credit to lower the cost of appliances for end-user. The Facility also provides smaller capacity-building grants and advisory support for PUA distributors to help establish credit systems and increase their investment readiness.

Facility support is intended to help companies expand their reach and cater to a broader market, helping to deliver essential technologies to more consumers in East and West Africa.

About CLASP: CLASP focuses on appliance & equipment energy performance and quality, to mitigate and adapt to climate change and expand access to clean energy. Super-efficient and high-quality appliances accelerate access to and use of renewable energy for the world’s poorest people. CLASP supports progress on the United Nations’ Sustainable Development Goal 7, affordable and sustainable energy for all. Renewable energy services like cooling, communications, and mechanization empower low-income communities and improve lives in a climate-friendly way. CLASP works globally and has teams in Washington, DC; Nairobi, Kenya; New Delhi, India; Brussels, Belgium; and Jakarta, Indonesia. For more information, visit: https://clasp.ngo/.

About Nithio: Nithio is an energy financing platform powered by its innovative credit risk analytics engine. Nithio leverages its deep sector expertise, geospatial data, and artificial intelligence (AI) to forecast repayment patterns by consumer segment, provide detailed insight on projected cash flows, and finance energy access technologies. For more information, visit: https://www.nithio.com/.

About the Global Energy Alliance for People and Planet (GEAPP): The Global Energy Alliance for People and Planet (GEAPP) is an alliance of local entrepreneurs, governments in emerging and developed economies, and technology, policy, and financing partners. Our common mission is to support developing countries’ shift to a clean energy, pro-growth model that ensures universal energy access and unlocks a new era of inclusive economic growth, while enabling the global community to meet critical climate goals during the next decade. In doing so, as an Alliance we aim to enable 150 million new jobs, reduce 4 gigatons of future carbon emissions, and expand clean energy access to one billion people. With philanthropic partners, Bezos Earth Fund, IKEA Foundation, and The Rockefeller Foundation, GEAPP works to build the enabling environment, capacity, and market conditions for private sector solutions, catalyze new business models through innovation and entrepreneurship, and deploy high-risk capital to encourage private sector solutions, and assist just transition solutions.For more information, visit: https://www.energyalliance.org/.