Funding
Funding not disclosed
Founders
Product
Problem
Many African communities lack access to reliable electricity, hindering economic development and social progress. Existing financing options for small-scale, distributed energy projects are often inflexible and insufficient to meet the diverse needs of borrowers and project types.
Solution
The Facility for Energy Inclusion (FEI) provides tailored financing solutions to support the development and expansion of small-scale distributed energy infrastructure in Africa. FEI offers a broad range of financial products, including long- and short-term project finance, inventory/construction finance, and refinancing, to both corporates and special purpose vehicles (SPVs). The fund focuses on distributed power projects, ranging from off-grid solutions like mini-grids to commercial and industrial systems and grid-tied installations, with a maximum asset size of 25MW. FEI is technology-agnostic, supporting various renewable energy solutions that mitigate greenhouse gas emissions.
Target Audience
The primary target audience includes companies and SPVs developing small-scale distributed energy projects in Africa, as well as investors and intermediaries involved in the African energy access sector.
Features
- Flexible financing options including project finance, inventory finance, and working capital lending
- Ticket sizes up to US$30 million or equivalent in local currency
- Competitive, market-based lending rates adjusted to transaction structure and risk profile
- Wide range of tenors, from below 1 year to 15 years
- Support for a variety of renewable energy technologies
- Project Preparation Facility offering returnable grant funding for crucial last-mile processes
- ESG policy incorporating provisions on solar supply chain screening and contextual risk screening