A New $17.5M Fund Announced for African Clean Cooking Solutions. Here’s How to Apply

In a bid to catalyze the green energy transition and address the global challenge of clean cooking solutions, the Modern Cooking Facility for Africa (MCFA) has unveiled its second funding round, offering up to EUR 16 million to support high-technology clean cooking solutions in seven Sub-Saharan African countries. The initiative aims to provide access to modern and clean cooking solutions for up to 4 million people.

Funding Structure and Eligibility Criteria

MCFA’s funding round is divided into two windows: the Catalytic Funding Window and the Scale-up Funding Window. The Catalytic Funding Window targets earlier-stage companies with scaling potential, offering 50% in non-reimbursable catalytic grants. This window is available to companies in the Democratic Republic of the Congo, Malawi, Mozambique, Zambia, and Zimbabwe. The Scale-up Funding Window, open to more mature companies, provides up to 30% in catalytic grants, with the remainder as results-based financing.

The funding is earmarked for companies involved in clean cooking services, including residential, commercial, or institutional use, utilities, mini-grid operators, and companies deploying standalone solar systems supporting e-cooking services. The focus remains on higher-tier cooking solutions, such as electric cookstoves and those using sustainably produced solid and liquid biofuels or biogas solutions.

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Application Process

Companies interested in securing funding should navigate a two-stage application process: the Pre-Qualification stage and the Final Application stage. During the Pre-Qualification stage, applicants must provide limited information on eligibility criteria and funding utilization plans. Successful applicants will proceed to the Final Application stage, where they will submit comprehensive business plans evaluated by an external committee appointed by Nefco, the Nordic Green Bank managing MCFA.

It’s crucial to note that companies currently undergoing or contracted under the first funding round (MCFA1) for a specific project country are ineligible for funding under the new funding round (MCFA2) for the same project country. The application deadline is 31 January 2024 at 12:00 (noon) Helsinki time.

Information and Assistance

For detailed information about the Call for Proposals, interested parties are encouraged to visit the official MCFA website (www.moderncooking.africa) and register for the online application system. The website also hosts application guidelines and additional resources to aid in the application process.

Applicants are invited to submit questions through the online application system by 12 January 2024. Answers will be made available to all registered applicants by 19 January 2024 in an anonymized and redacted form.

Programme Overview and Background

The MCFA programme, managed by Nefco, aims to create sustainable markets for the clean cooking sector and accelerate access to modern cooking solutions in Sub-Saharan Africa. The facility, part of the Global Gateway initiative, is funded by Sweden, Norway, and the European Union. The overall goal is to provide clean cooking solutions to up to 4 million Africans across the Democratic Republic of the Congo, Kenya, Malawi, Mozambique, Tanzania, Zambia, and Zimbabwe.

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Nefco, the Nordic Green Bank, operates as an international financial institution headquartered in Helsinki, Finland. Owned by the five Nordic countries, it focuses on environmental and climate investments, actively participating in the global green transition. Nefco also manages external funds in the climate and energy space, holding accreditation from the European Union and the Green Climate Fund. As the Facility Manager for the Beyond the Grid Fund for Africa, Nefco plays a pivotal role in driving multi-donor results-based financing for climate and energy initiatives. Further details are available on their official website (www.nefco.int).

As the application window opens, prospective applicants are encouraged to seize this opportunity to contribute to the acceleration of the green energy transition in Sub-Saharan Africa by providing innovative and scalable clean cooking solutions.

Cooking African fund Cooking African fund

Charles Rapulu Udoh

Charles Rapulu Udoh is a Lagos-based lawyer, who has several years of experience working in Africa’s burgeoning tech startup industry. He has closed multi-million dollar deals bordering on venture capital, private equity, intellectual property (trademark, patent or design, etc.), mergers and acquisitions, in countries such as in the Delaware, New York, UK, Singapore, British Virgin Islands, South Africa, Nigeria etc. He’s also a corporate governance and cross-border data privacy and tax expert. 
As an award-winning writer and researcher, he is passionate about telling the African startup story, and is one of the continent’s pioneers in this regard