AECF - Afrikan Heroes

African Institution launches $1.2 million Innovation Fund

March 19, 2021

The need to unlock the potential of renewable energy to create new business opportunities for entrepreneurs in Burkina Faso, Ethiopia, Kenya, Liberia, Mali, Mozambique, and Zimbabwe is behind the launching of a $1.2 million innovation fund by the African Enterprise Challenge Fund (AECF). The fund is aimed at strengthening the market readiness of emerging innovations, as well as secures financial, technical, and networking support for taking existing proven prototypes to scale.

The African Enterprise Challenge Fund (AECF)

Solutions that reduce the negative impacts associated with the use of traditional cooking options at the household and institutional levels, build climate change resilience among communities and support productive uses such as water pumping, agro-processing, cooling, and refrigeration services are examples that the Fund seeks to support.

In applying, businesses and entrepreneurs will need to demonstrate how their proposed innovations will transform the livelihoods of low-income households through the creation of jobs and diversification of livelihoods. Under the Sustainable Development Goals, the world has set an ambitious target of ensuring universal access to reliable and sustainable energy by the end of the decade. But with half of the African continent without access to electricity, and two-thirds lacking access to clean cooking solutions, additional investment is needed to drive innovation and accelerate the uptake of modern energy.

The Innovation Fund builds on AECF’s Renewable Energy and Adaptation to Climate Technologies (REACT) initiative, which was launched to support the private sector develop and expand its clean energy technologies to Africa’s rural communities. The Fund will invest in technologies that meet market needs as well as accelerating the development of existing solutions to better serve African communities and not technologies in the prototype stage.

Chief Executive Officer of AECF, Victoria Sabula, said: “The Innovation Fund is key to enhancing large-scale transformation within local communities. Investing in affordable and accessible renewable energy solutions can create jobs, grow economies, and build more sustainable livelihoods. Through the fund, we hope to unearth new ways that renewable technology – be it domestic, communal, or commercial – can be used to generate income and create jobs,” she said. You can go ahead to apply here.( http://www.aecfafrica.org/) The deadline for the applications is Thursday, April 29, 2021.

Kelechi Deca

Kelechi Deca has over two decades of media experience, he has traveled to over 77 countries reporting on multilateral development institutions, international business, trade, travels, culture, and diplomacy. He is also a petrol head with in-depth knowledge of automobiles and the auto industry

Somalia Receives $8.5 Million Grant in Support of Clean Energy Businesses

December 15, 2020

Chief Executive Officer of AECF, Victoria Sabula

To help about 300,000 people have access to clean energy which will trickle down to jobs, the Africa Enterprise Challenge Fund (AECF) has launched a US$ 8.5 million grant facility focused mostly on youth and women to support adoption and diversification of renewable energy solutions in Somalia and Somaliland. This is a component of the REACT Sub Saharan programme that seeks to reduce poverty through a transformational increase in the use of renewable energy by off-grid households. Speaking on the grant, the Chief Executive Officer of AECF, Victoria Sabula said that “the Somali market presents a unique opportunity for us and other development partners to change the narrative on reliance on diesel-powered mini-grids as we facilitate a switch to renewable energy sources. To achieve this stimulation of market growth and engagement of the private sector in renewable energy value chains is pivotal.”

According to the World Bank SDG tracking report, it is estimated that 11 Million Somalis lack access to electricity services with only 3% having access to clean cooking, this lack of electricity and use of poor-quality cooking fuels continues to hamper development for low-income households of the people of Somalia. “For this call, we are looking to work with businesses at different developmental stages particularly those at an early stage. In addition to the funding, we will provide technical support, business linkages and investment facilitation,” said the AECF CEO.

The programme targets private sector companies and microfinance institutions that are commercially active. These businesses are expected to be delivering low cost, clean energy products and services that benefit the poor in rural and peri-urban Somalia as well as Internally Displaced Persons, especially women and youth. This programme aims to enable 300,000 people access clean energy and create jobs for both youth and women.

Kelechi Deca

Kelechi Deca has over two decades of media experience, he has traveled to over 77 countries reporting on multilateral development institutions, international business, trade, travels, culture, and diplomacy. He is also a petrol head with in-depth knowledge of automobiles and the auto industry

A New $4 Million Fund Launched For Off-grid Companies In Kenya By AECF

December 11, 2020

Off-grid energy startups in Kenya have a new fund to pitch. Africa Enterprise Challenge Fund (AECF) has launched a $4 million financing programme aimed at unlocking new markets for clean energy as well as accelerating access to clean energy for 87,000 unserved and underserved households in Kenya.

*Victoria Sabula, chief executive officer of AECF*

“Off-grid energy sector continues to require investment if we are to make notable progress in improving access to affordable and clean energy. We are excited to be launching the REACT RBF programme through which we seek to provide results-based incentives for companies that are increasing access for unserved and underserved communities,” said Victoria Sabula, chief executive officer of AECF.

“Energy access remains critical for a sustainable post-COVID-19 recovery and we see REACT RBF helping companies to withstand the Covid-19 effects, recover, and come out stronger on the other side,” she further added.

Here Is What You Need To Know

The programme is funded by the Swedish International Development Authority (SIDA), and will make available funding to energy companies in Kenya, incentivising them to reach more energy-deprived households and significantly increase their access to clean energy.
The RBF projects are expected to be implemented over a 30-month period running from July 2021 to December 2023.
Under the programme, the maximum award per company at the time of contracting is US$500,000. However, a flexible reallocation system will allow companies that exceed their milestone targets with a possibility of an increase up to US$1 million.

AECF is a leading development finance firm, which supports businesses to innovate and leverage on investments. The company further stated that the programme will help to improve access to clean and affordable energy given that as of June 2019, 4.1 million people in Kenya live with improved energy access and 3.5 million still without power.

Fund off-grid Kenya

What Are The Requirements For Selection?

To qualify, companies must be operating in Kenya (need not be 100% Kenyan-owned). It must also be privately owned, legally registered and have a physical presence in Kenya and must have been effectively marketing their products or services in Kenya for at least two years.

How to Apply

To apply for support, please go to www.aecfafrica.org/RBF and click on the “Apply” button to register on AECF’s secure online application platform. You will be expected to fill out an application form to determine your eligibility against the set criteria (more details in term sheet). Applications will be accepted between 8 December 2020 and 26 January 2021. The application window closes at 11:59 pm (EAT) on 26 January 2021.

To know more, click here.

Charles Rapulu Udoh

Charles Rapulu Udoh is a Lagos-based lawyer who has advised startups across Africa on issues such as startup funding (Venture Capital, Debt financing, private equity, angel investing etc), taxation, strategies, etc. He also has special focus on the protection of business or brands’ intellectual property rights ( such as trademark, patent or design) across Africa and other foreign jurisdictions.
He is well versed on issues of ESG (sustainability), media and entertainment law, corporate finance and governance.
He is also an award-winning writer