C.D. Glin - Afrikan Heroes

Nigerian Cleantech Startups May Apply For The 2021 Edition Of $2m Off-Grid Energy Challenge.

January 18, 2021

The U.S. African Development Foundation (USADF) and All On has announced the official opening of the 2021 Nigeria Off-Grid Energy Challenge, which will provide up to $100,000 in blended finance per enterprise for successful applicants. The Rockefeller Foundation is also providing support via the All On Hub for the program whose application window opens on January 15 and closes on February 28, 2021.

“We are proud to be partnering again with All On for the fourth edition of an initiative that is fostering the growth of local enterprises committed to bringing power and connectivity to underserved Nigerians,” said C.D. Glin, President & CEO, USADF. “This partnership pioneered a blended finance model that combines grant capital and private sector investment funding that increases access to power and ultimately impacts lives.”

“We are particularly pleased that in spite of a remarkably difficult year in which tough business decisions are being made, the Challenge has been expanded for an additional two years till 2022,” said Wiebe Boer, CEO, All On. “We look forward to more innovative solutions from entrepreneurs in the Nigerian off grid sector.”

Here Is What You Need To Know

The annual Challenge is a multi-year partnership that identifies and helps scale innovative off-grid solutions to “power up” unserved and underserved areas in Nigeria. It was established by USADF, a founding member of the United States Power Africa initiative and an independent U.S. Government agency established by Congress to support and invest in African-owned and led enterprises and All On, a Nigerian impact investing company seeded by Shell, that invests in off-grid energy solution providers in Nigeria.
Entering the fourth year of the recently expanded five-year partnership, the parties will jointly provide funding to 100% African-owned and operated small and medium enterprises that improve energy access through off-grid energy solutions spanning solar, wind, hydro, biomass, and gas technologies.
The Challenge has awarded funds to 24 companies to date, totaling $2.4 million in blended finance. This year’s $2,000,000 Challenge will provide up to $100,000 per award for up to 20 enterprises.
The enterprises may be developers of their own technology and/or acquiring and implementing technologies developed elsewhere. All applicants must be legally registered in Nigeria, demonstrate the capacity to track and manage project resources, and operate in good standing with the local governments in their areas of operation.
Up to $50,000 will be provided in the form of convertible debt from All On along with up to $50,000 in grant capital from USADF for each selected company.
Participants will be selected based on their demonstrated abilities to increase sustainable energy access, specifically off-grid solutions, and extend the delivery of electrification to unserved and under-served communities throughout Nigeria.

Nigeria Off-Grid Energy Challenge

What Are Required Of Startups?

Registered Business: Must be registered with the Corporate Affairs Commission
Market Potential: Business concept that has existing instances of deployment and/or has been deployed successfully in multiple areas; as well as an identified customer base
Climate/Social Impact: Differentiated solution providing greater access and productive uses as well as notable climate impact benefit
Innovation or Technology Potential: Product type is innovative and differentiated from existing products
Qualified Management Team: Experienced team with complimentary or supplementary skill sets and/or experience to successfully develop concept; gender diversity encouraged

“These unprecedented times of crisis have shown us how critical innovation is to solving global challenges. The Rockefeller Foundation is proud to continue its support to All in identifying and nurturing innovative entrepreneurs and businesses that are addressing Africa’s energy poverty by scaling Nigeria’s off grid sector,” said Joseph Nganga, the Executive Director of The Rockefeller Foundation’s Power & Climate initiative in Africa.

USAID’s Power Africa Country Lead David Rogers added:

“We’re extremely excited to partner with the Challenge. Through the Nigeria Power Sector Program, we are supporting finalists with financial modeling to advance our shared goal of bringing clean and reliable electricity to Nigerian households and businesses.”

How To Apply

To access the application form, visit: www.all-on.com/the-all-on-hub or www.usadf.gov/apply

All general inquiries and applications should be sent to: OffGridChallengeNigeria2021@usadf.gov

Application closes on February 28 , 2021.

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

New $4.5m Zero-Interest Loan Program For African Startups And SMEs From ESP

August 25, 2020

Entrepreneurial Solutions Partners (ESP), in partnership with the U.S. African Development Foundation (USADF) and close collaboration with Ecobank, has launched the African Resilience Initiative for Entrepreneurs (ARIE) — a pan-african initiative to provide financial and technical assistance to 300 entrepreneurs (approximately 70% of whom will be women-owned) impacted by COVID-19.

“At ESP, we fully comprehend that SMEs are the engine of economic growth and development in every country. Since its inception 10 years ago, ESP has developed and implemented a variety of customized programs specifically geared towards supporting SMEs in more than 15 African countries. Through our Pan African reach, we understand that African SMEs are more vulnerable than ever in the new Covid-19 reality, which is the impetus behind the ARIE program. We are delighted to offer this initiative to help them navigate this pandemic while continuing to grow their business, be a source of employment and improvement in the welfare of people in their communities,” said Eric Kacou.

Here Is What You Need To Know

The program will support 300 high-performing entrepreneurs with up to 150,000 USD each in zero-interest loans, and will provide technical support to spur Africa’s economic recovery.
ARIE will support entrepreneurs from seven countries: Ghana, Ivory Coast, Kenya, Nigeria, Rwanda, Senegal, and Uganda, and in the following sectors: Agri-Business, Manufacturing, Energy and Renewables, and Essential Services. Each SME selected will have the opportunity to receive up to 150,000 USD per firm, disbursed as an interest-free loan, and will receive technical support from experts across the continent.

“Entrepreneurs are an important part of the ecosystem; they create markets where there often are none and help pave the way for future economic development,” USADF President and CEO C.D. Glin stated. “Now more than ever we need to invest in the next generation of African-led ventures and empower them with the tools they need to transform their businesses, create jobs, increase incomes, attract private investment, and impact their communities.”

What Startups And SMEs Stand To Gain From The Partnership

Intelligent Business Financing — In line with ESP ’s drive to provide Intelligent Capital*, The zero-interest loans will be disbursed to leading profitable businesses, providing them with the working capital they need to maintain operations and scale despite the pandemic. Additionally, the ARIE platform will be a repository on a wide range of topics, including access to markets, building human capacity and scaling.

*Josephine Anan-Ankomah, Group Executive, Commercial Banking, Ecobank Group*

“We know the continent, have the platforms and have worked with SMEs variously in the 7 countries where the program will be implemented. We understand the critical role SMEs play in African economies and the imperative for them to access technical and financial support more so now with the impact of COVID-19. Ecobank is particularly pleased with ARIE’s focus on women and youth led businesses which are key to the economic and social development of the continent,” Josephine Anan-Ankomah, Group Executive, Commercial Banking, Ecobank Group commenting on the collaboration stated that the Ecobank Group is delighted to be part of the ARIE Program.

Equipping SMEs with the tools to pivot — Africa’s businesses are as diverse as Africans are, and the immediate and concrete technical support available through the fund will be tailored to their unique needs. Each entrepreneur will be assigned a business advisor that will support them in diagnosing and rethinking their strategy and operational efficiency, and a team of experts that will help them adapt and navigate this present economic reality. By doing this, the ARIE platform will provide African SMEs with the unique opportunities and business exposure that position them to play a meaningful role in Africa’s economic recovery in the years to come.
Connecting African businesses — In an era where Intra-Africa trade is key, the ARIE platform will help SMEs harness opportunities unleashed by the establishment of an African Continental Free Trade Area.
The ARIE platform will help connect African SMEs to potential investors and networks they require to expand their geographical coverage, and will enhance their capacity to trade across borders. These connections will be critical is recouping devastated African economies and jumpstarting economic recovery.

How Startups May Apply

Applications are open till the 25th of September, 2020. Apply here: https://bit.ly/ARIE2020