AECF invests in solar energy projects in Africa
According to African Review, the Africa Enterprise Challenge Fund (AECF) is investing $300,000in a green energy company BBOXX for solar energy projects across the African continent. BBOXX designs, manufactures and distributes solar powered battery packs to the developing world. The firm is expected to use AECF’s investment to develop solar energy payment plans for consumers in Africa.
According to industry sources, AECF is a US$205mn fund, dedicated to fostering private sector innovation in the developing world. The Renewable Energy and Adaptation to Climate Technologies (REACT) funding window, a subsidiary of AECF, is designed to catalyse private sector investment and innovation in low cost, clean energy and climate change technologies.
In order to qualify for the grant, companies must exhibit potential to transform the way in which clean energy is generated and provided to rural businesses and households.
BBOXX, which eliminates the need for generators by providing reliable access to solar electricity, fulfils this criterion, sources added.
Hugh Scott, director at AECF, said, “AECF is excited to have BBOXX as one of its portfolio companies in the REACT funding window. BBOXX has a solution that is innovative in its wide offering of innovative ‘plug and play’ solar energy boxes combined with a promising distribution structure that has great potential as a rural electricity solution and for achieving a strong social development impact.”
Mansoor Hamayun, head of global strategy for BBOXX, added, “We do not underestimate the value of this money. One of the requirements of the grant was that we match it dollar-for-dollar with internally generated funds. Consequently the following year will see BBOXX invest US$600,000 in the implementation of payment plans and an improved distribution network. With this grant we hope to remove access to finance as a barrier to solar uptake.”
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Source: African Review