The Innovation Fund, a US$1.2 million facility, is a component of Renewable Energy and Adaptation to Climate Technologies (REACT), that aims to catalyze the private sector to develop new or scale innovative and catalytic approaches to address the low access to affordable and efficient technologies.
Through the fund, technical and financial support will be provided to existing enterprises that are sufficiently developed to address affordability and accessibility of clean cooking, and productive use energy technologies.
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.
The Fund builds on AECF’s Renewable Energy and Adaptation to Climate Technologies (REACT) initiative, which was launched to support the private sector to develop and expand its clean energy technologies to Africa’s rural communities.
Burkina Faso, Ethiopia, Kenya, Liberia, Mali, Mozambique, and Zimbabwe.
There will be a 2- step application process:
To apply for support, please click on the “Apply” button and register on our secure online application platform. You will be expected to fill out an application form to determine your eligibility against the set criteria prescribed in the term sheet.
If you seek further clarifications regarding the application, please email innovation@aecfafrica.org
The fund supports the testing of major innovative changes on products or services already existing in the market. It also supports innovations that have gone through a successful prototyping phase.
The fund does not support development of new technologies.
Yes, as long as partnership with a private company is proven. However, the private company must have a direct interest in commercializing the innovation being tested and must be the lead applicant.
The fund only supports clean cooking and productive use solutions.
LPG solutions do not qualify. All cooking solutions must be non-fossil and renewable.
Funding is accessible to both the current REACT SSA-funded companies and those not funded by AECF.
The Innovation Fund is expected to contribute to the overall REACT SSA objective of addressing the climate change challenge, by increasing access to clean energy in the target countries.
The maximum number is yet to be determined but at least 1,000 new customers are targeted to use the newly developed innovative products and services.
The Innovation Fund will support approximately five projects or companies.
Only companies registered and operating in seven of the countries where the REACT SSA programme is being implemented can qualify, that is, Burkina Faso, Ethiopia, Kenya, Liberia, Mali, Mozambique, and Zimbabwe.
Output based activities supported through the Innovation Fund must be completed within 24 months from the time of contracting.
Funding per company is between US$100,000 and US$200,000. However, applications testing innovations that deliberately target low-income, marginalized and / or vulnerable consumers can access up to US$300,000.
The innovation fund will only cover up to 70% of the total project cost. Co-financing of at least 30% of the project cost is expected.
This is a performance-based grant where funding will be disbursed in tranches according to achievement of mutually agreed milestones which must be achieved.
The AECF Competition Team will contact all applicants and inform them of the outcome of the competition.