PowerGen Renewable Energy [1], in collaboration with leading international investors, has launched a scalable renewable energy platform aimed at deploying 120 MW of renewable power and battery energy storage solutions across Africa. The initiative is poised to provide clean and reliable electricity to underserved communities, transforming socio-economic conditions across the continent.
The platform is supported by a coalition of global partners, including the Private Infrastructure Development Group (PIDG), the Danish Investment Fund for Developing Countries (IFU), EDFI Management Company through the EU-funded ElectriFi, and the African Development Bank’s Sustainable Energy Fund for Africa (SEFA). PIDG, through its investment arm InfraCo, has provided anchor funding, leveraging concessional capital for technical assistance.
Building on PowerGen’s 13 years of experience developing and operating distributed renewable energy solutions in Africa, the funds will support the deployment of a 120MW portfolio of renewable mini-/metro-grids and commercial and industrial (C&I) power solutions, including battery energy storage. Initially focused on Nigeria, Sierra Leone, and the Democratic Republic of the Congo (DRC), the platform will be expanded within the wider region, leveraging PowerGen’s deep pipeline with local developer and engineering, procurement, and construction (EPC) partnerships.
Dr. Daniel Schroth, Director of Renewable Energy and Energy Efficiency at the African Development Bank, emphasized the initiative’s alignment with Mission 300, the continent-wide effort to electrify 300 million Africans by 2030 “This project exemplifies how catalytic financing can attract private investment, bringing electricity to underserved areas while fostering economic growth and job creation.”
The platform aims to connect over 68,000 households and reduce energy costs for 7,000 businesses, directly impacting over 300,000 people. By adopting a platform approach, the initiative seeks to streamline the deployment of mini-grids and commercial/industrial (C&I) solutions, integrating innovative off-grid technologies and battery storage to address power gaps in remote areas.
Claire Jarratt, PIDG’s Head of Investment Management for InfraCo, said: “PowerGen has proven its ability to deliver high-quality distributed energy infrastructure. This platform has the potential to be truly transformational for sub-Saharan Africa.”
Aaron Cheng, CEO of PowerGen, remarked “This marks a transformational next chapter for PowerGen. With the support of our partners, we are scaling efforts to power Africa’s energy transition and drive inclusive economic growth.”
The first closing of the transaction in January 2025 will catalyze further equity and debt financing later this year. This funding will support expanded infrastructure investments, boosting economic resilience and mitigating climate change.
Sources:
[1] African Development Bank, PowerGen, and Partners Launch Transformative Renewable Energy Platform to Scale Clean Energy Access Across the Continent