Renewvia Energy gets US$1m funding from Social Investment Managers and Advisors for off-grid power in Kenya

KENYA – Green off-grid provider Renewvia Energy Corporation, has signed an agreement with Social Investment Managers and Advisors LLC (Sima) for US$1 million in funding to enable the electrification of several rural communities via solar off-grid in Kenya.

The solar energy provider is supported by SIMA Off Grid Solar and Financial Access Senior Debt Fund I, B.V.

The fund is a US$90 million, five-year fund that finances decentralised solar system providers in sub-Saharan Africa and South Asia.

Renewvia’s funding will go towards the expansion of access to electricity on the islands of Ringiti and Ndeda in Lake Victoria.

The company already operates two solar mini grids there and Sima’s funding will extend electricity access to an additional 2,200 people and small businesses on the two islands and Renewvia expects to complete the connection work by the end of June 2021.

Sima’s funding will also enable the electrification of the rural communities of Lomekwi, Nakukulas, Locheremoit, Kagintan, Kori, and Lorengelup in Turkana County before the end of the year 2021 with the investment fund manager estimating that its funding will provide access to electricity for more than 7,500 people, as well as small businesses in these communities in Turkana County. 

“We are delighted to partner with Sima at a time when Renewvia is significantly expanding its portfolio in Kenya and Nigeria to advance access to electricity, particularly in the most remote locations,” says Trey Jarrard, Renewvia‘s Chief Executive Officer.

In recent months, the clean energy provider has stepped up its activities in Kenya, including the commissioning of three solar mini grids in Ngurunit (27.6 kWp), Kalobeyei (20 kWp) and Kalobeyei refugee camp (60 kWp).

“We are delighted to partner with Sima at a time when Renewvia is significantly expanding its portfolio in Kenya and Nigeria to advance access to electricity, particularly in the most remote locations” 

Trey Jarrard – CEO, Renewvia Energy Corporation

These installations with electricity storage systems were built in collaboration with Energising Development (EnDev), as part of an electricity access partnership funded by six European countries, including the Netherlands, Germany, Norway, the UK, Switzerland, and Sweden.

EnDev supported the electrification project through a results-based grant (RBF) from the Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ), the German international cooperation agency.

According to theInternational Energy Agency (IEA), 320 million people have gained access to electricity between 2010 and 2018. However, the global population’s growth implies that more and more people have no access to electricity in Africa. They were 590 millionat the end of 2018.

Three main solutions exist to power sustainably those populations: grid extension, individual systems, and mini grids. The economical choice between those solutions is mainly linked to the distance to the grid, to the density of the population and to the level of service.

Grid extensionis the most classical answer but has several issues and can be extremely expensive for remote communities and does not necessarily offer a good quality of service (case of “bad-grid”).

In its latest Africa Energy Outlook, the IEA considers grid extension as the least-cost option only for 45% of the population.

Renewvia Energy Corporation is a top 500 Global Solar Developer headquartered in the Atlanta, Ga.

It designs, installs, owns and operates commercial and community solar power systems and provides a complete range of solar energy solutions including turnkey solar installation, integrated financing and solar consulting services

Liked this article? Subscribe to DealStreet Africa News, our regular email newsletter with the latest news, deals and insights from Africa’s business, economy and more. SUBSCRIBE HERE

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.