USADF Off-Grid Energy Challenge

Deadline: 15-Oct-22

USADF is excited to request proposals for the USADF Off-Grid Energy Challenge.

Projects are to be focused on increasing sustainable energy access, specifically off-grid solutions, and extending the delivery of electrification to unserved and underserved communities in Africa. The type of clean energy technologies to be proposed may include, but are not limited to, solar, hydro, wind, biomass, biogas, gas, energy storage, and hybrid systems.

Categories

• Project categories that will be considered:
  • Productive use:
    • Off-grid energy solutions for mechanization of processes such as grain milling, oil expelling, refrigeration, transport, etc. Solutions are to explain clearly how they will be commercially viable. It is expected that use of the power will address (a) business solution(s) that will generate ongoing revenue and profits to sustain the enterprise. This must be clearly explained in the proposal.
  • Energy nexus:
    • Off-grid energy solutions for cross-sector areas like agriculture, healthcare, education, ICT, construction, manufacturing, etc.
  • Mini- and micro-grids:
    • Small-scale power generation systems which provide an alternative to, or an enhancement of, national/regional grid connected electric transmission.
  • Stand-alone and Home systems:
    • Off-grid energy systems installed directly in the homes and/or businesses of unserved or underserved consumers, which supply energy directly to communities currently (and in the foreseeable future) lacking access to energy.
    • Focus must be on distribution systems which are scalable, replicable, and affordable.
  • Innovations:
    • Proposals need not necessarily be for power generation only, they may also include provision of innovative metering, payment systems or other enabling technology. If it is an innovation, then a simple and clear explanation must be provided to convey why the innovation is important and what it will do for the sector or the population.

Funding Information

• Grant capital up to $250,000 from USADF.

Results

• The Off-Grid Energy Challenge is an initiative of the United States African Development Foundation (USADF) designed to achieve the following results:
  • To increase electric power generation to unserved and underserved African communities through sustainable business model solutions
  • To expand energy access through off-grid solutions such as home systems and micro- or mini-grids
  • To increase access to electricity for household and productive uses – while this may include power to meet household consumer needs, emphasis is given to the delivery of power to productive commercial and industrial activities including agricultural production and processing, commercial enterprises, industrial enterprises, healthcare facilities and others
  • To increase women participation in the energy sector by supporting women-owned and managed energy enterprises.

Eligibility Criteria

• USADF will consider proposals from 100% African-owned and managed companies. Passports or other government-issued IDs of all owners and senior managers must be submitted with the applications. If the applying entity is owned wholly or in part by another entity, passports or other government-issues IDs of its owners must also be provided. The applying entity must be a for-profit enterprise and must not be governmentowned, operated, or affiliated in any way. Applicants may be developers of their own technology and/or may be acquiring and implementing technology developed elsewhere. Applicants need to be legally registered in Africa and demonstrate the capacity to track and manage the project resources and operate in good standing with the local governments in which they operate.
• To be considered for the Challenge, applicants must be 100% African-owned and -managed private companies registered and operating in any of USADF’s operating countries in Africa (Benin, Burkina Faso, Burundi, Côte d’Ivoire, Democratic Republic of Congo, Guinea, Kenya, Liberia, Malawi, Mali, Mauritania, Niger, Nigeria, Rwanda, Senegal, Somalia, South Sudan, Tanzania, Uganda, Zambia, and Zimbabwe).
• Applications will only be considered if they:
  • Are 100% African-owned and passports or other government-issued IDs showing citizenship are submitted
    • All shareholders, members of the board and senior management must be citizens of a subSaharan African country
  • Express clearly how they will benefit marginalized, grassroots people in Africa, including showing demonstrable positive impacts for female beneficiaries
  • Express clearly how they will achieve profitability and sustainable growth
  • Are fully and legally registered in Africa and the registration is submitted
  • Document adequate expertise in the field they are proposing or document how they will acquire the necessary expertise
  • Clearly document how they will they use USADF grant capital to carry out their concept.
• Winning proposals must:
  • Further develop, scale up or extend use of proven technologies for off–grid energy in Africa
  • Benefit marginalized, low-income rural, urban, or peri-urban populations currently underserved by utility companies, ideally with a focus on benefits to women and girls
  • Demonstrate financial sustainability or the potential for financial sustainability. The proposed investment period must include at least three months of revenue from sales of energy/electricity generated
  • Demonstrate a proven track record of experience or have project sponsors or partners with a proven track record of related experience
  • Leveraged funds from other private sector and donor sources are encouraged
  • Demonstrate clearly whether and how many new connections will be added, as well as potential for future replication. A “new connection” is defined as new mini-grid connection or home system installed
  • Proposals leveraging wind, hydro, biomass, and gas as the energy source are greatly encouraged
  • Productive use applications in the agriculture and agri-business, commercial, and industrial sectors are highly encouraged
  • Women-owned or -managed business is a plus.

For more information, visit https://www.usadf.gov/apply

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