The U.S. African Development Foundation (USADF) and All On, on Thursday, announced the creation of a $3 million partnership with the goal of expanding access to energy for underserved and unserved markets in Nigeria.
Over the next 3 years, both parties will jointly provide funding for up to 30 Nigerian small and medium enterprises that improve energy access through off-grid energy solutions spanning solar, wind, hydro, biomass and gas technologies.
USADF will provide grant funding to the selected companies while All On will provide an equal amount of impact capital in the form of convertible loans and/or equity.
According to All On CEO Wiebe Boer, “This partnership with USADF to provide blended capital for Nigerian owned off grid energy companies is an innovative approach towards investing in Nigerian solutions to the country’s energy gap. We look forward to working with USADF to invest and support the growth of Nigeria’s future off grid energy sector leaders.”
Since 2013, USADF off-grid energy investments have already turned on the lights for over 120,000 people in hard-to-reach areas. USADF has invested over $7.5 million in 75 energy entrepreneurs in nine countries to bring affordable and renewable energy to rural communities across Africa. USADF is a key partner in Power Africa, a U.S. Government-led initiative aimed at doubling the number of people in Sub-Saharan Africa who have access to electricity.
“Public-private partnerships are the cornerstone of the Power Africa model, and we are pleased to support USADF and All On to foster the growth of energy enterprises to bring reliable electricity to more Nigerians,” says Andrew M. Herscowitz, Power Africa Coordinator.
All On is an impact investing company that works with partners to increase access to commercial energy products and services for under-served and unserved markets in Nigeria, with the Niger Delta as the priority region of focus. It seeks both financial returns and social impact to provide or improve access-to-energy for millions of households and SMEs.
The company recently announced their first set of debt and equity investments.