Renewable Energy and Adaptation to Climate Technologies (REACT) window is demonstrating how renewable energy technologies and businesses have the potential to reach Africa’s rural communities. Limited access to sources of energy, (especially in rural areas) continues to undermine the productivity of households and businesses, limit growth, experience high emissions and deteriorating living standards. Climate change has the potential to reduce agricultural yields, increase water scarcity and the frequency of extreme weather. REACT has shown that private sector innovation has the potential to reach people in ways that large-scale government investment in grid extension and climate adaptation infrastructure struggle to deliver.
In six years, REACT is worth US $161 million of investors commitment and invested in 77 companies implementing innovative business models that provide increased access to clean energy, financial services and climate smart solutions for the rural poor across sub Saharan Africa.
What areas does AECF support?
Access to low cost sources of renewable energy: This includes cost effective renewable power, commercially viable renewable fuels and other clean energy alternatives;
Technology for Climate Change Adaptation: The emphasis is on products and services that help rural people and smallholder farmers adapt to climate change;
Increased access to end user financing for clean energy: End user financing that allows customers to pay for clean energy assets in affordable increments is a key factor in the rapid uptake of off-grid solar home systems and other clean energy products (e.g. cook stoves).
What technologies and business models does AECF invest in?
Off-grid solar and micro solar PV home systems, for household lighting and charge stations.
Mini and micro grids power supply solutions.
Power generation from renewable energy to complement grid supply, on a scale of less than 15 MW (through biomass and small hydro plants)
Bioenergy - including biogas, alternatives to charcoal and conventional cook stoves
Agribusiness: “climate smart” interventions in arid and semi-arid lands.