CEI Africa backs solar mini-grids in Benin

Stichting Clean Energy and Energy Inclusion for Africa (CEI Africa) has, through its Crowdlending Window, finalised a US$1.5mn junior secured loan with Mionwa Generation SA, OnePower’s special purpose vehicle in Benin, in partnership with crowdfunding platform Energise Africa

As part of the same financing round, Energise Africa has secured a further US$970,000 in senior secured debt and plans to raise an additional US$420,000.

Together, the financing totals US$2.9mn and will fund the development of nine solar mini-grid projects in rural areas of Benin. The projects will see the construction of nine solar power plants with a combined installed capacity of 595 kW, supported by 1.7 MWh of battery energy storage. Once commissioned, the mini-grids are expected to supply clean, dependable electricity to around 4,700 households and businesses, replacing more polluting energy sources while providing continuous power.

In parallel with the debt financing, CEI Africa has committed up to US$972,000in results-based financing grant support. Additional results-based funding has been secured from the Universal Energy Facility (UEF), a multi-donor programme managed by Sustainable Energy for All (SEforALL), which has allocated a total of US$1.66mn in incentives across five project sites.

“This financing marks a major milestone for the OnePower Mionwa portfolio in Benin. By combining CEI Africa’s and UEF’s RBF’s with debt from CEI Africa and Energise Africa, we are able to bring commercially viable, sustainable, utility-grade solar mini-grids to communities that have historically been left behind by the central grid” said Matthew Orosz, CEO of One Power Group.