Green People’s Energy coaches 20 entrepreneurs with the aim of helping them find suitable investors for their renewable energy projects. To do this, they need a good business plan and a convincingly structured project.
Lack of financing prevents many initiatives and companies from starting their renewable energy projects. One reason for this is that many employees of banks and investment companies know too little about the potential of this new market. Also, most investments are concentrated on only a few large recipients.
According to GOGLA, the trade association of the off-grid industry, the ten largest recipients received around 80 percent of all investments in the renewable energy off-grid sector in 2020. Especially smaller companies that want to realise projects for the productive use of renewable energy in rural areas have a hard time meeting the evaluation criteria of potential investors. Without coaching, this is almost impossible for many.
To overcome this obstacle, Green People’s Energy Senegal (GBE) has launched a coaching programme for entrepreneurs who want to invest in the productive use of renewable energy in Senegal. GBE Senegal has identified twenty project developers through a call for tenders. Financial experts from GET.invest Finance Catalyst and Cabinet Kof are now accompanying the twenty companies on their way on behalf of GBE.
Those selected include renewable energy companies, agricultural cooperatives, economic interest groups from fisheries and agriculture, small entrepreneurs and farmers, as well as a microfinance institution and a plastic recycling company. They all want to invest in solar systems, pumps, cooling elements, mills and dryers so that their businesses can grow. Their financial needs vary between just under 7,000 and 500,000 euros.
The coaches of GET.invest Finance Catalyst and Cabinet Kof first started an individual diagnosis of each company and defined the support needs of each enterprise. Meanwhile, the coaches support the project developers to improve their business and investment plans. Depending on the needs, project developers and coaches also jointly analyse and improve commercial, technical, organisational and financial aspects of the project. The external experts also support the projects in applying for suitable financing. The first companies are already working with their coaches towards a concrete application for funding.
GBE also promotes the training of bankers
In order to improve the range of financing options for renewable energy projects in Senegal, GBE Senegal also supports awareness-raising and training of bank and investment house staff in green financing.
For more information, see the articles:
Discussing the financing of renewable energy projects for productive use in Senegal and Green Banking Training