Call for Project Proposals in the Decentralized Renewable Energy Sector for Facilitating Access to Finance
The GBE Benin project facilitates access to finance for local developers of decentralised renewable energy projects through technical assistance and connection with business development service providers and financial institutions.
What is GBE?
Grüne Bürgerenergie (GBE, Green People’s Energy for Africa in English), implemented by GIZ, is a project that encourages private investment in the decentralised renewable energy sector with the aim of contributing to rural economic development. For more information on the project, visit the project website: https://gruene-buergerenergie.org/countries/benin/.
In order to support renewable energy project entrepreneurs in mobilising investments, GBE works in partnership with business development centres with proven experience in entrepreneurial and managerial coaching, as well as in liaising with financial institutions.
Facilitating access to finance
This call for projects in the renewable energy sector aims to collect the best project proposals from local project developers seeking funding. Following the analysis of proposals received, GBE will connect each selected company with a business development centre, which will provide the assigned project developer with coaching, capacity building and assistance in drafting its business plan and funding applications, in line with the requirements of financial institutions and investors. Moreover, business development centres will support companies in liaising with local and international financial institutions, crowdfunding platforms and investors.
GBE Benin will cover 100% of the costs linked to the services provided by business development centres to the selected project developers. It is important to note that neither GBE nor the business development centres can offer any guarantees for the granting of credit but will only mediate to facilitate access to credit or investment.
Furthermore, project developers submitting larger, more advanced, high-potential proposals might benefit from the services provided by GET.invest Finance Catalyst.
What projects are eligible?
All projects related to decentralised renewable energy and with an impact on rural economic development are eligible to apply.
The project must:
- Be carried out over a period of maximum 36 months;
- Apply for credit or investment not exceeding 150% (i.e. 1.5 times) of the developer’s annual turnover in 2020;
- Have a strong potential for growth and creation of added value with a net profit margin not exceeding 50% of the developer’s annual turnover in 2020;
- Feature a personal contribution from the project developer of at least 20% of the overall project cost.
Apart from these indicators, applicants must prove that they do not have any outstanding credit with a financial institution and must declare it if they do.
Who can apply?
This call for project proposals is open to any company with a project related to decentralised renewable energy. Companies interested in this call for project proposals must meet the following conditions:
- Propose a project related to decentralised renewable energy;
- Have at least one (01) year of existence;
- Be registered in the Registre de Commerce et du Crédit Mobilier (RCCM) or have the status of entrepreneur;
- Be available, committed and motivated to benefit from the services of the business development centres;
The companies of selected proposals must be able to provide all financial documents needed for the purposes of facilitating their access to financing (balance sheet, etc.).
How to participate in the project?
The application form to be filled in as well as the list of the other key documents to be submitted are available through GBE Benin. To receive them, please email firstname.lastname@example.org and email@example.com requesting the documents for the call for project proposals.
Companies that meet the above conditions may submit their completed documents to GBE only electronically to firstname.lastname@example.org and email@example.com by 31 October 2021. After this deadline, no further applications will be accepted.
The documents to be provided for the call for applications are:
- Completed application form;
- Budget of the project;
- Proof of existence of the company;
- Proof of annual turnover for the last three years. Companies with less than three years of existence will provide proof of their turnover for one or two years as the case may be;
After an analysis of the project proposals, GBE will reach out to the selected project developers for bilateral discussions.