Africa Minigrids Program

Africa Minigrids Program

The Africa Minigrids Program (AMP) works to enhance access to clean energy across Sub-Saharan Africa. Currently active in 21 countries, AMP helps incentivize scaled-up private sector investments in emerging solar minigrid markets. Ultimately, the initiative seeks to transform the lives of millions of people by reshaping the renewable energy landscape on the continent.

AMP’s core objective is to increase the financial viability of clean energy and encourage private sector participation in solar minigrids markets. To do that, the programme puts forward cost-reduction strategies for soft costs, hardware and financing costs, and promotes innovative business models. By boosting capital flows to the sector, the programme ultimately benefits customers through lower tariffs for electricity and expanded access and services. The possibilities for entrepreneurship and business expansion are significant.

Solar photovoltaic (PV) minigrids are recognized as the most cost-effective electrification method for 380 million people in Sub-Saharan Africa, which account for around a third of the population in the entire region. They provide a reliable and sustainable power supply and offer a practical alternative to traditional grid expansion and standalone systems, allowing for rapid deployment that helps foster local socioeconomic development.

Africa Minigrids Program

However, scaling up solar minigrids faces several challenges, including a shortage of bankable projects, limited financial capacity among rural customers, and institutional constraints within governments and financial entities. AMP works to overcome these challenges by collaborating with governments to strengthen supportive policies and regulatory frameworks, thereby creating a supportive ecosystem for minigrid developers and financiers.

Over 10 years, AMP is projected to prevent approximately 1 million tonnes of carbon dioxide-equivalent greenhouse gas emissions from being released and directly benefit 764,000 people. Its broader impact will be measured by its capacity to catalyze private investments and commercial financing for the expansion of renewable energy solutions across the continent that could ultimately provide sustainable energy to more than half of the people still living without electricity in the region.

This comprehensive program is a collaborative effort involving multiple partners. With funding primarily from the Global Environment Facility (GEF), and being implemented by UNDP, alongside RMI and the African Development Bank (AfDB), it connects a wide network of minigrid stakeholders in Africa and beyond. Through these partnerships, AMP leverages collective expertise and resources to achieve its transformative goals.

Partners

GEF
RMI
African Development Bank (AfDB) logo

Donors

GEF

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