Bboxx and its partner EDF have secured an €11 million loan from the Off Grid Energy Access Fund (OGEF) managed by Lion’s Head Global Partners Asset Management, enabling them to ramp up their clean electrification delivery in Togo.
The loan will support Bboxx’s expansion in the country to continue distributing solar home systems to last mile customers, with the objective to reach 1.5 million people by 2030. This is the target set by the Government of Togo as part of its National Electrification Strategy to meet the Sustainable Development Goal of affordable, reliable and sustainable energy for all by 2030.
Bboxx have been operating in Togo with EDF since 2018 and this deal marks the latest achievement in their longstanding partnership. In 2019, Bboxx EDF customers received the first ever Government subsidy in Africa for solar energy payments, and to date, the scheme has positively impacted over 300,000 Togolese, providing homes, communities and businesses with access to reliable and clean energy.
The loan from OGEF, a sustainable impact investment fund aimed at providing financing solutions to bring affordable energy access to communities living off grid, demonstrates the key role of the private sector in scaling energy access to low-income households.
Mansoor Hamayun, CEO and Co-Founder of Bboxx, said: “This financing facility will help us to significantly expand our product offering with EDF, widening our distribution network in the country and placing us well on our way to providing 1.5 million Togolese with clean energy by 2030.
“It is encouraging that the private sector is starting to invest more deeply in green initiatives, and we are thankful for the OGEF’s recognition of the critical services and solutions we are delivering. However, when looking at the wider industry, a lot more still needs to be done when it comes to unlocking sustainable financing and innovation. Loans such as these are vital for us to deliver clean solutions in line with the UN’s Sustainable Development Goals, positively transforming lives and unlocking potential through bringing many more people into the digital economy.”
Mrs Valérie Levkov, Senior VP Africa & Middle-East of EDF, added: “It is a great satisfaction to secure this loan that will help us to accelerate our development and contribute to strengthen our position in Togo. Together with Bboxx, we are committed to enhance the access to electricity in the region and to deliver low-carbon energy solutions. It totally echoes with EDF’s purpose that is to build a net zero energy future and drive wellbeing and economic development.”
Alban Deheunynck, Executive Director at Lion’s Head, said: “We are excited to build on our existing partnership with Bboxx following investments in DRC and Rwanda, to expand the financing solutions of OGEF to Togo. Bboxx and EDF have developed the leading off-grid energy utility in Togo, and they have played an essential role in delivering the electrification plan of the Government. We were impressed by the extent of Bboxx EDF’s operations covering the five regions of Togo, and its efficiency in servicing daily, thousands of customers. OGEF’s investment will enable Bboxx EDF to further expand operations and deliver on its mission in bridging the energy access gap in Togo.”