The Powering Renewable Energy Opportunities (PREO) initiative has announced its largest funding round to date, awarding Sh639 million (€4.26 million) to 22 clean technology companies across sub-Saharan Africa. This funding follows a record-breaking 613 applications, reflecting a heightened demand for renewable energy solutions on the continent.
Supported by UK aid through the Transforming Energy Access platform and the IKEA Foundation, the program is implemented by the Carbon Trust and Energy 4 Impact (part of Mercy Corps). The latest round attracted over €115 million in funding requests, with entrepreneurs committing an additional Sh11 billion (€73 million) in co-financing.
The selected projects span various sectors, including solar-powered food processing, water access, electric mobility, digital platforms, and clean cooking. Grants range from Sh15.2 million (€100,000) to nearly Sh45.6 million (€300,000), with project durations of 12 to 24 months.
Notably, eight projects focus on reducing post-harvest losses and enhancing food value chains. In Kenya, Agsol will deploy solar-powered grain mills using a pay-as-you-go model, while Synnefa Green will offer solar-powered dryers with digital tracking tools. In Uganda and Nigeria, women-led companies Novel Farm and Green Eden Farms are introducing solar cooling systems and cold storage hubs for smallholder farmers.
Five projects also target climate-smart water solutions. In Kenya, startups like Irri Hub Ke and Delish & Nutri will implement solar irrigation systems with flexible repayment plans. Nigeria’s Spunvertek plans to provide solar pumps through lease-to-own models, while Kijani Testing will establish a quality assurance facility for solar pump users.
In the e-mobility sector, five companies are advancing electric motorcycle and three-wheeler solutions. Kenya’s Kiri EV aims to support boda boda riders with credit and charging infrastructure, and Stima Mobility is piloting a battery-swapping network. Ethiopia’s S&Y Electrical Material will focus on the local assembly of electric tuk-tuks.
Additionally, innovations in digital platforms and clean cooking have been selected. Kenya’s GreenBay Market will launch a marketplace for certified, energy-efficient appliances, while Feion Green Ventures will provide electric cookers to institutions through a cooking-as-a-service model.
Richa Goyal from the IKEA Foundation remarked that the projects reflect “innovative, climate-smart solutions that improve incomes and accelerate the transition to a more sustainable future.” UK Special Representative for Climate Rachel Kyte emphasized the economic potential of the clean energy transition, stating, “Through PREO, we’re backing local innovators to deliver the clean energy solutions their communities need.”
These selected projects aim to build scalable business models that drive rural development, support livelihoods, and attract private investment into Africa’s growing clean energy sector.
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