GIZ through Energising Development (EnDev) Rwanda promotes private investment in the energy sector for off-grid electrification through Results-Based Financing. Incentives (in form of subsidies) are awarded to companies that are successful either to increase sales of small solar systems (pico PV) or to develop isolated village grids that are powered by renewable energy sources. The financing mechanism is implemented by Urwego Opportunity Bank on behalf of EnDev Rwanda.

Results-Based Financing is a new financing approach introduced by the UK Department for International Development (DFID) and implemented by Energising Development in several countries, including Rwanda. The idea behind the approach is to reward companies for their previously-agreed and delivered results.

Solar Lamps:

In the case of Rwanda, solar importers are rewarded for selling Lighting Global-certified solar lamps to end-users. Companies enjoy the flexibility of deciding their own approach, while carrying the risk of delivering results. This means that companies need to finance their operations themselves and can only claim support if their operations have produced results, i.e. sales.

Village Grids:

In the case of Rwanda, companies are rewarded for building and operating a village grid. Companies enjoy the flexibility of deciding their own approach, while carrying the risk of delivering results. This means that companies need to pre-finance their operations and can only claim support if their operations have produced results, i.e. a working village grid with paying customers.

For more information about the promotion of village grids and contact details, see
Call for companies – Village Grids

For more information about the promotion of solar lighting and contact details, see
Call for companies – Solar Lighting

Energising Development is an international energy access partnership with projects in 24 countries and is currently financed by six donor countries – the Netherlands, Germany, Norway, Australia, the United Kingdom and Switzerland.