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CommunicationPublished on 26 September 2025

Powering Africa’s Green Growth: Advancing Productive Energy Use

Without reliable electricity, millions in Sub-Saharan Africa face limited opportunities. Switzerland makes an important contribution to sustainable growth in the region by backing CEI Africa, helping to scale productive use of energy in underserved communities – bringing solar solutions that open markets, create green jobs, and power resilient communities.

A solar power plant on barren land.

In the remote north of Kenya, where the desert meets the expansive shores of Lake Turkana, fishermen work under the blazing sun to haul in Tilapia and Nile perch. Known locally as Anam Ka’alakol, the “sea of many fish”, the lake has long sustained communities in the region. Yet in the past, much of the daily catch spoiled within hours due to a lack of refrigeration, leading to income losses and health risks. Today, with support from Switzerland, solar-powered freezers are changing that reality – keeping fish fresh, creating jobs, supporting local livelihoods, and opening access to new markets.

From Energy Access to Economic Opportunity

Over 600 million people in Sub-Saharan Africa, about 53% of the region’s population, live without reliable electricity, affecting health and safety, and limiting access to essential services. Enabling access to energy can be transformative beyond basic needs: productive use of energy (PUE), helps power income-generating activities and build more resilient communities in the long term. Examples include solar-powered irrigation, cold storage, and small-scale manufacturing, all of which help communities move from energy access to economic opportunity.

PUE brings benefits to everyone: households and businesses gain reliable power to grow and improve living conditions, electricity providers secure a steady income, and investors see both social impact and a sustainable business case.

Despite their strong impact potential, many energy entrepreneurs struggle to secure the financing needed to grow. In this context, the Clean Energy and Energy Inclusion Africa Foundation (CEI Africa) was established in 2021 by KfW on behalf of Germany’s Federal Ministry for Economic Cooperation and Development. To help close this gap, CEI is giving small and medium-sized energy companies across Sub-Saharan Africa the tools and support they need. This includes crowdfunding, grants, and loans, along with tailored support to help companies grow. Financial support is provided on the condition that companies deliver measurable social and economic impact.

Rewarding Impact, Powering Growth

CEI Africa provides grants to energy companies through Social Impact Incentives (SIINC). This instrument rewards the successful implementation and measurable impact of PUE solutions. The offering is complemented by technical assistance and so-called forgivable loans – loans, which do not need to be repaid if the company achieves certain goals. Both are designed to help enterprises meet their targets, qualify for awarded grants, and contribute to sustainable, inclusive growth.

Turning Swiss Support into Sustainable Social Impact

In 2022, Switzerland, through SDC, joined KfW as a contributor to CEI Africa with an original CHF 5 million, and strengthened its commitment in 2025 with an additional CHF 4 million. Switzerland’s support focuses on bringing productive energy solutions – like solar irrigation and cold storage – more quickly to communities that need them most.

With support from SDC, CEI Africa implemented two calls for proposals, awarding USD 4.5 million in grants to 24 companies across seven countries. Together, these companies are expected to roll out about10,000 PUE technologies, reaching an estimated 260,000 people. Deployment is already underway, and the first results are being verified. A third call, which closed in September 2025, is expected to nearly double this impact.

For Switzerland, supporting inclusive energy access is both a humanitarian commitment and a strategic investment. It builds a foundation for farther-reaching change. It is a climate friendly solution that enables the productive use of clean and affordable energy and thus creates green jobs in local enterprises. By backing CEI Africa, Switzerland helps reduce poverty and build resilient and inclusive economies – an important step towards a more sustainable future.

What are Social Impact Incentives (SIINC)?

Social Impact Incentives (SIINC) is an innovative financing model co-developed by the Swiss Agency for Development and Cooperation (SDC) and Roots of Impact.

SIINC provides grants to enterprises for achieving measurable social outcomes, once impact is verified. Such outcomes include higher incomes for families, improved access to clean energy, or women’s economic empowerment. By linking financial rewards directly to results, SIINC reduces investment risk, makes enterprises more attractive to investors, and encourages them to scale solutions that deliver lasting benefits to communities. This approach ensures that public funds drive tangible social change while fostering sustainable business growth.

Contact

Swiss Agency for Development and Cooperation (SDC)
Eichenweg 5
3003 Bern