Africa: FMO Invests $5 Million in Mini-Grids Supplier Husk Power Systems

Oct 2020
Africa, October, 06 2020 - Mini-grid supplier Husk Power Systems has just been awarded $5 million by the Dutch development finance company Nederlandse Financierings-Maatschappij voor Ontwikkelingslanden (FMO). The company will use the funds to expand the installation of its clean energy mini-grids in rural areas in Africa and Asia.

Husk Power Systems obtains funds to deploy its mini-grids in Africa. The company, which already has an office in Dar es Salaam, Tanzania, has just received $5 million from Nederlandse Financierings-Maatschappij voor Ontwikkelingslanden (FMO), the Dutch development finance company.

The investment is part of the Dutch bank’s strategy to increase its investments in renewable energy through equity investments in clean energy solution providers such as Husk Power Systems. The company intends to use these funds to expand its services in rural areas in Africa.

“Not only will this investment be a catalyst for Husk to achieve its ambitious mini grid deployment plan, it also gives us a partner with deep knowledge and experience in scaling up innovative energy technology companies like Husk Power,” says Manoj Sinha, CEO of Husk Power Systems.

In rural areas, the company builds small renewable energy plants to supply households. It also builds off-grid solar systems to provide electricity to small and medium-sized enterprises (SMEs) and small factories. Through its investment, FMO joins other donors that have invested in Husk Power Systems. In 2018, the supplier of clean energy mini-grids received $20 million from the Anglo-Dutch oil company Shell; Swedfund, the Swedish government’s financial institution; and Engie Rassembleurs d’Energies, a fund owned by French energy company Engie.

Source : Afrik21

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