Universal Energy Facility (UEF) – Stand-Alone Solar for Productive Use (SSPU)

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The StandAlone Solar for Productive Use (SSPU) programme of the UEF is designed to scale up electricity access to households, and small and medium enterprises (SMEs) that are engaged in productive use activities. The programme offers results-based grants to solar companies for verified end-user connections based on pre-determined standards. Companies using energy-as-a-service or lease-to-own business models are supported under the SSPU programme.

The objectives of the UEF Stand-Alone Solar for Productive Use programme include:

Scale up electricity access for SMEs by supporting sustainable business models that address the challenge of making full upfront payments to purchase solar systems which helps to alleviate the switching costs from polluting energy sources such as fuel generators.
De-risk investments in solar companies by providing grant payments to enable solar companies expand their operations to new market segments and serve as a blended finance mechanism to crowd-in additional private capital.
Rapidly displace reliance on fossil fuel generators by supporting the transition to cleaner, reliable and more affordable energy solutions.

SEforALL, in collaboration with several donors and partners, including Shell Foundation, The Rockefeller Foundation, IKEA Foundation, Power Africa, Good Energies, UK FCDO, Carbon Trust, Germany's Federal Ministry for Economic Cooperation and Development, GIZ, and the Africa Minigrid Developers Association (AMDA), established the facility in response to growing demands from the energy access sector for results-based financing.

More than 13 private sector mini-grid developers and industry associations supported the design of the UEF as an alternative to traditional tendering processes. Our approach is to support proven solutions and business models offered by experienced firms and organizations.

The UEF was launched in 2020 focusing on mini-grids deployment in Benin, Madagascar and Sierra Leone. In 2022, as part of the scale-up of the UEF, the mini-grids window is being expanded to additional countries and a new funding window on stand-alone solar for productive use (SSPU) has been developed.