Kenya’s Hydrobox will receive KES 1,164,150,000 ($9 million) in debt financing from FMO, the Dutch Entrepreneurial Development Bank, and ElectriF, an EU impact investment facility focused on expanding clean energy access in developing nations and managed by EDFI MC.
This financing will support eight small hydro projects across four Kenyan mini-grids, providing reliable, affordable electricity to over 10,000 people and local businesses.
Thomas Poelmans, CEO and Co-Founder of Hydrobox stated, “Our partnership with reference investors FMO and ElectriFI serves as a quality label and recognition for the hard work our team has put in over the last few years. With strong partners on board and a substantial pipeline of upcoming projects in Kenya and the DRC, we are well-positioned to make a meaningful impact on energy access across Africa, aiming to reach 1,000,000 end-users by 2030,”
Hydrobox builds, owns, and operates mini-grids in rural areas. A balanced energy mix is achieved through the integration of hydropower and supplementary solar PV in these mini-grids. This system maximizes hydroelectric generation during rainy seasons and utilizes solar power as a backup during drier periods, providing communities with a year-round power supply and buffering them against seasonal weather variations.
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Designed for rural consumers, this initiative promises sustainable electricity at a rate 25% lower than the national utility’s. These mini-grids serve a combination of anchor clients (e.g. factories and farms), small businesses (e.g. schools, hospitals, shops, restaurants), and households.
With the latest funding, the company expects to reach approximately 2,582 households.
“We are pleased to support an early-stage company like Hydrobox as it brings its innovative model to market and looks forward to jointly maximizing impact to drive social and economic development in Sub-Saharan Africa,” said Michael Jongeneel, CEO of FMO Entrepreneurial Development Bank.
