FMO will invest EUR 600,000 in WakaWaka’s Virtual Grid (VG) Pilot: an innovative Pay-As-You-Go system for light and power in Rwanda. Over a period of 12 months the pilot will develop, promote and market WakaWaka VG devices in 3 rural off-grid districts in Rwanda. The pay-as-you-go technology replaces the usual high upfront costs of solar-powered energy with weekly payments that are equal to the current spend on kerosene and mobile phone charging. This safe, clean and affordable energy alternative has a positive impact on family health, school results, and even provides new income generating opportunities.
Provided the pilot is successful, a nationwide rollout in Rwanda (and later other African countries) will follow, which will be supported with additional, larger financing volumes from FMO. FMO and WakaWaka therefore consider this pilot as a basis for a long-term partnership for off-grid energy.
FMO’s CEO Nanno Kleiterp commented: “The investment in the roll-out of the Virtual Grid in Rwanda has an excellent fit with FMO's aim to catalyze innovative projects in the (off grid) renewable energy sector. It will also have a very positive impact on people’s health and offers them a clean and sustainable source of power.”
WakaWaka’s CEO Maurits Groen said: “WakaWaka considers the Virtual Grid as a key solution to modern and sustainable energy access to off-grid households worldwide, by using a model that is exactly in line with the current energy spending patterns of households.”
About FMO
FMO (the Netherlands Development Finance Company) is the Dutch development bank. FMO supports sustainable private sector growth in developing and emerging markets by investing in ambitious entrepreneurs. FMO believes a strong private sector leads to economic and social development, empowering people to employ their skills and improve their quality of life. FMO focuses on three sectors that have high development impact: financial institutions, energy, and agribusiness, food & water. With an investment portfolio of EUR 6.6 billion, FMO is one of the largest European bilateral private sector development banks. www.fmo.nl
Press contact:
Paul Hartogsveld
Senior Communications Officer (PR)
T: +31 70 314 9928
M: +31 6 11589127
