Octopus Energy’s generation arm has partnered with Pembani Remgro Infrastructure Managers on a new fund to invest into clean energy solutions on the African continent.
UK-based Octopus Energy Generation, the generation arm of global clean tech business Octopus Energy, has launched a new fund which aims to mobilise private investment into clean energy solutions in Africa.
The Octopus Energy Power Africa Fund (OEPA) received a cornerstone investment from Octopus Energy for an undisclosed sum and is targeting a broad range of investors to reach a first close of $60m (€69m) over the next 12 months, and a final close of $250m over the next three years.
The fund will invest into clean energy solutions – including rooftop solar, battery storage, electric vehicle charging infrastructure and grid upgrades- across sub-Saharan Africa to catalyse on what Octopus says is the continent’s huge clean energy potential and bring affordable, green energy to more people globally.
Renewable energy potential
Africa’s energy market is one of the fastest-growing globally, driven by an unmatched abundance of sunshine and wind, according to Octopus.
Figures from the International Renewable Energy Agency reveal that the continent is home to 39% of the world’s renewable resources. However, the International Energy Agency has found that Africa accounts for just 2% of global clean energy investment.
Octopus has partnered with Pembani Remgro Infrastructure Managers, an Africa-based investment firm specialised in sustainable infrastructure, on structuring the fund, and said there was potential for Pembani to manage a dedicated mandate.
A spokesperson for Octopus said they could not provide more details at this stage on either the partnership nor the investments.
Zoisa North-Bond, CEO of Octopus Energy Generation, said: “Africa is abundant with clean energy potential – enough to build the next-generation renewable powerhouse and a greener, fairer future fuelled by sunshine and wind. By partnering with local experts, such as Pembani Remgro Infrastructure Managers, we aim to accelerate that future and create new green pathways.”
In November last year, Octopus partnered with the Akuna Group, a company founded by British actor Idris Elba to drive growth across the creative industries, agriculture, and infrastructure in Africa, on the development of Sierra Leone’s first-ever wind farm on Sherbro Island.
Earlier this month, Octopus Energy also announced an investment into UK-based MOPO, a clean tech company, which has developed solar-powered batteries, rented on a pay-per-use basis, to deliver clean and reliable energy to underserved communities, including individuals and businesses, in sub-Saharan Africa.
