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Ever wondered how mini-grid grant funders think, decide and act?

In this insightful episode, we're thrilled to host a panel of experts from the forefront of funding Africa's mini-grid sector. Join us as Benjamin Curnier from AFDB SEFA, Tatia Lemondzhava from World Bank ESMAP, and Dennis Nderitu from GEAPP delve into the mechanics of driving mini-grid initiatives across Africa. They'll illuminate the strategic differences in funding pivotal projects by major institutions and the critical role of client governments in these endeavors. This is PART 1 of the discussion. PART 2 will be published one week after PART1.

We begin by exploring the respective approaches of SEFA, ESMAP World Bank, and GEAPP in funding mini-grid projects, revealing the complexities of coordinating among each other, with other sector stakeholders and especially with the client governments. Our guests shed light on the crucial data and analytics driving these initiatives, showcasing how mini-grids can effectively bridge the electricity access gap.

Shifting focus, we spotlight the African Mini-Grid Developers Association (AMDA) and its significant contributions in promoting mini-grids as a commercial reality. Hear about AMDA's efforts in capacity building, regulatory dialogue, research, and access to capital, all aimed at transforming the African energy landscape. We discuss the importance of a unified private sector voice for effective government engagement.

This episode delves deep into the funding dynamics, revealing that it's not just the banks but the governments that define the flow of funds, leveraging the banks' knowledge and support for developing frameworks, laws, regulations, and procurement procedures. We highlight the vital role of private sector organizations like AMDA in these early decision-making steps and the necessity of building trust with governments through data-driven success stories.

Discover how organizations like GEAPP and SEFA are overcoming the 'hen and egg' challenge by providing catalytic donor finance, demonstrating successful business models, and generating opportunities without indebting governments. They play a pivotal role in informing governments about the mini-grid sector's potential, carrying the opportunity cost on behalf of these governments.

With the belief that the mini-grid sector is rapidly building trust between governments and the private sector, we anticipate a surge in countries taking loans for private-sector mini-grid grants under programs like the World Bank's DARES.

Tune in for a comprehensive understanding of the intertwined roles of development banks, donors, and governments in shaping the future of sustainable energy through mini-grids.

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