Revolutionizing Africa: How New Funding is Powering Lives and Expanding Electricity Access

In the early morning hours within the cramped lanes of Mathare, an informal settlement in Nairobi, Kenya, Agnes Mbesa switches on a lone bulb hanging from her corrugated metal ceiling. For years, she depended on kerosene lamps that filled her home with smoke. Now, the arrival of electricity illuminates her living space and powers the small shop she operates from her porch.

“Before we had power, we had to close up early because it got too dark,” Mbesa explained. “But now, people visit even at night, and I can make a little extra income.”

Several hundred kilometers away in Sori, located in western Kenya, fisherman Samuel Oketch shares a similar tale. The installation of a solar mini-grid in his village enabled him to purchase a freezer for storing his fish. This advancement means he no longer needs to sell his catch quickly at reduced prices; he can now preserve it for transport to neighboring towns.

“These small changes have a big impact,” Oketch noted. “Electricity provides us with choices. My wife can now sell fish without being at the mercy of brokers who own freezers.”

These stories of electrification, funded by both philanthropic efforts and government initiatives, underscore the transformative potential of expanded energy access. While over 730 million people globally remain without electricity, with around 600 million of them residing in Africa, restricted energy access hampers essential services like healthcare, education, digital connectivity, and job opportunities.

Their experiences with electrification funded by philanthropic and government sources highlight how expanded energy access can transform the lives and improve livelihoods. More than 730 million people worldwide still lack access to electricity, about 600 million of them in Africa. Limited access constrains health care, education, digital connectivity and job creation.

New financing aims to accelerate progress. The European Investment Bank pledged more than $1.15 billion in March for renewable energy projects across sub-Saharan Africa, including hydropower, solar, wind and grid expansion.

“This funding is Europe’s commitment to provide cleaner, more affordable, and reliable energy for hundreds of millions of people in Africa,” said European Investment Bank President Nadia Calviño.

The Rockefeller Foundation also announced in March at the Africa Energy Indaba in Cape Town, South Africa, that it will invest an additional $10 million to support electrification programs in at least 15 African countries. The funding will be deployed with the Global Energy Alliance for People and Planet to strengthen national programs and support government reforms.

“African governments are choosing to transform their energy sectors by committing to national energy compacts and investing in African-led solutions,” said William Asiko, senior vice president at the Rockefeller Foundation.

How donors support sustainable energy expansion

The investments support the Mission 300 initiative led by the World Bank and the African Development Bank, which aims to connect 300 million people in sub-Saharan Africa to electricity by 2030 through grid expansion and decentralized solutions such as mini-grids and off-grid solar. Across much of Africa, where national electricity grids are often unreliable, mini-grids have emerged as a key alternative. These small, community-level systems, typically powered by solar or hybrid energy, generate and distribute electricity locally.

Off-grid systems, by contrast, operate independently at the household level. These include stand-alone solar kits that provide direct access to power, helping bridge electricity gaps in remote and underserved areas.

The initiative is providing governments in Malawi and Liberia with technical assistance to support national energy plans, expand transmission networks and improve the reliability and efficiency of distribution systems. Efforts in Côte d’Ivoire, Nigeria, and Senegal include local currency financing and pooled procurement support.

Andrew Herscowitz, CEO of the Mission 300 Accelerator at RF Catalytic Capital, said scaling access will require sustained financing and stronger implementation capacity, including improved monitoring and better-aligned support to accelerate connections.

“Energy access is key to unlocking human potential and economic development,” Herscowitz said.

Projects boost electrification rates

Kenya has received funding since 2017 from the World Bank, African Development Bank and partners under Mission 300 to support its Last Mile Connectivity program, which targets households near existing transformers, particularly in rural areas and informal settlements, as it pushes toward universal electricity access by 2030. Rural access rose to about 68% in 2023 from just under 7% in 2010.

Across eastern and southern Africa, where only about 48% of the population and 26% in rural areas have access to electricity, World Bank programs aim to expand access in up to 20 countries over the next seven years through renewable energy projects.

Mbesa, the shopkeeper in Mathare, was connected to electricity in 2021 under the Last Mile Connectivity Project. The initiative provided free connections to households and small businesses located near transformers, with funders covering the standard $115 connection fee. In more remote areas like Oketch’s, the project incorporated off-grid solutions, including providing mini-grids and solar systems, to reach communities beyond the national grid.

For Mbesa, the impact is already clear. The single bulb above her shop has extended her working hours and allowed her children to study at night.

“Electricity changes everything,” she said. “Once you have it, life starts moving forward.”

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