Anzana Electric Group Secures $20 Million Financing from British International Investment
Anzana Electric Group, a developer and operator of hydropower and grid‑distribution projects across Africa, announced that it has obtained a US$20 million senior‑secured portfolio credit facility from British International Investment (BII). The funding, provided by the UK’s development finance institution and impact investor, is earmarked for the construction of run‑of‑river hydropower plants that can later be hybridised with solar power in Eastern, Central and Southern Africa.
Why a Portfolio‑Level Facility?
Traditional project‑by‑project financing often entails high upfront legal and advisory costs, as well as lengthy negotiation cycles that can delay construction. By structuring a portfolio‑level loan, BII aims to reduce these transaction barriers, allowing Anzana to draw funds as individual projects reach financial close. This approach mirrors similar mechanisms used by other development financiers to accelerate clean‑energy roll‑outs in emerging markets.
Project Scope and Anticipated Outcomes
The facility will support a pipeline of small‑ to medium‑sized hydropower installations, each designed to operate as baseload distributed generation. Anzana estimates that the financed projects will collectively deliver:
- Approximately 10 megawatts (MW) of new installed capacity by 2030.
- More than 50 gigawatt‑hours (GWh) of clean electricity per year for national grids and high‑demand centres.
- Over 500 direct jobs during construction and operation phases.
The first drawdown is slated for a run‑of‑river plant in Zambia, with subsequent disbursements earmarked for sites in Malawi, Uganda and the Democratic Republic of Congo, subject to standard due‑diligence and environmental‑social safeguards.
Leadership Perspectives
Chris Chijiutomi, Managing Director and Head of Africa at BII, highlighted the alignment with the UK’s Mission 300 initiative:
“Africa faces a significant energy access gap, with nearly 600 million people without electricity. We are committed to working with partners like Anzana to support Mission 300 and give 300 million people in Africa access to electricity by 2030. Through this financing, we are helping countries transition to renewable energy, strengthening electricity networks and delivering clean, reliable energy to millions of households.”
Brian Kelly, Chief Executive Officer of Anzana Electric Group, emphasized the company’s integrated model:
“This facility is an important milestone for Anzana as we expand our platform across Africa and deepen our partnership with BII. Through an end‑to‑end model that spans generation, distribution and customer connections, we ensure consistent reliability and quality across the entire electricity value chain.”
He added that strong governance, disciplined implementation and the development of strategic transmission corridors enable Anzana to deliver power where it is needed most while supporting national governments’ long‑term economic growth objectives.
Context: Energy Access and Renewable Potential in Africa
According to the International Energy Agency (IEA), sub‑Saharan Africa accounted for roughly 75 % of the global population lacking electricity in 2023. Hydropower remains the continent’s largest renewable source, contributing about 23 % of total generation, yet much of its potential—particularly in small‑scale run‑of‑river schemes—remains untapped due to financing constraints. By coupling hydropower with solar hybridization, projects can improve capacity factor and reduce reliance on seasonal water flows, enhancing grid stability.
Looking Forward
Anzana intends to use the success of this portfolio facility as a blueprint for future financing rounds. The company plans to replicate the structure to accelerate additional projects in its pipeline, thereby scaling up clean‑energy access and supporting socio‑economic development across the region.
References
- British International Investment. “BII provides US$20 million portfolio credit facility to Anzana Electric Group.” Press release, September 2024. https://www.bii.co.uk/news/anzana-facility
- International Energy Agency. “Africa Energy Outlook 2024.” IEA Publications, 2024.
- Anzana Electric Group. Corporate website, accessed September 2024. https://www.anzanaenergy.com
