Husk Power Systems, a leading clean energy company, has successfully raised $103 million in its Series D funding round. The funding includes $43 million in equity and $60 million in debt, making it the largest-ever raise of its kind in the mini-grid industry. The investment will enable Husk Power to launch 500 solar mini-grids in Nigeria and expand its operations in Sub-Saharan Africa and South Asia.
Key Takeaway
Husk Power Systems has raised
03 million in its Series D funding round to launch solar mini-grids in Africa. The company aims to bring clean and affordable energy to rural communities and contribute to universal electrification efforts. With the projected expansion of its operations, Husk Power is well-positioned to make a significant impact in the clean energy sector in Africa and Asia.
Expanding Rural Electrification
Husk Power Systems has been at the forefront of fueling rural electrification since 2008. With this new capital injection, the company plans to evaluate expansion into countries such as the Democratic Republic of Congo, Zambia, and Madagascar. Sub-Saharan Africa, which accounts for 75% of the world’s population without access to renewable energy solutions, stands to benefit greatly from clean energy initiatives like these.
Evolution of Business Model
Husk Power has evolved its business model over the years, expanding beyond energy access to include the energy transition from fossil fuels to renewables. The company now offers a range of low-carbon and climate-resilient energy services, including e-mobility, agro-processing, and cold storage. It has also developed an AI-enabled platform that allows for the optimization and reduction of energy consumption, as well as an e-commerce platform for the sale of energy-efficient devices.
Impact and Future Plans
Since its launch, Husk Power has served over 10,000 micro, small, and medium enterprises (MSMEs) and avoided 25,000 tonnes of carbon dioxide. With the projected growth of its fleet and mini-grid footprint, the company expects to serve 300,000 new connections and avoid 350,000 tonnes of carbon dioxide over the next five years. Husk Power aims to deploy 1,500 mini-grids in total, bringing the number of mini-grids in Sub-Saharan Africa on par with India.
