Foreign economic-aid-related services

Tender description

BRILHO aims to improve access to energy for rural households and businesses. It will encourage private sector innovation and investment, resulting in growth in the market for: a) improved cookstoves (also in urban and peri-urban areas); b) solar household systems; and c) larger systems (covering the spectrum up to and including mini-grids) able to support productive energy use. The four components of BRILHO are: i) Market Development Fund (MDF) and Technical Assistance (TA): Via an open competition, start-up grants will be available to new businesses, seeding innovation and supporting early stage market work. Working capital loans will help established and emerging firms to access the capital they need to grow to attract commercial debt. Financial support will be accompanied by TA for: legal and technical advice; collecting market information; matchmaking with local supply chain partners; and helping to refine technology and business models that meet Mozambique's needs. ii) Demand Activation: Engagement with rural consumers will educate them on the benefits of modern energy solutions, as well as mobile money and the pay as you go (PAYG) payment mechanisms, while at the same time introducing private sector suppliers. iii) Research and Dissemination: Research will fill gaps in the evidence base, particularly regarding adaptation of successful and emerging East African business models and experience appropriate to the Mozambican context. iv) Policy Reform and Institutional Strengthening: BRILHO will support the policy reform process through the development of the Energy Africa Compact. It will also strengthen the capacity of all stakeholders, especially by providing technical assistance (TA) to the Mozambican government's energy institutions. The Energy Fund (FUNAE), responsible for rural energy, will receive most support given plans to handover residual BRILHO activities to FUNAE in 2022. The contract is anticipated to start around March 2017 and span a period of 5 years.