renewable_energy_rensource

Renewable energy startup, Rensource, has completed a $20m funding round to boost its capacity to provide technology-enabled power solutions in Nigeria.

Rensource builds and operates off-grid solar technologies for marketplaces, serving over thirty-thousand SMEs. Since launching commercially in 2016, it has deployed operations in seven clusters across six states in Nigeria – Lagos, Kano, Ogun, Ondo, Oyo and Edo.

Ademola Adesina, Rensource founder and CEO, said the company’s focus is “on the millions of small-businesses that drive our economy.”

Nigeria has endemic power problems that limit productivity and innovation. In 2019 alone, the national grid has collapsed at least 11 times, even as power generation continues to lag in comparison to national demand. Nigeria only has 12 gigawatts of installed grid capacity, compared to 50 gigawatts in South Africa, a country with about 150 million fewer people.

With its solar hybrid micro-utilities, Rensource aims to localize energy generation, distribution, and enhance customer service to communities it serves.

Source: Rensource

Service expansion is a key focus of Rensource’s plans. It hopes to direct its new funding towards breaking into offline to online (O2O) commerce – the process of drawing customers from online channels to visit and make purchases in physical stores. It will do this by launching “Spaces O2O”, a B2B platform that offers tech-enabled value-added services to SMEs already using its energy solutions.

“Our push into O2O is a natural step that leverages our existing infrastructure to further empower the merchants we serve,” Adesina said. “We aim to connect over one-million merchants in the next 5 years.”

CRE Venture Capital and the Omidyar Network, two of Rensource’s existing investors, co-led the round. In a year where most investors have focused on fintech as the exciting sector, $20m is a huge raise for a Nigerian renewable energy company.

Ademola Adesina founded Rensource in 2016, to power Nigerian SMEs

It could be because Rensource’s ambition is “a bold and worthwhile undertaking that is creating value for all stakeholders,” according to Pardon Makumbe, co-founder and managing partner of CRE Venture Capital. Jonathan Kirschner of Omidyar Network calls Adesina, the Rensource founder, a “true renewable energy revolutionary.”

Rensource’s claims to have saved 76,575 litres of fuel and 179.800 metric tons of CO2 emissions may be putting it in good stead with the environmentally-conscious. Inspired Evolution, one of the participants in this raise, has a portfolio comprised of mostly African energy startups. EDP Renewables, an American renewable energy company, also participated.

Others include Proparco (owned by the French Development Agency), I&P, Sin Capital and Yuzura Honda.

Read this next
Quiz, Renewable Energy, Series, Technology
15th November 2019

Hello! Is this thing on? Many people have accused of not being fun (hi, haters) and so we’re introducing a new weekly feature: the TechCabal Quiz. Take the quiz, screenshot your answers, tweet at us, and share among your friends!

More From TC
carry1st_gaming_south_africa

Cordel Robbin-Coker, Lucy Hoffman, and Tinotenda Mundangepfupfu started Carry1st in 2018 to publish mobile games and interactive content for Africans. One of their games, Carry1st Trivia, got a lot of buzz in 2020 with about one and a half million downloads. In the three years since its launch, Carry1st has also become a medium for […]

Lami, a Kenyan insurtech company democratizing insurance products and services for low-income Kenyans, has raised $1.8 million in seed funding. The funding round was led by Accion Venture Lab.  Founded by Jihan Abass in 2018, Lami is a digital insurance platform that enables partner businesses – including banks, tech companies, and other entities to easily […]

The Federal Government of Nigeria has extended the May 9 deadline for Nigerian mobile subscribers to link their National Identity Numbers (NINs) to their SIM cards. This announcement marks the fourth time the government has adjusted the NIN registration deadline since the first call on December 30, 2020.  The country’s Minister of Communications and Digital […]

From a fresh and relatable perspective, the Ask an Investor series focuses on conversations with investors in Africa – investment banks, sovereign wealth funds, private equities, venture capitalists and every other class of investors,  explaining why and how these investments happen by talking to the people who make them happen. Yele Bademosi didn’t start out in the […]


TechCabal is a Big Cabal Media brand



Copyright © 2013 - 2021
All rights reserved

Privacy & Terms
X