ZE-Gen initiative will deploy more than 2,000 solar and battery systems and is expected to attract around £1.4 million in private investment
30 Sept 2026 – Uganda – Nigeria
A real-world test of new financing and rental models for solar generator and battery systems is launching across Nigeria and Uganda, with eleven companies trialling approaches designed to help millions of homes and businesses move away from petrol and diesel generators as part of a new ZE-Gen initiative.
The projects form part of ZE-Gen’s new Local Innovation Fund, which is supporting companies to test whether new financing and rental approaches can overcome one of the biggest barriers to adoption – the upfront cost of switching away from petrol and diesel generators to reliable, affordable clean power.
Together, the projects are expected to attract around £1.4 million in private-sector investment while deploying more than 2,000 solar and battery systems across Nigeria and Uganda. Companies will test a range of financing and rental approaches – including lease-to-own finance, battery rental, subscription-based energy services, embedded finance partnerships and pay-as-you-go payment structures – to identify the models with the greatest potential to scale commercially. These pilots are designed to demonstrate how flexible payment models can support productive use of energy, strengthen MSMEs and market clusters, and help unlock scalable private-sector investment in distributed renewable energy.
Launched at COP27, ZE-Gen is the leading international initiative working to improve the lives of people across sub-Saharan Africa, South Asia and the Indo-Pacific region through accelerating the transition from polluting fossil fuel generators to clean, renewable energy-based alternatives.
Lily Beadle, Programme Director, ZE‑Gen said:
“One of the biggest barriers to replacing fossil-fuel generators is the upfront cost of renewables. These projects in Uganda and Nigeria are testing new financing and rental models that could make distributed clean energy more affordable for households and businesses, while helping unlock the private investment needed to scale the market.”
“With around €1.6 million already expected to be leveraged from private-sector partners, we’re seeing growing confidence in the commercial potential of clean alternatives to fossil-fuel generators. Supported by the IKEA Foundation and the Ayrton Fund’s Transforming Energy Access platform, this ZE-Gen initiative is generating practical evidence on the business models that can attract investment, grow markets and help bring cleaner, more reliable energy within reach of millions more people.”
The initiative builds on ZE-Gen’s recent insight paper, Transitioning to Zero Emission Generators in Nigeria: Which Business Models Can Scale?, which highlighted the critical role of innovative financing in unlocking wider market growth. The projects now move those findings from research into practice, creating a real-world test bed for commercial models that could help accelerate the transition away from fossil-fuel generators.
In Nigeria, seven companies have been selected to test a range of business models across residential, market and small business customers.
- So-Cool Solutions is deploying lease-to-own solar kiosks with integrated cold storage for small businesses across Lagos, Osun, Oyo and Ogun states.
- CEESolar Energy is testing lease-to-own financing for 5kW solar generator systems serving small and medium-sized enterprises in Abuja
- ICE Solar is deploying prepaid energy-as-a-service solar micro-utilities across business clusters in the Niger Delta.
- Reeddi Technologies is combining agent-led pay-as-you-go financing with credit-building and healthcare benefits
- Kiru Energy is testing a social-collateral repayment model designed for traders operating in densely populated markets.
- Oríkì Energy is supporting solar-powered phone-charging enterprises through lease-to-own finance
- Infibranches Technologies is piloting embedded finance and buy-now-pay-later partnerships to help customers replace fossil-fuel generators.
In Uganda, four companies are testing business models tailored to local market conditions.
- Wana Energy Solutions will deploy 250 systems across the West Nile region using a combination of pay-as-you-go, buy-now-pay-later and battery-as-a-service approaches.
- Innovex Uganda is trialling multiple repayment structures across residential, marketplace and small business customers to understand which financing models are most effective for different customer segments.
- Brightlife, part of FINCA Uganda, is using microfinance channels to expand access to solar generator systems for small businesses
- NOA Energy Services Uganda is testing a subscription-based model that allows customers to pause payments without penalty.
Globally, around 1.5 billion people don’t have access to reliable electricity. It is estimated that 25 million, highly polluting, fossil fuel generators are in use across emerging economies, resulting in huge financial, social and environmental costs. Associated health risks include premature death, lung cancer, hearing impairment and numerous other problems.
High carbon emissions can also hold back countries’ efforts to meet their climate goals, and the high running costs of fossil fuel generators can reduce finance available for business, healthcare and education.
Despite being home to two-thirds of the world’s population, emerging economies account for only 15% of global clean energy investment, with homes and businesses facing frequent blackouts that can last for weeks at a time, negatively impacting daily lives and business income.
ZE-Gen’s unique approach tackles market barriers to renewable energy-based alternatives to fossil fuel generators by uniting innovation, finance and skills to drive competitive market growth.
As ZE-Gen continues to grow, it is seeking mission-aligned partners interested in helping scale clean alternatives to fossil-fuel generators across emerging markets. The programme offers a platform for organisations looking to combine climate impact, economic growth and energy access, helping deliver cleaner, more reliable power for households, entrepreneurs, schools, healthcare facilities and humanitarian programmes while reducing reliance on costly and polluting generators.
ENDS
Notes to Editors
- Interviewees and images available on request
Background information: ZE-Gen
- Launched at COP27, ZE-Gen is a flagship international initiative accelerating the replacement of fossil fuel generators with renewable energy alternatives to improve the lives of people across sub-Saharan Africa, South Asia and the Indo-Pacific region. It is led by the Carbon Trust and Innovate UK and has an ambition to mobilise £100m of funding to inspire action and implement real-world change, delivered in partnership with sector specialists
- The Carbon Trust leads ZE-Gen’s policy, research, outreach and overall strategy, providing input and oversight across the whole programme. This includes convening partners, engaging with the public and private sector to identify new opportunities, and providing commercialisation support such as investment readiness, market engagement, go-to-market strategy, and product and service development.
- Innovate UK delivers grant funding through the ZE-Gen Innovation Fund to accelerate the development and demonstration of renewable energy technologies.
- The companies funded by ZE-Gen’s Local Innovation Facility will also be supported on the ground by ZE-Gen’s local Delivery Partners, Clean Technology Hub in Nigeria and Wekeza in Uganda, through stakeholder convening, live events, and technical assistance.
About the IKEA Foundation
The IKEA Foundation is an independent philanthropy working to create a better everyday life for the many people by supporting efforts to reduce greenhouse gas emissions and help communities build sustainable livelihoods. The Foundation works with partners across emerging economies to accelerate people-centred climate solutions that improve lives while helping tackle global warming. Its vision is a world where low-emission economies create wellbeing for people and sustain planetary health.
About the Ayrton Fund
- The Ayrton Fund is a UK Government International Climate Finance (ICF) commitment on clean energy innovation. It supports research, development and demonstration of new clean energy technologies and business models to accelerate the clean energy transition in developing countries, while demonstrating UK leadership in tackling global emissions through world‑leading innovations. It is jointly managed by the Foreign, Commonwealth and Development Office (FCDO), the Department for Energy Security and Net Zero (DESNZ) and the Department for Science, Innovation and Technology (DSIT).
About the Transforming Energy Access platform (TEA)
- Transforming Energy Access (TEA) is a research and innovation platform supporting early-stage testing and scale-up of new clean energy technologies and business models for developing countries across sub-Saharan Africa, South Asia, and the Indo-Pacific, while building the local skills and capabilities needed for a just and inclusive energy transition. It is one of the main delivery platforms for the UK government’s Ayrton Fund.
For more information please contact: ze-gen@carbontrust.com
Vist the ZE-Gen programme website: https://www.ze-gen.org