GIZ: Energising Development Programme – Call for Expression of Interest (EoI) for the recruitment of Off Grid Solar Companies to Implement Result Base Financing (RBF) for Solar Home Systems (SHS) for the EnDev Programme Sierra Leone

  • By Owl
  • 28 February 2025
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PN: 14.2275.7-215.00

Project: ENDEV Sierra Leone

Cosoft:83484119

Background

Energising Development (EnDev) improves the lives of the most vulnerable people by providing access to energy in Africa, Asia and Latin America, ensuring no one is left behind. Creating economic opportunities and green jobs by building markets for modern, renewable energy is the core of EnDev. To protect our planet’s climate, EnDev contributes to reducing greenhouse gas emissions. Currently, EnDev is funded by Germany, the Netherlands, Norway, and Switzerland.

EnDev Sierra Leone is working in close partnership with the Ministry of Energy (MoE) and private sector through the Renewable Energy Association of Sierra Leone (REASL) to implement its program, providing technical assistance and working with other development governmental organizations, private institutions and companies, as well as cooperatives and rural communities.

EnDev with its donors, has secured funding to implement Result Base Financing (RBF) on Solar Home Systems (SHS) in hard-to-reach communities in Moyamba, Bo, Pujehun, Kailahun, Falaba, Koinadugu and Karene districts. In a Results Based Financing (RBF) approach commercial off-grid solar (OGS) companies receive a financial incentive for achieving agreed-upon results including sales/installation of SHS to eligible customers.

Objective of the RBF for Solar Home System (SHS)

The objective of the RBF is to provide access to quality, clean, affordable, and better energy services in existing and underserved markets across the identified districts through stand-alone Solar Home Systems (SHS) and close the affordability gap faced by the most vulnerable parts of the population. The key result indicator is the number of people provided with new or improved electricity access through SHS. The RBF also aims to encourage the growth of emerging solar companies where possible and support their participation in the OGS market growth.

Target Population

The RBF will target vulnerable beneficiaries (customers) in underserved and remote off-grid areas of the identified districts (Moyamba, Bo, Pujehun, Kailahun, Falaba, Koinadugu and Karene). The Off Grid Solar companies with EnDev approval will develop strategies and select targeted communities for the RBF implementation within the identified districts and ensuring the RBF activities are aligned with the above objectives. Generally, all sales to the districts are eligible to receive an Indirect Subsidy (IS), which provides an incentive for companies to expand and operate in underserved markets. Additionally, the most vulnerable beneficiaries – Leave No One Behind (LNOB+) – i.e., Single mothers, family head with disability, youths/women still going to school etc living in Moyamba, Pujehun, Falaba and Karene districts will receive additional incentive for any product purchase. It is estimated that the program will reach at least 24,500 people through the RBF implementation.

Incentive budget and levels

Companies are encouraged to apply for participation in the RBF components. The total budget for disbursement of RBF subsidy (EnDev) amounts to approx. Euro 90,000.

RBF Subsidy – Introduction incentive level and Budget allocationThe aim of the RBF Subsidy is to promote the sustainable development of the off-grid solar sector and enable companies to provide access to energy for residents in rural and/or hard to reach areas. The subsidy can be used by companies to build infrastructure, support logistics and product distribution, and provide after-sales services and maintenance, thus indirectly contributing to price reductions. The incentive level is structured between vulnerable/hard to reach communities and LNOB+ in the respective districts. The RBF subsidy is divided in two distinct groups:

District

Moyamba, Pujehun, Falaba, and Karene LNOB+ beneficiaries

RBF incentive level per eligible and verified sale: 1,000

Bo, Kailahun, and Koinadugu, Moyamba, Pujehun, Falaba, and Karene

RBF incentive level per eligible and verified sale: 600

The RBF Subsidy is restricted to one system per household, and as such it is the company’s responsibility to ensure that sales are made to eligible households who have not previously purchased an SHS under the program. EnDev will work to develop a customer eligibility tool for the RBF component, to assist companies in determining customer eligibility before making a sale, using customer ID to enable companies to confirm that an individual has not already bought an SHS under the EnDev-RBF.

EOI guidelines:

Full name of the Off Grid Solar Company

A brief introduction of the Company, not more than two pages.

Strategy of how the RBF incentive for SHS will be implemented to households and LNOB+ in the identified districts to increase access to electricity in the communities, not more than three pages

Proposed business plan for implementing the RBF subsidy will include but not limited to: target market (households in the hard-to-reach communities within the identified districts)pricing strategy, (for households and LNOB+)implementation planning to reach the targeted beneficiariesCustomer service strategy andinstallation, after sale service and maintenance plan.(not more than five pages).

The whole EOI should not exceed twenty pages inclusive of supporting documents.

Implementation time frameFrom the 15th of April 2025 until the 30th of November 2025

Eligibility criteria and requirements  

The following shall be considered to approve participants and products under the RBF scheme:

 3.1 Evidence for participant approval To participate in the RBF, the Service Provider must fulfill the following conditions.   

Must be an active player in the energy sector i.e. a registered company in Sierra Leone. 

Must be a member of the Renewable Energy Association of Sierra Leone (REASL)

Bidder’s product must have integrated Pay As You Go (PayGo) functionality

Product certification (Eligible products should have all the following)Products that qualify for registration in this scheme should meet the following criteria. 

 Eligible products include all Vera Sol certified SHS that meet at least Tier 1* service level

Product warranty of at least two yearsPV module 10W to 30W

Battery capacity minimum 3.2V/11.2Ah

Three lamps minimum

Plus, one USB charging pot minimum and adapter included.

General product eligibility guidelines   

The bidding solar company should clearly indicate end-user price for the RBF suggested solar product. 

 New products can be added throughout the RBF period by confirmation from GIZ-EnDev. 

Note: All products sold under the EnDev-RBF must be labelled with a product sticker which will include but not be limited to the logos of the donors of program. Costs for labelling must be born by the companies. Label templates will be provided by EnDev to contracted companies.

Submission of Expressions of InterestAll OGS companies that meet the above criteria should submit their “Expression of Interest” via email to SL_quotation@giz.de with the subject “Cosoft 83484119 Expression of Interest (EOI) for Result Base Financing (RBF)”

Not later than 14th March 2025, at 5:00 PM local time. using font and font size of Arial and 11 respectively, at line spacing 1.15.

For any questions, contact SL_inquiry@giz.de with the subject “Cosoft 83484119 Request for additional information for Result Base Financing (RBF)”. not later than Wednesday 12th of March 2025Only qualified Off Grid Solar (OGS) companies will be contacted.

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