Apply now for the Digital Innovation Fund for Energy and Climate Programme (Grant awards from USD 150,000 – USD 400,000 available)

Ednah Carrick March 9, 2026

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Closing Date: 16 April 2026

Apply now for the Digital Innovation Fund for Energy and Climate Programme (Grant awards from USD 150,000 – USD 400,000 available)

The Digital Innovation Fund for Energy and Climate Programme (DIFEC) is now open for applications.

Implemented by AECF with support from the Swedish International Development Cooperation Agency (Sida), the initiative will support enterprises using digital technologies to expand access to clean energy and strengthen climate resilience across Sub-Saharan Africa.

AECF welcomes applications from early and growth-stage enterprises seeking grant funding and technical support to scale their innovations across the region. Companies developing solutions in areas including distributed renewable energy, climate tools, productive use of energy, e-mobility, digital agriculture, and circular economy systems are encouraged to apply.

Overview

The Digital Innovation Fund for Energy and Climate Programme (DIFEC) is a regional three-year programme designed to unlock the potential of digital technologies to accelerate clean energy access and strengthen climate resilience across Sub-Saharan Africa. The initiative addresses critical barriers faced by early- and growth-stage enterprises developing digital solutions for distributed renewable energy (DRE), clean cooking, productive use of energy, e-mobility, digital agriculture, and circular economy systems

REACT 2.0 Regional: Digital Innovation Fund for Energy & Climate (DIFEC) – Window 1 Growing Window

Window 1: Growing Digital Innovation Funding Window

Objective: Growing Digital Innovation Funding Window objective is to provide catalytic early-stage financing and venture-building support to enterprises. The objective of this window is to de-risk digital solutions at an early stage, support product development and market validation, and enable enterprises to demonstrate product–market fit. In addition, early-stage enterprises will be supported to build foundational capabilities in digital risk awareness, secure-by-design development, and responsible data practices, reflecting the increasing reliance on digital components in DRE and climate solutions.

REACT 2.0 Regional: Digital Innovation Fund for Energy & Climate (DIFEC) – Window 2 Scaling Window

Window 2: Scaling Digital Innovation Funding Window

Objective: Scaling Digital Innovation Funding Window objective is to provide scaling financing and specialised technical assistance to enterprises that have demonstrated successful commercial deployment of digital solutions and are ready to scale operations across multiple African markets. The objective of this window is to accelerate regional expansion, strengthen operational performance, and enhance investment readiness for scalable digital innovations supporting clean energy access and climate resilience.

Selection Criteria

Applicants are expected to submit a short funding application with their concept, justifying their requirements for the business and/or idea to be funded, the funding amount, and the project duration. Shortlisted applicants will be requested to submit a more comprehensive full proposal and business plan.

Each applicant will be evaluated and scored against the following criteria:

Geographic focus and regional relevance, including alignment with the programme’s Africa scope.
Commercial and technical viability of the proposed digital solution. The proposal must present a commercially sustainable business model, be technically sound, and demonstrate clear alignment with the objectives of the Digital Innovation Fund for Energy & Climate. The proposal should clearly define how performance will be measured and evaluated, including agreed indicators, targets, and milestones.
Track record and capability of the applicant, including satisfactory performance of the entrepreneur(s), technical personnel, or business. Where available, evidence of past performance or references may be submitted.
Management team capacity, including submission of curricula vitae of key personnel demonstrating appropriate education, skills, and experience relevant to the technical and commercial nature of the proposed project.
Stakeholder and market engagement, including the applicant’s approach to engaging relevant partners, customers, and stakeholders in target markets, and, where applicable, coordination with local institutions or communities.
Product and solution quality, where applicable, include evidence that digital solutions and any associated technologies meet relevant quality, safety, and industry standards.
Market traction and commercial performance for existing companies, including demonstrated revenue generation, customer adoption, or successful solution deployment in at least one market.
Financial capacity and management, including evidence of sound financial health, appropriate financial management systems and procedures, and the availability of audited financial statements in line with the requirements of the applicable funding window.
Access to and mobilisation of matching funds, including demonstrated investment relationships or realistic potential to secure the required matching contributions and leverage additional or follow-on financing.
Implementation capacity, including the ability of the management team and organisation to deliver the proposed project within the agreed timeframe, using adequate internal resources and systems.
Contextual understanding, including demonstrated knowledge of the operating environment, regulatory context, and market dynamics in the countries where the solution is being deployed or scaled. Applicants should also demonstrate awareness of relevant data-protection and cybersecurity frameworks, including, where applicable, the EU General Data Protection Regulation (GDPR) and the African Union Malabo Convention on Cyber Security and Personal Data Protection.
Development impact and additionality, including how the proposed business model will deliver and sustain socio-economic and climate impact, and how AECF funding will catalyse outcomes that would not otherwise be achieved.
Environmental, social, and governance (ESG) considerations, including a clear description of potential environmental and social impacts, waste management practices where relevant, and alignment with applicable national and international environmental and social standards.
Matching funds availability, including clarity on the source, timing, and conditions of matching contributions.
Understanding of digital risks, including the applicant’s awareness of the risks associated with providing an essential service via digital systems—such as cybersecurity vulnerabilities, privacy risks, data-protection considerations, and digital safety—and how the solution contributes to a safe, secure, and sustainable regional digital ecosystem.
Risk assessment and mitigation, including identification of key risks to project implementation and proposed mitigation measures.

Preference will be given to applicants who demonstrate:

Strong and secure digital innovation addressing clean energy access, climate mitigation or adaptation, or efficient natural resource management.
Inclusive business models that intentionally integrate women and youth as customers, employees, entrepreneurs, or decision-makers.
Robust approaches to affordability and access, including digital financing, data-driven service delivery, or innovative distribution models suited to underserved markets.
Clear pathways to investment readiness and growth, including potential to attract private capital following programme support.