The Sustainable Energy Fund for Africa (SEFA) has announced a $20 million call for proposals aimed at supporting strategic projects related to the development of green hydrogen in Africa.
$20 Million Call for Green Hydrogen Projects in Africa
The Ministry of Environment (MASE) has announced the opening of a $20 million call for proposals aimed at strategic projects related to the development of green hydrogen in Africa.
The call, promoted by the Sustainable Energy Fund for Africa (SEFA) within the framework of the Africa Green Hydrogen Programme (AGHP), is intended for private entities interested in financing key activities such as feasibility studies, advanced design, and structuring of commercial agreements.
The funds will be allocated to a limited number of initiatives, ranging from 3 to 5 projects, through the reimbursable grant tool. This refundable contribution requires repayment once the financial close is achieved. This model allows for support during the riskiest phase of project development while simultaneously improving the bankability of the initiatives.
Applications must involve mature projects located in the member countries of the African Development Bank (AfDB). The submission deadline is set for May 11, 2026, at 17:00 (Abidjan time), with clarification requests accepted until April 20, 2026.
Green Hydrogen Funding in Africa
The funding mechanism provided by the programme is based on reimbursable grants, a tool that sits between pure grants and traditional financing. In this case, financial support is provided in the early stages of the project when the risk is higher and access to credit is more difficult.
Repayment is contingent upon achieving the financial close of the project. This approach helps reduce risk for private investors while maximizing the effectiveness of available public resources.
Funded activities include high-value strategic interventions, such as technical studies, engineering design, market analysis, and defining commercial agreements. The goal is to create a pipeline of solid projects, ready to attract capital on a larger scale.
What is SEFA: The Multilateral Energy Investment Fund
The Sustainable Energy Fund for Africa (SEFA) is a special multi-donor fund managed by the African Development Bank, aimed at mobilizing private investment in renewable energy and energy efficiency.
Established in 2011, the fund has gathered contributions from several countries, including Denmark, the United States, the United Kingdom, Italy, Norway, Spain, Sweden, and Germany, as well as international organizations such as the Nordic Development Fund and the Global Energy Alliance.
Its main mission is to promote universal access to sustainable energy services, in line with Goal 7 of the Sustainable Development Goals. To achieve this, SEFA focuses on three strategic areas: increasing the share of renewables in electrical systems, developing mini-grids, and improving energy efficiency.
Through tools like technical assistance and concessional financing, the fund helps overcome market barriers and improve the risk-return profile of projects, making them more attractive to investors.
The Africa Green Hydrogen Programme
The Africa Green Hydrogen Programme represents one of the most targeted initiatives for the development of the hydrogen sector on the continent. Initially funded by the German government, the programme is designed to support high-value project development activities in the field of green hydrogen and its derivatives.
The focus is on the pre-investment phase, often considered the main bottleneck for large energy projects. In this context, financial support helps prepare solid, bankable projects that can attract industrial-scale capital.
The initiative operates within a complex energy context, where over 570 million people in Africa still lack access to electricity, highlighting the untapped potential of renewable energy sources on the continent.
SEFA 2.0 for Sustainable Energy
The SEFA 2.0 programme expands the fund’s actions through two operational pillars: concessional investments and technical assistance.
Investments include tools such as equity, loans, and reimbursable grants, designed to reduce financial risk and facilitate private sector participation. Technical assistance, on the other hand, supports project preparation, from preliminary analyses to defining regulatory frameworks.
This integrated approach has already enabled the development of significant initiatives in the sector, such as mini-grid programs and renewable energy financing platforms on a continental scale.
Overall, the new call dedicated to green hydrogen in Africa fits into a broader sustainable energy development strategy, with the goal of strengthening project capacity and accelerating the spread of low-emission technologies across the continent.
