Solar Energy Company Secures $18 Million Funding to Speed Up Solar Energy Expansion in Africa
Arnergy, a Nigerian provider of distributed renewable energy solutions, has successfully closed an $18 million funding round. This significant investment is set to revolutionize energy access in Africa, particularly for small businesses and communities.
The funding round was led by All On, an off-grid energy impact investment company backed by Shell. Notable contributors to the round include Bill Gates' Breakthrough Energy Ventures, ElectriFI (Electrification Financing Initiative), and several new climate-focused investors.
Arnergy's mission is to democratize energy access across Africa. Their solar-plus-storage solutions are designed to provide consistent electricity in regions with frequent blackouts and unreliable energy access. This is particularly important in Sub-Saharan Africa, where over 600 million people still lack access to electricity, according to the International Energy Agency.
The fresh capital will be used to grow Arnergy's commercial and industrial client base, scale its residential offerings, and introduce new financial products. The goal is to make solar adoption more affordable for small businesses and communities.
Femi Adeyemo, CEO of Arnergy, stated that the new investment is a strong vote of confidence in the company's mission. Wiebe Boer, CEO of All On, echoed this sentiment, stating that Arnergy's customer-first approach, technical expertise, and strong execution capabilities uniquely position them to lead Africa's clean energy transition.
Arnergy's expansion occurs during a time of rapid transformation in the global energy sector, with investments in renewable energy reaching record highs. This investment aligns with broader efforts to drive inclusive, climate-resilient growth across emerging markets.
The funds are intended to support the deployment of 12,000 additional solar systems by 2029, expanding off-grid solar power access in African communities. Arnergy has already begun implementing this expansion, as demonstrated by the commissioning of a 150 kVA solar system at the Abia Specialist Hospital in Nigeria.
This funding significantly contributed to Nigerian startup equity funding in Q2 2025, where a total of $26 million was raised, showing investor confidence in practical solutions addressing power challenges. Arnergy's success comes amid a broader African startup funding landscape focused increasingly on sustainable and essential services like clean energy.
This investment marks a significant step forward in Arnergy's mission to provide reliable and affordable solar energy systems to businesses and households underserved by traditional power grids. With this new funding, Arnergy is poised to power thousands more businesses, schools, and homes in Africa, improving power reliability and supporting economic growth by energizing critical sectors and rural areas.
Technology will play a crucial role in scaling Arnergy's solar-plus-storage solutions, ensuring consistent electricity in regions with frequent blackouts and unreliable energy access. With the fresh capital, Arnergy plans to introduce new financial products to make solar adoption more affordable for small businesses and communities, fostering technological advancements in the clean energy sector across Africa.
