Renewable energy as a driver of industrial growth: Insights from BIO at EAIF 2026

BIO was represented by Jan Lemaitre, Investment Officer, who attended the event and took part in a panel discussion. The session explored how renewable energy can act as a key driver of industrialisation across Eastern and Southern Africa, by powering sectors with rapidly growing electricity demand and unlocking new economic opportunities.

During his presentation, Jan outlined a financing strategy specifically designed to support the development of renewable energy while ensuring a positive socio-economic impact. BIO's capital deployment strategy is structured around two main pillars. On the one hand, indirect investments through funds allow for the support of riskier projects, such as mini-grids, solar home systems, or clean cooking solutions. On the other hand, his team's current priority is direct investments, specifically targeting small- or large-scale Independent Power Producers (IPPs), as well as Commercial and Industrial (C&I) projects, which currently represent the most commercially viable segments.

To reconcile this economic viability with development goals, Jan detailed a rigorous selection and structuring methodology. For C&I projects, BIO requires developers to be experienced, supported by reliable technical partners, and to apply strict credit check and debt collection policies with their end clients. When these criteria are met, BIO brings significant added value by extending loan tenors up to 13 years (compared to around 10 years in the traditional market), which allows companies to lower their tariffs, attract more clients, and dilute overall risk. As for IPPs, particularly for smaller-scale projects, BIO employs clever financial engineering by offering loans where repayment is concentrated at the end of the contract (back-ended). This flexibility allows for the integration of commercial partners offering lower initial interest rates, which reduces the total cost for the developer, improves returns to attract equity investors, and ultimately makes it possible to offer cheaper electricity.

Finally, Jan emphasized that development impact does not naturally stem from commercial success and requires a strict framework. BIO imposes absolute compliance with environmental, social, and working condition standards, including for all subcontractors involved in construction and maintenance. These requirements are not mere formalities: they are meticulously verified during due diligence and are subject to continuous monitoring throughout the life of the projects, thereby ensuring that industrialization through renewable energies is achieved in a truly sustainable and ethical manner.