ARC Power is tackling one of Africa’s biggest barriers to universal electricity access: the lack of upfront capital for distribution infrastructure.
As a key development partner in The World Bank and Africa Development Bank’s Mission 300, aimed at connecting 300 million people in sub-Saharan Africa to electricity by 2030, ARC Power’s innovative FUSE model (Future Utility & Strategic Electrification) takes a unique approach to power provision.
The privately pre-financed model accelerates grid expansion at unprecedented speed, supporting and strengthening the governments and national utilities’ electrification strategies.
Under FUSE, ARC Power finances, designs, constructs, and commissions distribution networks and integrated solar generation. The assets are transferred back to the National Utilities ready for operation, dramatically reducing project timelines and removing the financial constraints that typically delay national electrification plans.
FUSE key facts:
- Pre-financed, utility-scale electrification model, enabling rapid delivery of affordable energy access.
- Unlocks private investment at national scale, creating jobs, enabling industrial growth, and strengthening long-term grid infrastructure.
- Hybrid, modular, and environment-agnostic – combining on-grid and off-grid systems suitable for remote, challenging, or underserved areas.
- Built on public–private partnerships, designed to overcome historic delays in traditional financing and procurement pathways.
“FUSE’s hybrid model provides governments and utilities with choice around the best solution fit for their individual electrification strategy, regulatory environment, and financial position.This provides scalable lower cost energy access at rapid pace,” says Karl Boyce, CEO & Founder of ARC Power.
Two flexible delivery options
Once commissioned, governments can either:
- Own the assets: Assets are transferred to the National Utility under a long-term, low-interest repayment plans, strengthening the utility’s balance sheet.
- Purchase electricity under Power Purchase Agreement (PPA): ARC Power retains ownership and operates the assets, selling electricity directly to the National Utility under a stable 20-year term at a fixed, affordable tariff.
Backed by international partners and a rapidly growing pipeline, ARC Power is proving that large-scale, low-cost, reliable electricity can be delivered quickly and sustainably across Africa. More information about FUSE can be found at ARC Power.
