1. Show Me the Money: Funding for SA cleantech
Aman Baboolal (Analyst, GreenCape)
NCPC
September 2017

2. NCPC September 2017 | Cape Town
GreenCape
Who are Green SMEs
Observations: SMEs
Observations: Funders
Going forward

3. NCPC September 2017 | Cape Town
GreenCape
Who are Green SMEs
Observations: SMEs
Observations: Funders
Going forward

4. OVERVIEW
A focus on manufacturing allows the green economy needs to become a permanent fixture in the national economy
Mandate
“To support the accelerated development of the Western Cape green economy”
Vision
“The Western Cape is the green economy hub for Sub-Saharan Africa – the regional headquarters and manufacturing centre for leading companies in this space”
Economic growth
Increased investment
Job creation
Lower carbon
More resource efficient
Increase local production

5. The range of work crosses a wide variety of outputs
OVERVIEW
The range of work crosses a wide variety of outputs
PASSIVE / INTERNAL
ACTIVE / CLIENT-FACING
Research:
Field data through key relationships, site visits and networking
Market Intelligence Reports
Knowledge pieces
Industry updates
Tools:
Green-Agri Portal
Decision-making tools e.g. waste, non-revenue water
Regulatory and legislative advice e.g. tariff work
Green Finance Database
Stakeholder engagement:
Networking events
Thought leadership presentations
Setting up cross-sectoral and triple helix meetings
Support for industry gatherings
Front-line activity:
Proposed Special Economic Zone for Greentech manufacturing
Western Cape Industrial Symbiosis Programme (WISP)
Market Connect and Finance Lab

6. OVERVIEW
Headline results indicate that GreenCape has made significant socio-economic strides in setting up a cleantech foundation in SA
ZAR 17bn investment in the Western Cape since 2011
> 10,000 local jobs created
> 1,000 members
1st African Cleantech cluster invited to join the world leading regions – International Cleantech Network (ICN)

7. Green Finance Databases
GreenCape’s Green Finance Database
The Green Finance Desk has compiled and continues to maintain a database of funding sources and incentives that could be relevant to companies operating in the green space.
The database contains information on funding opportunities, the types of funding and institutions providing the funding and contact details. It is ideal for any entity seeking a broad range of funding solutions and financial incentives, with a largely South African focus.
Other databases
Finfind (includes learning and business advisory aspects; local emphasis)
Allied Crowds (includes an entrepreneur hub with tools; global
RECP (focus on energy-related project development in Africa)
Funding directories (PDFs)

8. NCPC September 2017 | Cape Town
GreenCape
Who are Green SMEs
Observations: SMEs
Observations: Funders
Going forward

9. Who are Green SMEs OBSERVATIONS
Similar: nascent, fragmented, conservative society (failure is bad)
Capital intensive
Founders (CTO vs CEO, build it and they will come vs being customer-centric, hands-on)

10. NCPC September 2017 | Cape Town
GreenCape
Who are Green SMEs
Observations: SMEs
Observations: Funders
Going forward

11. SMEs Unique relationship with money Requires: Investor mindset
OBSERVATIONS
SMEs
Unique relationship with money
Requires: Investor mindset
Distinguish: Business vs Product
Avoid: Outsourcing “money stuff”
Unique relationship with money
Requires: Investor mindset
Distinguish: Business vs Product
Avoid: Outsourcing “money stuff”

12. NCPC September 2017 | Cape Town
GreenCape
Who are Green SMEs
Observations: SMEs
Observations: Funders
Going forward

13. Funders Lack of inhouse-technical knowledge
OBSERVATIONS
Funders
Lack of inhouse-technical knowledge
Perception of technological risk
Basel III
VC models
Funding gaps
Demo
Project finance (small scale)
Lack of inhouse-technical knowledge
Perception of technological risk
Basel III
VC models
Funding gaps
Demo
Project finance (small scale)

14. NCPC September 2017 | Cape Town
GreenCape
Who are Green SMEs
Observations: SMEs
Observations: Funders
Going forward

15. Going forward Innovative solutions Green Investment Bank (e.g., PACE)
Green Outcomes Fund
Learning from groups like Breakthrough Energy Ventures
Institutional investors?
Matchmaking
Innovative solutions
Green Investment Bank (e.g., PACE)
Green Outcomes Fund
Learning from groups like Breakthrough Energy Ventures
Institutional investors?
Matchmaking

16. Aman Baboolal aman@greencape.co.za

17. How are we set up? OVERVIEW Energy Resources Waste WISP
Programmes
Ring-fenced project
Sector Desk & Market Reports
Projects
Cross-cutting
Energy
Resources
Waste
WISP
(Western Cape Industrial Symbiosis Programme)
Atlantis SEZ office
Renewable Energy (Utility)
Agriculture
Waste
Energy Efficiency
Water
Uptake for Alternative Waste Treatment – Municipal
Smart Electricity
Smart Water Allocation
Value Chain Assessment
Note that there are MIRs for every yellow block and the blue blocks aren’t exhaustive.
Overlaid with cross-cutting desks like:
Green Finance
Skills
Technical and knowledge support
Business matchmaking
Bioenergy and resource productivity
Builder Rubble in roads uptake
Green Finance
Skills
Technical and knowledge support
Business matchmaking