RESULTS-BASED FINANCE (RBF) GRANT AGREEMENT TEMPLATE

The Results-Based Finance (RBF) Grant Agreement Template, published by the Alliance for Renewable Electrification, provides a standardized framework for governments and organizations to provide fixed grants to mini-grid operators based on verified electricity connections. The guide outlines the legal and financial structure of such agreements, emphasizing the need for tailored conditions to support domestic companies and ensure project viability.

• The RBF grant mechanism operates by providing mini-grid operators with a fixed grant for every electricity connection that is both installed and verified.
• To ensure the operational viability of projects and reduce due diligence time, the document recommends employing a third party to confirm pre-qualification and verify that conditions precedent are met.
• The template suggests a milestone-based advance payment structure to support domestic companies that may lack the capital of international firms. A proposed structure includes 35% upon signing (with a bank guarantee), 35% upon verified arrival of goods, and the remainder after third-party verification of connections.
• The document advises that initial payment milestones should not exceed the total payment the developer would receive for meeting the minimum number of connections. For example, if a minimum connection target results in a USD 700,000 payment from a USD 1M total grant, initial milestones must not exceed USD 700,000.
• The template recommends that mini-grids prescribe a minimum of Tier 4 connections, utilizing the Multi-Tier Framework defined by SE4ALL to measure electricity service levels from Tier 0 to Tier 5.
• The agreement includes strict provisions against data falsification; any falsification of results or data to secure the grant allows the Granting Authority to suspend the grant and reclaim previously disbursed funds.

APA

Alliance for Renewable Electrification (n.d.). RESULTS-BASED FINANCE (RBF) GRANT AGREEMENT TEMPLATE. https://www.renewelec.org/wp-content/uploads/2024/06/RBF-Grant-Agreement-Template.pdf

Chicago

Alliance for Renewable Electrification. RESULTS-BASED FINANCE (RBF) GRANT AGREEMENT TEMPLATE. n.d. https://www.renewelec.org/wp-content/uploads/2024/06/RBF-Grant-Agreement-Template.pdf.

Wikipedia

{{cite report |author=Alliance for Renewable Electrification |title=RESULTS-BASED FINANCE (RBF) GRANT AGREEMENT TEMPLATE |url=https://www.renewelec.org/wp-content/uploads/2024/06/RBF-Grant-Agreement-Template.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{allianceforrenewableelectrificationndresultsbased, author = {{Alliance for Renewable Electrification}}, title = {{RESULTS-BASED FINANCE (RBF) GRANT AGREEMENT TEMPLATE}}, institution = {Alliance for Renewable Electrification}, url = {https://www.renewelec.org/wp-content/uploads/2024/06/RBF-Grant-Agreement-Template.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }