EFSD+ RET Guarantee supports Proparco’s USD 20 million investment in August Energy
Risk-sharing mechanism enables expansion of solar and energy solutions across India and Southeast Asia
Brussels, 29 April 2026 – EDFI Management Company (EDFI MC), through its Renewable Energy Transition (RET) Guarantee Facility under the European Fund for Sustainable Development Plus (EFSD+), is supporting Proparco’s USD 20 million equity investment in August Energy Investment Co. Pte., an Energy-as-a-Service platform focused on solar and energy efficiency solutions in India and Southeast Asia.
Under EFSD+ RET Guarantee Programme, Proparco benefits from 40% guarantee cover, equivalent to USD 8 million (in euro). The EU-backed guarantee reduces investment risk and enables Proparco to increase its commitment to the project.
Founded in 2022 and headquartered in Singapore, August Energy operates across India, Thailand, and the Philippines, providing on-site and off-site solar solutions, battery storage, and energy efficiency services to corporate and industrial clients.
The investment contributes to climate mitigation by increasing the uptake of renewable energy among private sector clients and reducing their energy consumption. The project also supports private sector development by addressing financing gaps for renewable energy solutions in India and Southeast Asia. It is expected to generate demand for local suppliers, contractors, and service providers, many of which are micro, small, and medium-sized enterprises (MSMEs). The company utilises European equipment suppliers, provides electricity to European off takers (locally) and has numerous European investors.
Proparco’s role as an anchor investor is expected to have a strong catalytic effect, mobilising additional capital from local banks and private investors, as well as encouraging equity participation from regional partners.
EFSD+ RET Guarantee plays a key role in de-risking the investment by addressing uncertainties linked to business scaling and potential exit conditions, while enabling Proparco to increase its investment.
EFSD+ RET Guarantee is funded by the European Union through the EFSD+ and implemented by EDFI Management Company as part of the EU’s Global Gateway strategy. It aims to mobilise private investment in renewable energy in emerging markets, contributing to climate action and sustainable development.
About EDFI Management Company
EDFI Management Company (EDFI MC) is a multilaterally owned impact asset manager which delivers innovative development finance solutions that enable European DFIs, development banks and private sector investors to increase the scale and impact of their work. The company focuses on business models, technologies and geographies where other investors have not been able to operate at the desired scale given their resources and investment criteria. For more information, visit www.edfimc.eu
About the EDFI Renewable Energy Transition (RET) Programme
The EDFI Renewable Energy Transition (RET) Programme is a joint EFSD+ guarantee programme developed by European Development Finance Institutions and EDFI Management Company under the EU’s Global Gateway. With a guarantee envelope of up to €332 million, the Programme supports debt and equity investments in renewable energy projects—including wind, solar, hydro, biomass, geothermal, and green hydrogen—across Sub-Saharan Africa, Latin America and the Caribbean, and Asia and Pacific. RET aims to increase access to clean energy, advance the Paris Climate Agreement and Sustainable Development Goals, and accelerate the energy transition in high-impact markets. For more information see https://edfimc.eu/what-we-do/renewable-energy-transition-ret/
About EFSD+
The European Fund for Sustainable Development Plus (EFSD+) is the financing arm of the EU’s Global Gateway strategy. It provides guarantees and blended finance instruments to support investments that contribute to sustainable development, particularly in fragile and emerging markets.
About Global Gateway
Global Gateway is the European Union’s strategy to boost smart, clean, and secure connections in digital, energy, and transport sectors, and to strengthen health, education, and research systems across the world. It aims to mobilise up to €300 billion in investments between 2021 and 2027 to support sustainable and trusted partnerships globally.
