Current activities

Overview

Carbonwave is the world’s leading developer of ultra-regenerative, plant-based, advanced biomaterials from seaweed. The company transforms sargassum seaweed—a resource long considered waste, which does not need land or other inputs to grow—into biomaterials that can replace petroleum products and other harmful industrial inputs. Carbonwave is part of a new wave of companies that are building the next-generation economies that will heal the planet through materials that are regeneratively sourced from our oceans.

The Challenge

Sargassum, a type of brown seaweed typically found floating in large masses in the Sargasso Sea within the North Atlantic Ocean^[1], is increasingly becoming a major environmental concern. The Mesoamerican Reef, the second-largest barrier reef system globally, spanning the coasts of Mexico, Belize, Guatemala, and Honduras, is currently under significant threat due to a rapid influx of this seaweed.^[2] This occurrence, known as a Sargassum bloom, is driven by factors such as changing ocean currents, increased nutrient pollution, and warmer sea temperatures – conditions likely exacerbated by climate change. Sargassum can degrade the water quality, cause coral death and negatively impact the marine environment, and cause health problems for local communities due to the release of harmful gases when it decomposes. In addition, the Mesoamerican Reef region heavily relies on tourism, and the unsightly and foul-smelling Sargassum blooms can deter tourists, leading to significant economic losses. The financial burden of cleaning these beaches is also considerable, straining local resources.

Our Investment

Pegasus Capital Advisors and the Global Fund for Coral Reefs (GFCR) have announced an investment of up to $6 million into C-Combinator (d/ba/ Carbonwave), the world’s leading developer of ultra-regenerative advanced biomaterials from seaweed. The investment will support Carbonwave’s groundbreaking “cascading biorefinery” model for upcycling the over-supply of Sargassum seaweed into high-value biomaterials while simultaneously restoring ocean health and sequestering greenhouse gases.

Our Target Impact

By efficiently upcycling Sargassum seaweed, Carbonwave’s biorefinery eliminates toxic and reef-damaging substances polluting the ocean and shorelines in Mexico and the Caribbean, enhancing the resilience of coastal habitats and the health and safety of coastal communities worldwide.Carbonwave’s proprietary technologies create new employment opportunities, foster eco-tourism, and support marine protected areas and coastal habitats:

• Livelihoods and healthy reef ecosystem: The investment intends to reduce the adverse impacts of sargassum and protect food security of millions of people settled in the Mesoamerican and Caribbean region, the habitat of numerous species of commercial fish, the sand of the beaches, the livelihoods created through the tourism industry, and protection against extreme weather events.
• Job creation: Carbonwave hires predominantly from local communities. The company  is dedicated to fostering an inclusive work environment and generating new economic opportunities, job creation, and income generation for coastal communities impacted by the Sargassum influx.
• Climate change mitigation: Carbonwave aims to avoid emissions from decomposition of sargassum and use for beneficial products.
• Circular Economy: The investment promotes a circular economy by transforming waste material (Sargassum) into valuable products for the agricultural sector and other industries. This approach aims to reduce waste and the dependency on non-renewable resources.
• Sustainable Agriculture: By producing biostimulants and other eco-friendly products, the company supports sustainable agriculture practices. These products help reduce the use of harmful chemicals in agriculture, and are intened to improve soil health and crop yields.

^[1] https://coral.org/en/blog/the-stench-of-sargassum-season-how-seaweed-is-threatening-mesoamerica/

^[2] https://earthjournalism.net/stories/sargassum-the-macroalgae-thats-suffocating-the-mesoamerican-reef

Overview

Six Senses Grand Bahama is an ecotourism resort that aims to boost local tourism, development, and environmental restoration activities. With social and environmental responsibility at its heart, the new resort and residences will create employment opportunities for Grand Bahamians, encourage terrestrial and marine sustainability and regenerative activity on the island, and engage the surrounding community while protecting the land and adjacent oceans for future generations of locals and visitors to Grand Bahama. Ultimately, the goal of the resort is to serve as an exemplar for future sustainable tourism models on Grand Bahama and across the Bahamas and the Caribbean.

The Challenge

Hurricane Dorian was one of the strongest Atlantic hurricanes on record – and the strongest hurricane to have ever hit The Bahamas with devastating consequences for the northwest islands of Abaco and Grand Bahama in particular. The hurricane’s impact extended beyond the loss of lives, as it rendered a large number of individuals homeless and/or jobless. To compound the challenge of recovery, the COVID-19 pandemic further hindered the island’s ability to rebuild and rebound from the storm’s devastating aftermath.

In addition to the immense devastation caused by Hurricane Dorian, Grand Bahama has also suffered the loss of much of its precious coral reefs, which have been further degraded by the impacts of unsustainable tourism practices, pollution and unsustainable fishing practices.

Our Investment

The GFCR Investment fund is backing the development of the 70-villa luxury sustainable resort under the Six Senses hospitality brand and management. Six Senses is a sustainably-focused luxury resort operator with a focus on sustainability and regeneration.

Our  Impact Target

• Job creation and economic recovery: The project will generate employment opportunities during construction and operation (~200 permanent local jobs) with a focus on local job creation and gender equity, while the hotel itself will also contribute to the local economy by supporting adjacent businesses. It also serves as a support system for the island economy in the aftermath of Hurricane Dorian.
• Restoration: Collaborating with organizations such as BNT, TNC, Perry Institute, Coral Vita, and Blue Action Lab, the project aims to maximize reef and climate resilience. Over $2.5 million will be allocated through the hotel’s sustainability fund for marine conservation, including the improvement of MPAs, sustainable fishing initiatives, marine tourism opportunities, community projects, and coral restoration initiatives, ensuring the preservation of the marine ecosystem. Additionally, there is the possibility of implementing a new hurricane insurance model that promotes island rebuilding through the restoration of reefs and mangroves.
• Best-in-class sustainable building approach: The hotel will incorporate comprehensive energy, waste, water, and green materials strategies with LEED certification. The resort villas are designed as single structures with a light touch on the land. Each structure is prefabricated of timber in order to provide a zero-waste solution.
• Sustainable Management Plan: The hotel follows a zero-plastic approach and prioritizes local sourcing, ensuring the use of sustainable seafood and supporting local suppliers. To foster a culture of sustainability, educational and interpretation features are incorporated, encouraging tourists, travel operators, and local communities to adopt sustainable behaviors. Robust environmental and social safeguards are firmly in place and upheld at all times.

Overview

Curvalux is a developer of fixed wireless access technology. The Company’s aims to provide its customers with the means to offer broadband connections to global populations with less energy consumption, at lower costs, and higher speeds. Curvualux technology is suited to retrofit existing mobile towers as well as for the broader expansion of mobile networks in rural and urban settings alike.

The Challenge [1]

In 2016, The United Nations passed a non-binding resolution recognizing the importance of the internet for rights such as freedom of expression, education and freedom of conscience, and called for a “human rights-based approach when providing and expanding access to the internet. Nonetheless, over 2.9 billion[2] people remain without internet access as network operators fail to reach rural areas without electricity.

Furthermore, in developing countries, consumers primarily connect to the internet via mobile networks. Mobile communications towers consume 10 to 30 kiloWatts of energy each year, generating 200 to 600 tons of CO2 emissions annually. Mobile networks account for 2 to 3% of global power consumption[3] or 1 Gigaton out of 36.8 Gigatons of CO2[4] released in 2022.  If the 2.9 billion[5] people without internet access were connected to the internet through mobile technologies, an additional Gigaton of CO2 may be released into the atmosphere each year.

Our Investment

Pegasus SCF has executed a term sheet to become Curvalux’s lending partner, such that the Company can fulfill open purchase orders and expand its contract manufacturer relationships. A period of due diligence and negotiation of definitive documentation has begun in Q2 of 2023.

Our Target Impact

Our goal is to provide the global population with improved access to the internet while reducing energy emissions of mobile network infrastructure:

• Local Employment: SCF investment will enable Curvalux to employ a contract manufacturer creating permanent jobs in assembly and testing of Curvalux products
• Broader access to the Internet: The UN has stated that access to broadband is the equivalent of a human right. Curvalux aims to sell products that will expand mobile networks and improve connectivity.
• CO2 emissions reduction: Curvalux aims to offer products that are best-in-class with respect to energy consumption. The Company believes that its products can offset over 90% of emissions generated from a traditional LTE or 5G mobile network.

The investment described above is under negotiation by SCF and Curvalux.  There can be no guaranty that the investment will be completed on the terms described or implied above, that SCF will be able to successfully invest in such investment or that impact targets will be achieved.

[1] Source: Curvalux Management unless otherwise cited

[2] ITU, “Facts and Figures 2021: 2.9 billion people still offline”, 29th Nov 2021, https://www.itu.int/hub/2021/11/facts-and-figures-2021-2-9-billionpeople-still-offline/

[3] Source: GSMA, “Energy Efficiency: An Overview”, 19th May 2021., “https://www.gsma.com/futurenetworks/wiki/energy-efficiency-2/

[4] IEA, “Global CO2 emissions rose less than initially feared in 2022 as clean energy growth offset much of the impact of greater coal and oil use”, 2nd March 2023, https://www.iea.org/news/global-co2-emissions-rose-less-than-initially-feared-in-2022-as-clean-energy-growth-offset-much-ofthe-impact-of-greater-coal-and-oil-use

[5] ITU, “Facts and Figures 2021: 2.9 billion people still offline”, 29th Nov 2021, https://www.itu.int/hub/2021/11/facts-and-figures-2021-2-9-billionpeople-still-offline/

Overview

SCF plans to invest in a renewable energy company (“the Platform”) and enter into a joint venture with another renewable energy company that will provide projects to the Platform to rapidly develop, install and operate rooftop solar for Distributed Generation taking advantage of Mexico’s vast solar irradiance.

Both companies have four years of track record in the Distributed Generation sector(<500kW of capacity), providing Power Purchase Agreements, leasing and long-term financing for the commercial & industrial (C&I) Sectors.​ The companies are involved across all steps of the value chain from marketing, development, procurement, construction (supervision), operation and asset management.

The Challenge

Mexico’s energy mix is dominated by oil and gas, with oil accounting for almost half of the total. Meanwhile, Mexico’s electricity demand has increased on average by 1.6% per year since 2000. ​

Distributed generation (DG) solar projects can help Mexico reduce its reliance on fossil fuels and avoid emissions.  DG projects are generally are smaller and less regulated, with a threshold of 500 kilowatts – enough to power about 200 households.

In addition, the project is expected to contribute to the generation of direct and indirect employment and skills development in the communities, given that there will be multiple installations across the country.​

Our Investment

SCF is evaluating an investment to become the funding partner for the entire development, procurement, installation supervision, and operation of the solar PV assets. The initial capital will go towards the construction of +9MW with signed Power Purchase Agreements (PPAs). The following rounds of investments are expected to finance the construction of new assets and support the continuous business development of the platform. The capital deployment is expected to be over the next four years and expected to be around $40m.

Technical Assistance funding for the Environmental and Social Impact Assessment (ESIA) and Environmental and Social Management Plan (ESMP) started in September 2022. The investment is expected to begin in Q4 2022 after the publication of the ESIA and ESMP as per the Green Climate Fund’s requirements.

Our Target Impact

Our aim, alongside our local partners, is to support and scale up the renewable energy platform to develop, install and operate solar PV assets to offer clean energy to the C&I clients that currently have a reduced number of options for their electricity supply. Key highlights of the project include:

• Climate mitigation: Estimation of 126,464 (from 2027 onwards) avoided tCO2 emissions per year by mitigating power generation from primarily coal-powered electricity sources​.
• Access to clean energy: Generate 256,000 MWh of clean and affordable energy for industrial and commercial use per year​.
• Job creation and skills development: Create direct and indirect employment and skills development in the communities, given that there will be multiple installations across the country. Integrate more women into the processes, such as in the operation and maintenance phase.
• Promote economic growth: The reliable supply of electricity at a constant and cheaper tariff vs the state-utility for the long term while providing clean energy not only satisfy the current demand of commercial and industrial companies but attracts more companies to Mexico as a nearshoring effect supporting the growth of the Mexican economy.​
• Low risk of Environmental and Social risks: The installations are below 500kW over the roof of C&I clients, which implies a lower operational risk.

Overview

Pegasus Restorative Agriculture Jamaica is an agriculture is an agriculture production project developing 260 acres of coconut trees and intercropped ground produce, post-harvest processing infrastructure, cultivation operations and smallholder farmer extension services. The project is the foundation of a scaled agroforestry infrastructure strategy across geographies and crops, partnering with the Jamaican government to reclaim unused former sugarcane land for trees and food. The project’s benefits are food security, ecological restoration, labor creation, community resilience, and climate change mitigation. Production upon the orchard’s maturity will annually yield 6.4 million coconuts and 1,300 metric tonnes of fresh produce – ginger, turmeric, papaya, yucca and ackee. Pegasus Restorative Agriculture plans to expand its cultivation acreage within Jamaica and through partnerships in Haiti, Brazil, Costa Rica, Panama, and the Bahamas.

Pegasus Restorative Agriculture aligns Jamaica’s imperative for growth, change and efficiency in the agriculture sector with a project to address food security and elevate the agricultural sector. Community is our deliverable. Pegasus Restorative Agriculture is an agriculture infrastructure investment with equal purposes of production, engagement (through offtake) of smallholder farmers, ecological restoration, improved productivity, and farmer incomes.

Pegasus Restorative Agriculture will act on the CARICOM ‘25% by 2025’ imperative to locally produce 25% of the region’s food by 2025. Infrastructure, regenerative cultivation methodologies, and smallholder engagement will reduce food import dependency in Jamaica and the wider CARICOM region, while sequestering carbon in plentiful, unused, arable soil.

The Challenge

The Caribbean must modernize food production models to withstand current and future climate change impacts.  An unhealthy reliance on low-quality food imports may create social and economic vulnerability, while the COVID-19 pandemic, geopolitical events, and energy costs have further disrupted food supply chains. This climate of vulnerability has led to a timely shift by governments and business leaders to the development of agri-businesses as a means of providing food security and reducing import dependency.

CARICOM launched the COVID-19 Agri-food Plan, referencing the ‘25% by 2025’ imperative to replace 25% of imports with local/regional production by 2025. This is a high value commitment to regional purchasing within the 14 CARICOM Member States.

The Jamaican Community and Market Opportunity

Jamaica is a net importer of coconut products, with 4,700 coconut producers who are largely small farmers with less than 10 hectares under cultivation. Current production is insufficient to supply local demand, or to capitalize on opportunities that exist in the global and regional markets. Jamaica’s Coconut Board has resolved to attract 1,500 new coconut farmers to develop 150,000 acres of new coconut cultivation over the next eight years. Regenerative Agroforestry Partners plans to build expansive infrastructure on which the Jamaican coconut industry can thrive.

Our Investment

The Subnational Climate Fund plans to invest in Pegasus Restorative Agriculture Jamaica, a local operating company that will develop a model farm to sustainably manage cultivation acreage, and construct and operate input production (compost, biological fertilizers, biochar), nursery, and post-harvest processing infrastructure. Additionally developed capacities include outreach support services, digital registration, data capture and aggregation of local farmers to train at the production site and to then contract and sell outputs to the post-harvest facility. Smallholder farmers will have access to subsidized inputs.

Our Target Impact

• Annual CO₂ reduction:  Quantification as measured by Gold Standard ‘s Afforestation/Reforestation (A/R) GHG Emissions Reduction & Sequestration Methodology
• Land Use: Pegasus Restorative Agriculture activates biodiversity and productivity of abundant, fallow public and private lands.
• Water Use: Increased water use efficiency through soil restoration practices.
• Jobs created: Local employment created in the construction of model farm infrastructure (30 FTE), cultivation operations (28 FTE), and the activation and expansion of a proximate smallholder farmer network (TBD).
• Improved Livelihoods: Extension and training services, and post-harvest aggregation and processing facilities will increase yields and improve incomes of smallholder farmers.
• Extension & Training: Smallholder farmer outreach support services, digital registration, and data capture to train for optimal cultivation methodologies; Pegasus Restorative Agriculture to contract with, and purchase outputs from smallholder farmers. Farmers will have access to subsidized inputs – seedlings, seeds, biological fertilizers, biochar.
• Digitization: Digitization of smallholder farmers, outputs, impacts and traceability: a digital data capture and impact validation with all participating smallholder farmers through permissioned onboarding to validate practices, impacts, post-harvest traceability and economic impacts for farmer participants; proceeds from the sale of validated carbon credits (if applicable) provided to the smallholder farmer.

The investment described above is under development by SCF.  There can be no guaranty that the investment will be completed on the terms described or implied above, that SCF will be able to successfully invest in such investment or that impact targets will be achieved.

Overview

Six Senses Cerro Verde aims to demonstrate how exceptional ecotourism can contribute to the protection and restoration in the Galapagos. The project seeks to offer an alternative to carbon intensive tourism development and unsustainable consumption patterns, increase ecosystem resilience in high-value biodiverse areas, and engage local communities and island inhabitants on climate mitigation and adaptation, all while offering a best-in-class traveler experience. By placing the reduction of invasive species and protection of endangered species at the core of value creation, the holistic ecotourism model serves as a new region-wide approach.

The Challenge

Whilst tourism is critical to the region’s development, the Galapagos Islands have a unique biological diversity that needs to be protected. Wildlife and natural features such as beaches, coral reefs, and forests are the basis of the tourism industry and visitor experience. However, traditional tourism is increasingly dangerous to biodiversity. The Galapagos Islands are especially susceptible to the introductions of non-native and sometimes aggressive invasive species given its dependency on imports. Moreover, the Galapagos archipelago is one of the regions most vulnerable to climate change (Di Carlo et al, 2010). Consequently, an ambitious paradigm shift towards low-impact and climate-resilient tourism development is urgently needed to ensure the region can prosper without comprising its natural heritage.

Our Investment

Pegasus SCF serves as a capital partner to the developer, Orgal S.A. in the creation of a luxury ecotourism resort on San Cristobal Island in the Galapagos. Development is underway, with anticipated construction timeframe of two years.

Our Target Impact

Our goal is to create a holistic, inclusive ecotourism ecosystem that can not only protect biodiversity, but also is vital to food security and livelihoods for local communities. We aim to maintain cultural values and nature conservation. Key highlights of the project include:

• Local Employment: During both the construction and operations phase the ecolodge aims to create direct and indirect employment opportunities for the local population, more broadly in the hospitality sector;
• Gender equity: A significant amount of employment opportunities should be created for women taking into account context specific needs;
• Eradication of invasive species and introduction of native species on the project site: Controlling invasive species by replacing invasive species with native species in conjunction with the National Park Service and working with local farmers in the vicinity of the ecolodge to reduce imports of invasive species from the mainland;
• Sustainable sourcing of produce by collaborating with local farmers: The project aims to work with farmers to train them on sustainable agricultural practices, improved planification, and post-harvest processing activities. Our goal is also to connect farmers to markets to improve livelihoods and reduce food import from the mainland, reducing the risk of introducing invasive species on the island;
• Improved education: Educational activities and capacity-building are an integral aspect of every activity in the project – from constructing to operating – and targets all key stakeholders, such as local communities and visitors. The goal is to inform them about the socio-economic importance of nature conservation, promoting participatory management models and nature tourism;
• Emissions reduction of up to 50%: The main planning philosophy of the ecolodge is to create a sustainable destination that includes low-impact accommodations and related hospitality facilities based on a thorough energy, waste, and water management system that ensures environmental-friendly and efficient use of resources that is expected to halve emissions compared to an equivalent hotel. The ecolodge will be LEED-certified.

In partnership with the National Park Service, the investment will also support the Galapagos Rescuing Foundation – a non-profit organization geared toward the conservation of the Galapagos ecosystem.

The investment described above is under development by SCF.  There can be no guaranty that the investment will be completed on the terms described or implied above, that SCF will be able to successfully invest in such investment or that impact targets will be achieved.

Overview

The Company is an integrated cold chain logistics development platform that develops and operates temperature-controlled logistics (“TCL”) assets in North and West Africa where cold chain logistic operations are immature. These assets range from added-value cold storage logistic warehouses for perishable products to first-mile cold chain at the production and farm level.

The platform aims to address the significant gaps in the TCL market by developing green field facilities and acquiring and expanding existing facilities to provide a network of temperature-controlled warehouses that will support the local, import and export market in each country by providing access to cold chain services that meet international standards. Locally, this will allow small producers / farmers to reduce waste, improve the quality of their products and enable access to international markets via access to preservation and storage services. Depending on the location, these hubs will act as a logistics platform for importers and exporters improving access and trade within the African Continent.

The Challenge

The lack, and immature nature, of TCL in North and West Africa causes high post-harvest losses for farmers and small producers resulting in loss of income, increased food insecurity, lower quality produce, poor resource efficiency, etc. In Morocco and Senegal, for example, food waste varies between 10% (poultry, red meat) up to 40%/50% for fruit & vegetables (incl. potatoes, onions). Dairy products and fish also exhibit high waste losses between 15% and 25%. In addition, this lack of service results in an uncompetitive environment for exports of perishable goods as international standards are often not met.

The Company seeks to address these issues by providing the opportunity to create a coherent network of highly efficient cold chain logistic hubs in Africa built to international standards. The platform will seek to utilize a market systems approach to meet the needs of farmers who do not have access to cold chain solutions in order to help keep their products fresh, increase shelf life, and reduce post-harvest losses.

Proposed Investment

SCF is evaluating an investment to serve as a capital partner to the Company for the development and construction/acquisition (and expansion) of five temperature-controlled logistic warehouses in Senegal and Morocco.  Further capital may be made available for additional facilities to be constructed / acquired (and expanded) in Cote d’Ivoire and Tunisia post successful implementation in Senegal and Morocco. Development is ongoing with investment expected late Q4 2022 / early Q1 2023.

Our Target Impact

Our goal is to build a capable TCL platform in Africa that will develop and operate a network of efficient temperature-controlled warehouses to help reduce food wastage, improve local farmer and small producer livelihoods as well as increase food security, food quality and export competitiveness. Key highlights of the project include:

• Climate & Sustainable Cities / Communities:
  – Platform is expected to mitigate greenhouse gas and carbon emissions via (1) reduction in methane emissions from landfills by reducing post-harvest losses and food wastage by providing cold chain logistics and storage solutions currently not widely available; and (2) reduce emissions from transportation where the current solution for several perishable products is to be shipped and stored in Europe, and then shipped back
  – Energy efficient solutions (insulation, renewable, operational, processes, etc.) to be installed and implemented in all facilities (acquisitions & greenfield)
• Improve local sustainability and job creation:
  – Platform is expected to create direct jobs for development, construction, operations, and maintenance as well as indirect jobs (i.e., value add services, transport, handling, distribution etc.)
  – Increase market access (for farmers) and increase shelf life of perishable products (for stores/supermarkets) thus reducing production/post-harvest loss and wastage. This boosts both farmer and store incomes through efficient use of inputs
  – Improved resource efficiency from production to use consequently reducing pressure on the ecosystem
• Citizens with improved living conditions via food security, enhanced safety, and quality retention
  – Improved product shelf life and ensures that products maintain their freshness and quality for the longest duration through proper handling and storage
  – Improved nutrient retention / quality of perishable goods and food safety via use of international processes to store food, leading to improved nutrition
  – Reduce public sector health cost and improve healthcare offering of pharmaceuticals via appropriate storage methods
• Sustainable economic growth:
  – Value-added goods/services (e.g., food processing, labelling, goods handling, packaging, pre-cooling, etc.) will help local farmers access international markets
  – Offer improved quality products and international food handling standards that will help farmers meet international market requirements boosting exports

The investment described above is under development by SCF.  There can be no guaranty that the investment will be completed on the terms described or implied above, that SCF will be able to successfully invest in such investment or that impact targets will be achieved.

Overview

The Project is a utility scale Solar & Battery storage project located in the Dominican Republic. The Project will construct and operate up to 200 MWac Solar PV site with Battery Storage (additional locations under development). The Solar & Battery plant is in an ideal geographic region to capture solar energy with clear access to the National Grid. The integration of Battery Storage provides flexibility and resilience to support grid stability.

By replacing highly pollutant sources of energy in the DR (Gas, Oil & Coal), the Project is expected to quickly provide strong CO₂ mitigation impact, reduce reliance on expensive oil imports, and support the government’s renewable energy targets.

The Challenge

The Dominican Republic suffers from high emissions due to their energy production mix where steady increases in electricity demand have mostly been met by an increased use of oil, coal, and natural gas as an energy source (constituting ~75% of installed capacity as of 2020). Consequently, the Dominican Republic is dependent on expensive imports (such as oil) to meet this increasing demand. Hydropower is the next largest capacity at ~12%, however, this brings an element of hydrology risk.

To enhance electrification, improve diversification and reduce large oil imports, the government of the Dominican Republic has committed to increasing and supporting renewable energy projects to reach 25% renewables share by 2025 and one-third by 2030. The Project, with its battery storage solution, is well placed to meet these requirements by providing large-scale flexible renewable energy capacity.

Proposed Investment

SCF is evaluating an investment to serve as a capital and funding partner for the full development, construction, and operation of the Project. Development and licensing are ongoing, with construction of the site anticipated in Q2 / Q3 2023.

Our Target Impact

Our goal is to develop, build & operate the first Solar PV & Battery storage utility scale project in the Dominican Republic to support and accelerate the energy transition, as well as enhance grid electrification through diversification, stability, and flexibility. Key highlights of the project include:

• Climate mitigation: Estimation of 158,047[1] avoided tCO2 emissions per year by mitigating power generation from mostly coal, oil and gas fuel-powered electricity sources;
• Access to clean energy: Generate 371,003¹ MWh of clean and affordable energy per year;
• Local Employment: During its entire operating period, the Project aims to create direct and indirect employment opportunities for the local population for its development, construction, and operating activities. SCF’s investment will also support knowledge transfer and in-house training for local employees;
• Promote economic growth: Support productive use that transforms power into income and a path out of poverty through improved power supply for households and industry.

[1] The number refers to the anticipated financed installed site capacity of 200 MWac. Additional locations are under development. It was calculated based on the planned capacity, average direct normal irradiation per day, and the corresponding emission factor with the Gold Standard emission tool.

The investment described above is a potential pipeline investment of SCF.  There can be no guaranty that the investment will be completed on the terms described or implied above, that SCF will be able to successfully invest in such investment or that impact targets will be achieved.

Overview

The Project is a 150 MWac utility scale Solar PV project located in the southern region of Albania. The Project is in a strong location to capture solar irradiation and is close to full development awaiting final approval from the Ministry of Infrastructure & Energy having secured the Grid connection and Land for the solar park.

Given Albania’s reliance on hydropower (~95% installed capacity) and energy imports (~30% to 60%), this Project is expected to provide energy diversification to reduce the significant hydrology risk and improve energy security.

The Challenge

Due to instability in Europe with supply chain issues, high energy prices and war in Ukraine, energy independence and security has become vitally important. Albania has a large reliance of energy imports which have reached as high as 60% of the electricity mix, with most recent figures between 25% and 30%. These imports significantly limit economic growth, negatively impact the trade deficit, and leave the country open to supply shocks.

In addition, Hydropower represents ~95% of the installed electricity generation capacity in Albania. As such, the country faces significant hydrology, rainfall and climate change risk resulting in significant fluctuations in energy generation and an increased need to import electricity at a premium (even before the Global Pandemic).

Diversification to other renewable energy sources will help reduce this strategic dependence on imports and improve energy, political and macroeconomic security of the country, to which this large-scale Solar PV project is well positioned to support.

Proposed Investment

SCF is evaluating an investment to serve as a capital partner for the construction and operation of this Solar PV Project. Project development is close to completion with first Phase construction anticipated in early Q2, 2023.

Our Target Impact

Our goal is to develop, build & operate the Solar PV project that will enhance energy diversification within Albania, leading to improved energy security as well as reduced hydrology risk and reliance on imports. Key highlights of the project include:

• Climate mitigation: Offsetting Albania energy imports, priced at a premium, which vary between 30 and 60% of the total primary energy sources;
• Access to clean energy: Generate 346,279[1] MWh of clean and affordable energy per year;
• Local Employment: During its entire operating period, the Project aims to create direct and indirect employment opportunities for the local population for its development, construction, and operating activities. SCF’s investment will also support knowledge transfer and in-house training for local employees;
• Promote economic growth: Access to affordable energy by reducing energy imports. These imports are priced at a premium which negatively impacts economic growth, the trade deficit and increases the risk of supply shocks. Provides diversification to the Albanian grid which reduces the strategic dependence on imports and improves energy security. Reduces hydrology risk which causes significant fluctuations in energy production.

[1]   The number refers to the anticipated financed installed capacity. It was calculated based on the planned capacity and average direct normal irradiation per day.

The investment described above is a potential pipeline investment of SCF.  There can be no guaranty that the investment will be completed on the terms described or implied above, that SCF will be able to successfully invest in such investment or that impact targets will be achieved.

Overview

Yolélé Holdings supports smallholder livelihoods through climate-resilient agriculture. It is developing an integrated value chain for fonio, an ancient, nutritious, drought-tolerant, West African grain, as the foundation for broad-scale cultivation of indigenous African foods. The Company will promote smallholder capacity building through access to inputs and equipment, provide output finance and logistics support for smallholder sourcing, operate an industrial processing unit in Mali and establish an export and distribution hub in Senegal. The Company has unified production, collection, agriculture processing, distribution, and commercialization across three operating subsidiaries, with impact and commercial scale achieved through mechanization of the heating, decortication, and milling processes. Fonio, and other ancient, underutilized African foods can be grown on poor and shallow soils, in dry climates, and without irrigation; they can alleviate the continent’s reliance on imported wheat, rice, and maize. Yolélé’s smallholder-centric operations will expand cultivated acreage, the byproducts of which are improved livelihoods, more fertile soil, sequestered carbon, and greater food security.

The Challenge

The fonio value chain in West Africa is not currently scalable. Smallholder farmers have low productivity and production due to limited access to inputs. Pre-processing (threshing, winnowing, cleaning, sorting, dehulling) without equipment yields a poor quality of grains. Family units perform a set of meticulous manual operations which limits a smallholder famer’s monthly capacity to 100 – 500 kg of pre-cooked fonio. Mali (and West Africa) suffers from a lack of formal processing units capable of producing grains that meet export standards and at scale; more than 100 small-scale, pre-processors of local cereals use low-volume equipment with poor quality control mechanisms. Poor product quality limits consumer demand. Theses combined challenges provide little incentive to the smallholder farmer to increase her cultivated area beyond the family’s consumption needs. A massive swath of arable West African land lays fallow.

Our Investment

SCF plans to invest in Yolélé Holdings Limited, with proceeds further distributed to operating subsidiaries managed by in-country partners: Sustainable African Foods (SAF) (Mali) for smallholder capacity aggregation and post-harvest processing operations; Yolélé West Africa (Senegal) for the construction and operation of a distribution, export, and packaging hub; and Yolélé Foods, Inc. (U.S., Africa, EU) for brand management and CPG distribution.

Our Target Impact

• Land Use: Fonio can be grown on poor and shallow soils, in dry climates without irrigation.
• Water Use: Fonio is drought-resistant and one of the world’s fastest maturing grains, ready to harvest in 6-8 weeks
• Jobs created:
  – Local employment created in the construction of the Mali post-harvest processing facility, equipment installation and facility operations (50 FTE); Senegal distribution, export, and packaging hub (25 FTE).
  – Sustainable African Foods will contract with 30,000 smallholder farmers upon funding and has identified 40,000 additional farmers pending processing capacity. Foundations, NGOs and government entities have offered access to 1 million smallholders across West Africa
• Gender equity:
  – 60% of fonio growers are women.
  – Sustainable African Foods’ co-managed by a woman.
  – Haskè Ventures’ is female-founded.
• Improved Livelihoods:
  – SAF to offer to its producers a firm, year-round purchase price for fonio, removing commodity and income volatility.
  – Incomes further improved with improved seed, yields, and tools
• Extension & Training:
  – Smallholder farmer outreach support services, digital registration, data capture and aggregation to train for optimal cultivation methodologies and to then contract and sell outputs to SAF.
  – Smallholder farmers will have access to inputs, optimized seed, seed spreaders, dryland weeders, and fertilization methods.
• Digitization:
  – Digitization of smallholder farmers, outputs, impacts and traceability: a digital data capture and impact validation with all participating smallholder farmers through permissioned onboarding to validate practices, impacts, post-harvest traceability and economic impacts for farmer participants;
  – Proceeds from the sale of validated carbon credits provided to the smallholder farmer.

The investment described above is under development by SCF.  There can be no guaranty that the investment will be completed on the terms described or implied above, that SCF will be able to successfully invest in such investment or that impact targets will be achieved.

Accordant Energy is a company formed to develop ReEngineered Feedstock (“ReEF”), a unique product produced from municipal solid waste materials. Accordant Energy’s ReEF is developed and manufactured by the company’s proprietary technology for specific applications including gasification and combustion. The process accepts post recycling materials, which are then further processed in an Advanced Product Manufacturing (“APM”) plant to produce the specified ReEF product incorporating carefully controlled air-emission control sorbents. The advanced and innovative APM and ReEF technologies enable the ReEF to be produced with significantly improved homogeneity and consistency, which are two common issues that have been thus far challenging the waste-derived fuel applications.

Global Value Lighting (“GVL”) provides factory direct, turnkey private-label LED lighting to large retailers such as The Home Depot. GVL is 51% owned by Lighting Science Group (“LSG”). Powered by LSG’s patented technology, GVL works closely alongside its clients to design custom private-label programs that results in increased customer satisfaction.

Established in 2001, Lighting Science Group (LSG) is an award-winning leader in innovative LED lighting solutions that designs, manufactures and brings to market advanced products for consumer and commercial applications. LSG’s mission is to create healthier environments with lighting products that are thoughtful, simple to use, and focus exclusively on health, wellness and the biological impacts of light. Products designed by the Company include the GoodNight®, GoodDay®, and Sleepy Baby® LED bulbs and a horticulture light, the GroBar™. Lighting Science has been awarded Popular Science Magazine’s 2016 Best of What New Award, Architect’s Newspaper’s 2016 Product of the Year, several Business Intelligence Group (BIG) Awards, Edison Awards, Sapphire Awards, and the IES Illumination Award. The Company holds over 400 patents to date, and is continually experimenting with new uses for LEDs that focus on the intersection of biological science and light.

PanTheryx is a vertically-integrated medical nutrition company dedicated to improving global health and quality of life through innovative life science. Utilizing its broad-based proprietary technology platform, PanTheryx is focused on the research, development and commercialization of medical nutrition products targeting the gastrointestinal microbiome. The company distributes its products internationally through licensing relationships with major pharmaceutical partners with access to broad distribution networks. The company’s lead product, DiaResQ targets acute pediatric infectious diarrhea, a leading cause of death worldwide among children under the age of five.  DiaResQ has been shown to be both safe and efficacious in clinical trial settings and was selected by the Innovation Countdown 2030 initiative (led by PATH, the Bill & Melinda Gates Foundation, USAID and others) as one of the 30 leading healthcare innovations with great promise to transform global health by 2030.

Renaissance Downtowns is a suburban downtown revitalization company. The company enters into master developer relationships with municipalities while simultaneously engaging local communities utilizing a proprietary crowdsourcing process to gain input and foster support for future development. The company works with the municipality to write zoning codes and garner land use approvals dedicated to the creation of long-term social, economic, and environmental benefits for the community. Such benefits include permanent job creation and additional municipal revenues. Renaissance Downtowns’ emphasis on compact, mixed-use, transit oriented development reduces reliance on automobiles and encourages walkability, mass transit, and biking. This model aims to create healthier and more community-based lifestyles that also benefit the environment. Furthermore, through its public / private partnerships, the company receives rights to develop significant parcels of land which serve as the catalyst for the overall revitalization effort.

SleepScore Labs was formed in 2016 in partnership with Resmed, Inc. (NYSE: RMD), a world leader in the manufacturing of sleep-related medical devices, and Dr. Oz, one of the most prominent advocates for consumer health, to license, develop, and utilize technology that will assess and stratify consumer sleep issues, and connect consumers with solutions to improve their sleep. The Company’s vision is to redefine how we view sleep and allow users to take control and achieve the best possible sleep through data-driven solutions. The Company’s flagship product is the SleepScore Max, a non-contact sleep improvement system that measures both the quantity and quality of your sleep. The measurements captured by the Company’s products seek to inform its users with meaningful quality scores, personalized insights, and actionable advice.

Slipstream Communications holds interests in Creative Realities, Inc. Creative Realities offers media technology to generate shopper engagement in and around physical retail locations. The company also installs and services high-end audio-visual networks for global retailers, luxury brands, digital out-of-home (DOOH) companies, advertising networks, and outdoor clients. The company has four offices across North America and active installations in 40 countries.

T&M Israel is the leading security and janitorial company serving businesses, academic institutions, health care organizations and government throughout the State of Israel. Specializing in executive protection and command center monitoring, T&M Israel employs highly trained agents, all of whom are former members of the Israeli Defense Forces.

AKUA creates foods that can feed the planet sustainably while reversing climate change, and restoring health to our world’s oceans. All of our products are made from ocean-farmed kelp, which is one of the most healing and healthy forms of food on the planet. And we’re in the business of making seaweeds – or, as we like to say – seagreens – taste delicious.

Founded by Marci Zaroff, EFC is a lifestyle company comprised of four sustainable textile verticals. EFC is posed to scale each of its brands, creating an unparalleled apparel and home fashion business that benefits people and the planet.

Our mission is to promote K-12 environmental literacy as a project-based, multi-disciplinary 21st century learning initiative that engages students, parents, teachers, educators, schools, community-based partners and school districts committed to a sustainable and equitable future.

A sub-Saharan Africa (SSA) natural gas development company. Impala Energy is a power development company focused on small-to-medium sized natural gas power projects in SSA.

Female-founded, Katla is built on the core values of respect for people, animals and the environment. These values are reflected in how we designed our business model, the fabrics we use and the manufacturers we have chosen as partners. And we don´t ask you to take our word for it: we have built a website that provides complete transparency into our garments, from conception to arrival at your doorstep. When you buy Katla, you buy for the future.

Founded in 2000, Singapore-based Knowledge Platform is one of Asia-Pacific’s leading ‘next-generation’ learning solutions companies. The company provides holistic learning solutions for its clients in the form of strategy, content, technology and support.

Knowledge Platform specializes in learning and instructional design. It brings to its work substantial domain knowledge and experience in meeting the unique learning requirements of its clients.

The company has developed e-learning and blended learning training programs on a wide range of subjects in the educational, corporate and government sectors.

We source locally and globally to maintain a wide variety of sustainable, trusted, and healthy seafood harvested at its pinnacle of quality direct from the people that harvest the fish. No middlemen! We time our sourcing to purchase each species right when it tastes best – only after it finishes a season of eating the most nutrient-dense foods.

Liberate Medical is a medical device company that develops neuromuscular electrical stimulation technology to improve the quality and reduce the cost of care for patients with pulmonary disorders.

Medically Home’s hospital-at-home program enables health systems to safely admit patients to their own homes rather than the hospital for acute and restorative care

[Exited in 2021]

Powercast’s continuing mission is to increase the range and efficiency by which RF energy is converted into DC power, which can be harvested from dedicated and ambient sources.

Six Senses branded wellness- and sustainability-focused resort in Napa Valley.

Tintra is a mission driven Deep Tech & Banking business focused on using artificial intelligence to drive financial inclusion throughout the Emerging World. Using Artificial Intelligence atop its own heavily regulated infrastructure the company runs a Public Private Partnership model from which it builds solutions that a region needs in line with the stated regulatory and governmental initiatives.

It does this through the unique Tintra Culture Lab – a lab staffed by high-profile PhD level scientists, sociologists, ethnographers and geo-politicians – that has for the past 2 years been building Machine Learning and Natural Language Processing tools, some already patented by the United States Patent Office, that sees countries as they are, not how a Euro/American centric legacy banking infrastructure would like them to be.

Pricing risk based on behavioural metrics to build banking that is beyond borders, culture, politics or religion. Tintra uses Artificial Intelligence to bring Real Change.

ZeroBase Energy ® is a leading innovator of hybrid power generation systems, specifically focusing on diesel generator efficiency improvements. We specialize in off-grid and microgrid systems that deliver clean and reliable power to some of the most rugged locations and demanding customers on the planet.