ClimaFii Alliance

Improving livelihoods through financing and sustainable energy solutions for microenterprises

The Climate and Finance Innovations (ClimaFii) Alliance is an initiative anchored by Shell Foundation in partnership with Accion, with co-funding from UK aid through the UK government’s Transforming Energy Access platform. It aims to address critical challenges faced by micro-entrepreneurs in accessing affordable and appropriate clean energy solutions in Africa and India. Upaya joins the ClimaFii Alliance as the India partner and BFA Global joins as the Sub-Saharan Africa partner.

Upaya will work with Small and Medium Enterprises (SMEs) or startups in the clean energy space to improve livelihoods for micro-entrepreneurs. By targeting key sectors such as Food, Agriculture & Allied, Waste Management & Circularity, Textiles, and others, the program will focus on 10 selected businesses to drive sustainable growth, increase productivity, and enhance income for rural micro-entrepreneurs.

About The Program

India’s rural economy, powered largely by Micro, Small and Medium Enterprises (MSMEs), faces challenges due to limited access to scalable renewable energy solutions. This gap leaves MSMEs dependent on inefficient, high-cost energy sources, limiting productivity and income potential. With India’s Distributed Renewable Energy (DRE) sector poised for growth, there is a significant opportunity to transform how rural enterprises operate by introducing climate-smart solutions, such as clean energy innovations, to adapt to climate change and protect livelihoods.

The ClimaFii Alliance is designed to catalyze this change. By selecting a dynamic cohort of SMEs or startups focused on sectors like Food, Agriculture & Allied, Waste Management & Circularity, and Textiles, the program will drive sustainable growth in these key areas. Through strategic partnerships, financing options, and technical support, the program aims to foster job creation, boost income, and enhance climate resilience among rural micro-entrepreneurs.

Focused on clean energy innovations, the ClimaFii Alliance is designed to drive impact through DRE solutions. We are looking for innovations in India across the following sectors:

  • Solutions that provide solar-powered equipment for pre and post-harvest activities such as solar pumps, processing machinery, and cooling units. These innovations aim to support micro-entrepreneurs in increasing productivity and preserving agricultural outputs.

  • Circular economy models that include collection, segregation, and value-added processing. This includes DRE-powered waste-to-value solutions such as composting, biogas production, upcycling waste into reusable materials, and creating sustainable revenue streams for rural entrepreneurs.

  • Renewable energy-driven innovations in traditional textile production like solar-powered looms and stitching machines that empower artisan clusters and enhance productivity.

  • Clean energy or DRE applications in mobility or any other sector.

These innovations will not only drive income for micro-entrepreneurs but will also build resilience, promote sustainability, and open new market opportunities within the value chains, creating a more inclusive and climate-resilient economy.

What We Offer

Technical Support

Gain tailored guidance, access to expert advisors, and robust impact measurement support to drive growth and amplify your impact.

  • We will provide dedicated guidance on fundraising and financial resilience to prepare businesses for growth and follow-on funding.

  • You will have access to a team of advisors specializing in sustainability, innovation, and policy to guide your journey.

  • Upaya will work with the cohort to evaluate their impact on micro-entrepreneurs using a widely recognized and validated impact measurement model.

Business Growth through GTM Partnerships

Through our team of experts, we will offer tailored support to grow your business by refining your GTM strategy and enabling market access.

  • We will enable on-ground partnerships for expanding your customer base to reach a larger network of micro-entrepreneurs.

  • We will enable access to relevant markets through local, institutional, or corporate partnerships.

Financing

We are implementing a multi-pronged strategy to meet critical financial gaps as you expand your business.

  • All businesses will get up to $70,000 in funding through an innovative, business friendly, no-interest loan.

  • Businesses achieving gender based outcomes will be eligible for flexible terms on the seed funding.

  • As part of the ClimaFii initiative, Accion will work with the cohort to deploy innovative finance to micro-entrepreneurs, enabling easier access to clean energy products.

  • Based on fitment, businesses will also have access to follow-on funding through Upaya and other investors. This could include equity, debt, and impact-linked financing.

If you are a startup or SME operating in India, please apply here.

Who Should Apply

We will select businesses for the program based on the selection criteria listed here, in addition to showcasing how their companies are innovating across the Food, Agriculture & Allied, Waste Management & Circularity, or Textiles sectors.

Preference will be given to businesses that have one or more female founders, and/or have considerable amount of women jobholders, and/or impacting women micro-entrepreneurs.

We encourage entrepreneurs who can commit to the ten-month program to apply.

Applications close on February 25, 2025.

purpose-driven businesses that are manufacturing, distributing, aggregating, importing, wholesaling, or retailing clean energy solutions to micro-entrepreneurs for productive use

for-profit, impact-first business creating dignified jobs or livelihoods for micro-entrepreneurs

businesses registered and operating in India

businesses creating market linkages through buy-back arrangements with the micro-entrepreneurs

businesses supplying clean energy solutions to micro-entrepreneurs or micro-businesses

mid-growth stage businesses with a potential to reach 3000-5000 micro-entrepreneurs

preference for businesses operating in low income states or districts in India

Supported By

Inclusive Finance Partner

Implementing Partners

FAQs

  • The Climate and Finance Innovations (ClimaFii) Alliance is an initiative anchored by Shell Foundation in partnership with Accion, with co-funding from UK aid through the UK government’s Transforming Energy Access platform. It aims to address critical challenges faced by micro-entrepreneurs in accessing affordable and appropriate clean energy solutions in Africa and India. Upaya joins the ClimaFii Alliance as the India partner and BFA Global joins as the Sub-Saharan Africa partner.

  • Yes, all businesses that are selected for the ClimaFii Alliance program will get up to $70,000 in funding through an innovative, business friendly, no-interest loan. In addition, Upaya will invest in up to 3 businesses based on fitment, along with working closely with the cohort to enable access to follow-on capital.

  • The World Bank defines extreme poverty as living on under USD $1.90 per day. We partner with companies creating jobs that are targeted at this extremely poor population. While extreme poverty looks different around the country and the world, what people living in these conditions have in common is their dire economic vulnerability.

  • Upaya Social Ventures is a nonprofit organization, building a dignified economy by providing investment and support to early-stage businesses creating sustainable livelihoods for people living in the most extreme poverty.

    Upaya’s award-winning impact-first model seeks out and supports oft-overlooked companies creating work that is safe, stable, inclusive, and rewarding—generating a transformative impact on families, communities, and economies. Since its founding in 2011, Upaya’s portfolio companies have created over 44,000 dignified jobs across India.

  • Shell Foundation is an endowed, UK-registered charity that catalyzes clean energy innovation and unlocks inclusive investments in Africa and India, empowering millions of underserved customers to increase their incomes while cutting emissions. To achieve its charitable mission, Shell Foundation supports early-stage innovation and then partners with finance and corporate organizations to accelerate scale.

  • Accion is a global nonprofit on a mission to create a fair and inclusive economy for the nearly two billion people who are failed by the global financial system. We develop and scale responsible digital financial solutions for small business owners, smallholder farmers, and women, so they can make informed decisions and improve their lives. Through targeted investment strategies, advisory solutions, and expert thought leadership, we work with local partners to develop and scale cheaper, more accessible, and customer-friendly financial solutions. Since 1961, Accion has helped build 267 financial service providers serving low-income clients in 75 countries, reaching 440 million people.