Ghanaian clean energy startup Kofa is taking a bold step toward transforming urban energy access in Africa with its recent $8.1 million pre-Series A funding round. With plans to expand its AI-driven battery-swapping network across Ghana and Kenya, the company is redefining how energy is delivered to motorcycles, households, and small businesses across the continent.
The funding round—led by E3 Capital and Injaro Investment Advisors, with participation from the Shell Foundation and top European angel investors—includes a combination of equity, debt, and grants. This infusion of capital will accelerate the deployment of new swap stations, strengthen Kofa’s battery inventory, and scale its proprietary AI energy management platform.
Related Story: Kofa Technologies and PASH Global Launch £6.15m Battery Swapping Network in Ghana with Shell, UK Support
Powering Africa’s Energy Backbone
Since launching in 2021, Kofa has developed an energy-as-a-service model that allows users to swap depleted batteries for fully charged ones in under two minutes, at a cost of just $1 per swap. With a current average of 200 swaps per day and a 99% success rate, the system is already driving down fuel expenses, saving time, and improving productivity for gig workers, microbusinesses, and delivery riders.
Unlike other African clean energy startups that offer bundled solutions—combining vehicle manufacturing, leasing, and energy provision—Kofa’s unbundled model keeps its focus strictly on energy delivery. The company partners with vehicle distributors and manufacturers like TailG, who integrate Kofa’s swappable batteries into their products. The batteries themselves are financed by asset investors, allowing Kofa to remain capital-light while maintaining full control over logistics and system performance via its AI platform.
Growth Through Strategic Partnerships
Kofa’s CEO and co-founder Erik Nygard believes Africa’s growth lies in collaboration:
“Trying to control the entire value chain is the wrong play here. In Africa, scale happens through partnerships.”
With this approach, Kofa has already deployed 10 swap stations in Accra, with plans to roll out 40 more across Accra and Kumasi, and has begun expanding operations into Kenya. Its AI platform not only optimizes energy distribution but also ensures predictive maintenance and intelligent battery usage tracking—crucial features for scalability across new regions.
A $30 Billion Market Opportunity
Africa spends nearly $30 billion annually on petrol for small generators and motorcycles. Kofa’s battery-swapping solution delivers power at 20–30% lower cost, creating a win-win scenario for both economic and environmental sustainability. Capturing even 10% of this market translates into a potential $3 billion revenue opportunity, while reducing pollution and energy inefficiency.
While profitability is not the immediate goal, scale and infrastructure dominance are. “We’re not trying to make a quick buck—we’re building the backbone for energy access in Africa,” Nygard emphasizes.
Kofa is emerging as one of Africa’s most promising clean energy startups, offering scalable, tech-enabled infrastructure that’s efficient, affordable, and ready to disrupt a $30 billion market. With fresh funding and a strategic focus, the company is poised to power Africa’s energy future—one battery swap at a time.
