UpEnergy, established in 2011, sells highly efficient wood stoves in Uganda via its own network and local partners.
UpEnergy has developed ways of recording the carbon savings of its stoves, in accordance with the voluntary Gold Standard emissions trading scheme of the World Wildlife Fund, or the United Nations’ Clean Development Mechanism (CDM). By selling carbon credits to companies that produce greenhouse gases, it can reduce the cost of stoves.
The company meets all Finnfund’s financing criteria. It operates in a poor country and its products improve the quality-of-life of the poor and the state of the environment. UpEnergy also has a minority Finnish shareholder, Climate Wedge.
Most poor families still cook food in the traditional way, in a pot perched on three stones over a fire. In the countryside the usual fuel is wood, in towns charcoal. Felling trees for fuel contributes to deforestation, and the loss of forest cover is a severe problem in countries like Uganda. In the towns, the fuel has to be purchased, a big item of expense for poor families.
UpEnergy’s stoves burn wood more efficiently, creating a significant fuel saving. The stoves also produce far less carbon monoxide and particulate emissions. Smoky fires inside buildings and in doorways are major causes of respiratory disease, which is a bigger problem in Africa than malaria.
UpEnergy intends to expand operations to new countries. Stove models suitable for local conditions are being trialled in Ruanda, and there are similar plans for Liberia and Sierra Leone.
In future, the product range may be widened to include other ways of helping the everyday lives of the poorest people, while improving energy efficiency and the state of the environment.
In April 2014 UpEnergy was ranked seventh of Ten Most Innovative Companies in Africa by Fast Company.