The Performance-Based Grants aims to close the viability gap for mini grids developed on a spontaneous basis. Grants of US$600/connection are available on a first-come first-served basis, with a minimum total grant request of US$10,000 per mini grid. Eligible projects are solar hybrid systems in unserved areas. Applications for PBG will be accepted on a rolling basis, once the programme is active and until  the funds are exhausted.

The figure below gives an overview of the four phases of the application and approval process for the PBG Programme.

The application consists of a two-stage process. During the qualification stage, applicants will submit a programme application, including a corporate business plan, to show that they are eligible and qualified. Qualified applicants will then be invited to submit site-specific technical applications, with details on the site, generation and distribution designs, and targeted number of connections for each project

Once a site-specific technical application has been approved, the developer will enter into a grant agreement with the REA. Grants will be disbursed upon verification that customers have been connected to the network and have been provided satisfactory service.