Africa is accelerating its transition to cleaner energy and sustainable operations, and the journey toward decarbonisation brings enormous opportunities for businesses. Investing in green technologies brings the continent closer to meeting climate goals, but the complexity can create barriers to entry. This is where innovative risk management solutions and insurance play a crucial role by helping to unlock capital and enable a more confident shift toward sustainable growth.
Transitioning to green operations is not a small task. High upfront costs, technological innovation and regulatory changes can cause even veteran investors to pause. That’s why insurance is so important for promising initiatives in the fields of wind, solar, hydropower, and emerging markets like small modular nuclear reactors or hydrogen energy.
The introduction of the Tokio Marine GX (TMGX) platform, backed by South Africa’s leading private insurer, Hollard, and specialist underwriter iTOO Special Risks, is a significant step forward for African business.
TMGX offers tailored insurance and risk management for businesses. This approach provides a safety net, covering everything from project development and credit risks to decommissioning and liabilities.
Hollard Insure CEO Andrew Coutts highlights the platform’s value by saying, “TMGX provides a single point of access for businesses across multiple sectors at every stage of their energy transition journeys.” For businesses navigating uncharted terrain, having a partner that understands the full scope of risks and offers integrated coverages is invaluable. It simplifies risk management and boosts investor confidence, both of which are essential to mobilising capital at scale.
iTOO Special Risks brings deep market expertise, being a leader in what they term “cradle to grave” renewable energy insurance in Africa. As CEO Justin Naylor explains, their partnership with Tokio Marine enables the delivery of “tailored solutions and services that will support industries as well as the public sector in their quest to reduce carbon emissions and lessen the impact of their operations on the environment.” This expertise means that risks are carefully assessed and managed throughout the lifecycle of green projects, reducing uncertainty for stakeholders.
The market potential and timing for TMGX couldn’t be more relevant. Africa’s energy landscape is rapidly evolving with increasing commitments to reduce carbon footprints and expand renewable capacity. The TMGX platform serves markets across 10 African countries, including South Africa, Botswana, Ghana, Kenya, and Tanzania, providing support for a wide array of green initiatives.
Insurance is often the missing piece in the puzzle for green projects because it unlocks crucial capital. By mitigating the operational, financial, and regulatory risks, TMGX helps translate innovative ideas into investable ventures. As Andrew Coutts puts it, “We are proud to be part of Tokio Marine and the establishment of this new green innovation that will help us unlock new opportunities.”
The platform reflects a broader commitment to Africa’s sustainable growth. For companies and investors alike, it offers not only protection but also confidence that green projects are viable, scalable and aligned with evolving regulatory and environmental standards. This creates a virtuous circle where insurance supports investment, which in turn accelerates Africa’s shift to a low-carbon economy.
The TMGX platform, supported by Hollard and iTOO Special Risks, shows how tailored insurance solutions can be a key enabler of Africa’s decarbonisation ambitions and energy future.
