The Green Fund is South Africa's premier climate and environmental finance facility, managed by the Development Bank of Southern Africa (DBSA) on behalf of the Department of Forestry, Fisheries and the Environment (DFFE). With R1.1 billion allocated since 2012, the Green Fund provides grants (recoverable and non-recoverable), loans, and equity for projects that demonstrate environmental impact, replicability, and job creation potential.
Who This Is For
This guide is for:
- Renewable energy developers and installers
- Waste management and recycling businesses
- Green technology and cleantech innovators
- Environmental consulting firms
- Municipalities implementing green initiatives
- NGOs working on environmental projects
- Agriculture businesses adopting sustainable practices
- Water conservation and treatment companies
About the Green Fund
Established in 2012, the Green Fund was created to support South Africa's transition to a low-carbon, resource-efficient, and climate-resilient economy. The Fund is aligned with the National Climate Change Response White Paper and supports projects that contribute to achieving national climate commitments.
Fund Structure
Funding Instruments:
Green Fund Focus Areas
The Green Fund is one fund. Historically its grants were classified under thematic "windows" (Green Cities & Towns, Low Carbon Economy, Environmental & Natural Resource Management)—these are focus areas of the single fund, not separate programmes you apply to. The themes below illustrate the kinds of projects the Fund supports:
Green Cities & Towns
Sustainable urban development, green infrastructure, and climate-resilient cities. Focus on replicable models that can be scaled across municipalities.
Eligible Activities:
- Energy-efficient municipal buildings and infrastructure
- Green public transport systems
- Urban greening and ecosystem restoration
- Smart city technologies for resource efficiency
- Climate adaptation infrastructure (flood management, heat islands)
- Integrated waste management systems
Low Carbon Economy
Projects that reduce greenhouse gas emissions and promote energy efficiency across all sectors of the economy.
Eligible Projects:
Environmental & Natural Resource Management
Sustainable management of natural resources, biodiversity conservation, and ecosystem services that support livelihoods.
Focus Areas:
- Sustainable agriculture and land management
- Water conservation and efficient irrigation
- Coastal and marine ecosystem restoration
- Biodiversity conservation with livelihood benefits
- Climate-smart agriculture practices
- Reforestation and carbon sequestration
- Sustainable fisheries and aquaculture
Sustainable Waste Management
Promotes circular economy approaches, waste reduction, recycling, and waste-to-value technologies.
Eligible Initiatives:
Other Climate Finance Sources
Beyond the Green Fund, several other facilities provide climate and environmental finance in South Africa:
DBSA Climate Finance Facility
DBSA is accredited with the Green Climate Fund (GCF) and Adaptation Fund, providing access to international climate finance for large-scale projects.
Available Instruments:
- Green Climate Fund (GCF) loans and grants for mitigation and adaptation
- Adaptation Fund grants for climate resilience projects
- DBSA green bonds for climate-positive infrastructure
- Just Energy Transition funding for renewable energy
IDC Green Energy Solutions
The Industrial Development Corporation provides financing for green industries, renewable energy, and sustainable manufacturing.
Key Offerings:
Jobs Fund Green Economy Window
The Jobs Fund periodically opens calls for proposals targeting green economy job creation. The current 13th round, "Catalysing Demand-Led Growth in the Green and Informal Economy," closes 30 June 2026 (minimum grant R5 million, aimed at sector intermediaries).
Eligible Activities:
- Green infrastructure projects creating construction employment
- Renewable energy installation training and placement
- Recycling and waste management job creation
- Green skills development programmes
Provincial Environmental Funds
Several provinces have established their own green economy and environmental funds:
| Province | Fund Name | Focus |
|---|---|---|
| Gauteng | Gauteng Green Economy Fund | Green businesses, waste management, renewable energy |
| Western Cape | Green Economy Programme | Green technology, circular economy, climate adaptation |
| KwaZulu-Natal | Environmental Affairs Fund | Conservation, sustainable tourism, coastal management |
Eligible Projects in Detail
Renewable Energy
Funded Project Types:
Solar Energy
- Rooftop solar installations (C&I, municipal, residential)
- Solar farms and community solar projects
- Solar water heating programmes
- Off-grid solar for rural electrification
Other Renewable Technologies
- Small-scale wind energy projects
- Biogas from waste (agriculture, landfill)
- Biomass energy from sustainable sources
- Hybrid renewable energy systems
Waste Management & Recycling
Priority Areas:
Green Infrastructure
Eligible Infrastructure Projects:
- Water Conservation: Rainwater harvesting, greywater systems, water-efficient irrigation
- Green Buildings: Retrofits for energy/water efficiency, green building certifications
- Nature-Based Solutions: Wetland restoration, urban forests, permeable surfaces
- Climate Adaptation: Cooling systems, flood defenses, drought resilience
Eligibility Requirements
Environmental Criteria
All projects must demonstrate clear, measurable environmental benefits:
| Criterion | Requirement |
|---|---|
| Climate Impact | Quantified GHG emissions reduction (tCO₂e) or adaptation benefits |
| Replicability | Model can be replicated or scaled to other contexts/regions |
| Innovation | Demonstrates innovative approach or technology application |
| Job Creation | Creates direct or indirect employment opportunities |
| Transformation | Strong B-BBEE credentials and social inclusion |
| Environmental Compliance | All required environmental authorisations in place |
Financial Viability
Basic Requirements:
- Registered South African entity (company, NPO, municipality)
- Tax compliant with valid Tax Clearance Certificate
- Demonstrated technical and management capacity
- Clear business model and financial sustainability plan
- Co-financing commitment (typically 30-50% of project costs)
- B-BBEE certificate (preferably Level 4 or better)
How to Apply
Done with you · human-reviewed
Funding Application Pack
Most applications to the Green Fund are turned away for incomplete or poorly presented paperwork before the merits are read. We prepare your full application pack with you: the forms, a funder-ready business plan and financial summary, and a document checklist, reviewed by a person before you submit.
Application Steps
Email a Project Introduction
Intake is by emailing a project introduction to greenfund@dbsa.org. There is no published application window—the process is competitive and the Fund engages with promising projects directly.
Prepare Concept Note
Submit a brief concept note (5-10 pages) outlining your project, environmental impact, budget, and implementation approach. Include preliminary impact calculations.
Concept Note Review
Green Fund team reviews concepts for strategic fit and eligibility. Shortlisted applicants are invited to submit full proposals. This typically takes 4-8 weeks.
Full Proposal Submission
Develop comprehensive proposal with detailed environmental impact assessment, financial model, implementation plan, M&E framework, and all supporting documentation.
Due Diligence & Approval
DBSA conducts technical, environmental, financial, and legal due diligence. Approved projects proceed to contracting. Full process takes 6-12 months.
Required Documents
- Organisation registration (CIPC, NPO certificate, municipal resolution)
- Tax Clearance Certificate (TCC)
- 3 years audited financial statements or municipal budget
- Environmental Impact Assessment (EIA) or screening report
- Detailed project feasibility study
- Financial model with climate impact calculations
- Implementation plan with milestones and timeline
- Monitoring & Evaluation (M&E) framework
- Co-financing commitment letters
- B-BBEE certificate
- CVs of project management team
Tips for Success
Quantify Environmental Impact
Use internationally recognized methodologies (IPCC, GHG Protocol) to calculate emissions reductions and environmental benefits. Be conservative and verifiable in your estimates.
Demonstrate Replicability
Show how your project can be scaled or replicated to other regions or contexts. The Green Fund prioritizes models that can create broader impact.
Strong Monitoring Framework
Develop a robust M&E system to track environmental outcomes, not just activities. Include third-party verification mechanisms where possible.
Highlight Job Creation
Quantify direct and indirect jobs created, particularly for youth and women. Green jobs are a key evaluation criterion.
Common Mistakes to Avoid
- Weak environmental case: Generic claims about environmental benefits without credible quantification or methodology.
- Unsustainable business model: Projects that cannot continue after grant funding ends, lacking clear revenue streams.
- Missing co-financing: Insufficient own contribution or unconfirmed co-financing commitments.
- Poor implementation capacity: Team lacks demonstrated experience in project management and environmental work.
- No regulatory approvals: Missing environmental authorisations, land rights, or other required permits.
- Unrealistic timelines: Underestimating regulatory processes, procurement, and implementation challenges.
Key Legislation & Policy
Green Fund projects must align with South Africa's climate and environmental legislation:
- National Environmental Management Act (NEMA): Environmental authorization requirements for listed activities
- National Climate Change Response White Paper: National climate strategy and mitigation/adaptation goals
- Carbon Tax Act: Carbon pricing and emissions reduction incentives
- Renewable Energy Independent Power Producer Procurement Programme (REIPPPP):Framework for IPP renewable energy projects
- National Waste Management Strategy: Waste hierarchy and circular economy principles
- Municipal Systems Act: Requirements for municipal infrastructure projects
- Section 12B Tax Incentive: Tax deduction for renewable energy investments
Next Steps
Ready to Apply?
- Visit Green Fund website: www.sagreenfund.org.za
- Email your project introduction: Send a project introduction to greenfund@dbsa.org—this is the intake route; there is no published application window and the process is competitive
- Review funded projects: Study past successful projects to understand what the Fund supports
- Contact DBSA: Call 011 313 3911 for guidance
- Prepare your documentation: Start gathering EIA, financial statements, and impact calculations
Green Economy Funding Overview
Comprehensive guide to all green economy funding sources in South Africa.
DBSA Infrastructure Guide
Complete guide to DBSA's infrastructure and development finance products.
Ready to Apply?
Browse live Green Fund funding programmes in FundingOS. Check your readiness before applying to identify any gaps in your documentation.
Done with you · human-reviewed
Funding Application Pack
Rather have your Green Fund application prepared and checked before it goes in? We put the whole pack together with you and review it before you submit.