Social Financing for City Energy Transition

Program Overview

The Tunse Fellowship program is designed to equip graduate students especially MBA, MPA, economics, and engineering students with the knowledge and skills necessary to design an "Impact First" investing instrument tailored to the energy transition needs of their respective countries. "Tunse" means to renew in the Yoruba language of Nigeria. 

This is a project-based learning Fellowship program where participants will learn primarily as they design an impact fund. Fellows will explore the principles of impact investing, analyze the energy sector landscape in their own countries, and create an investment fund to address a specific gap in their country or regional value chains for energy transition. The program will culminate in publishing a final online video pitch to potential investors in a fund.

Program Structure

• Duration: 1-2 Semesters

• Format: Online

• Modules: 8 

• Assignments: 6 Milestone Assignments, submitted as 8-minute recorded video presentations

Module Breakdown

Module 1: Introduction to Impact Investing

• Week 1: Fundamentals of Impact Investing

• Week 2: Impact Investing in the Energy Sector (video)

Module 2: Understanding the Energy Transition

• Week 3: Global Energy Transition Trends

• Week 4: Energy Policy and Regulation in Your Country (video)

Module 3: Identifying Investment Opportunities (video)

• Week 5: Market Analysis and Identifying Gaps (video)

• Week 6: Case Studies of Successful Impact Investments

Module 4: Designing an Impact First Investment Instrument

• Week 7: Structuring the Fund: Financial and Impact Goals

• Week 8: Defining the Investment Thesis and Criteria

Module 5: Organizational Analysis

• Week 9: Identifying Potential Fund Managers

• Week 10: Selecting a Potential Fund Manager in Your Region (video)

Module 6: Financial Modeling and Impact Measurement

• Week 11: Financial Modeling for Impact Investments (video)

• Week 12: Impact Measurement and Management Frameworks

Module 7: Legal and Ethical Considerations

• Week 13: Legal Structures and Compliance

• Week 14: Ethical Considerations in Impact Investing

Module 8: Preparing the Pitch

• Week 15: Developing a Compelling Pitch (video)

• Week 16: Final Preparations and Peer Review

Milestone Assignments

Milestone 1: Country Energy Sector Analysis

• Description: Conduct a rapid review of the energy sector in your country, identifying key challenges and opportunities for impact investing.

• Format: 8-minute recorded video presentation.

• Submission Deadline: End of Week 4 (deadlines are extended proportionally for those taking the 2-semester format).

Milestone 2: Market Gap and Investment Opportunity Identification

• Description: Identify and analyze specific gaps in the energy market that present opportunities for impact investing.

• Format: 8-minute recorded video presentation.

• Submission Deadline: End of Week 6.

Milestone 3: Fund Structure and Investment Thesis

• Description: Develop a detailed structure for your impact first investment fund, including financial and impact goals, and define your investment thesis and criteria.

• Format: 8-minute recorded video presentation.

• Submission Deadline: End of Week 8.

Milestone 4: Organizational Analysis of a Potential Fund Manager

• Description: Conduct an in-depth analysis of a potential fund manager in your country or region, evaluating their capacity to manage the proposed fund. (video)

• Format: 8-minute recorded video presentation.

• Submission Deadline: End of Week 10.

Milestone 5: Financial Model and Impact Measurement Plan

• Description: Present a financial model for your fund and a detailed plan for measuring and managing impact. (video)

• Format: 8-minute recorded video presentation.

• Submission Deadline: End of Week 12.

Milestone 6: Final Pitch Presentation

• Description: Develop and deliver a final pitch presentation of your impact first investment fund to potential investors, incorporating all elements from previous milestones. (video)

• Format: 8-minute recorded video presentation.

• Submission Deadline: End of Week 16.

Course Resources

• Readings: Selected academic papers, case studies, and industry reports.

• Tools: Financial modeling software, impact measurement frameworks, and online collaboration platforms.

• Support: Weekly office hours, discussion forums, and peer review sessions.

Learning Outcomes

By the end of this course, students will be able to:

1. Analyze the energy sector and identify impact investment opportunities.

2. Design a structured impact first investment fund.

3. Conduct organizational analysis to identify suitable fund managers.

4. Develop financial models and impact measurement plans.

5. Navigate legal and ethical considerations in impact investing.

6. Pitch an impact first investment fund effectively to potential investors.

This course will provide MBA students with a practical and comprehensive understanding of creating impactful investment instruments for advancing the energy transition in their countries.

Samples of Energy Impact Funds

Afterglow Climate Justice Fund

Manulife Global Clean Energy Equity Feeder Fund

Vanguard Energy Fund

Relevant Online Courses

https://www.coursera.org/learn/globalenergyandclimatepolicy/ 

Suggested Readings

Henderson, Rebecca. "Reimaging Capitalism in a World on Fire." Journal of Markets & Morality 24.1 (2021): 222-226. 

Simon, Morgan. Real impact: The new economics of social change. Bold Type Books, 2017.