Nigeria launches project to provide underserved communities in with sustainable energy solutions

NIGERIA – The Government of Nigeria, in partnership with the African Development Bank (AfDB) has launched the National Electrification Project (NEP), to address critical energy access deficits by channeling private sector investments into mini grid and off-grid solutions.

The project, which will be implemented by Nigeria’s Rural Electrification Agency, comes as a boost towards the country’s efforts of achieving the target of universal energy access by 2030.

The National Electrification Project will boost Nigeria’s electricity production by approximately 76.5 MegaWatts (MW), of which 68 MW will be solar generated. The project is expected to benefit over 500,000 people.

Joint financing of US$200 million from the Bank and Africa Growing Together Fund (AGTF) will de-risk and scale-up private sector investment in the off-grid sector, nurturing a business ecosystem conducive to the rapid electrification of Nigeria’s off-grid communities.   

Speaking at the launch, Nigeria’s Minister of State for Power, Mr. Goddy Jedy Agba, hailed the African Development Bank for investing in the project, and highlighted its transformative potential.

“Imagine the impact a project like the NEP will have when it is replicated across rural communities in the country,” he said.

The Bank’s Acting Vice President for Power, Energy, Climate Change and Green Growth, Wale Shonibare, added that the project is expected to connect eight universities to reliable energy.

In addition, 150 female students will receive training on renewable energy solutions while 20,000 micro, small and medium-sized enterprises (MSMEs) will be supplied with appliances and equipment.

Ebrima Faal, Senior Director for the African Development Bank in Nigeria, said the NEP and other Bank-supported energy projects had been carefully designed to ensure that Nigerians have better access to reliable, affordable and safe power.

The Bank recently signed for the release of US$200 million to Nigeria for the expansion of the country’s power transmission infrastructure.

The US$200 million facility will finance phase one of the Nigeria Transmission Expansion project (NTEP), which will be implemented in two phases with the second phase estimated to cost US$210 million.

The project will reconstruct old transmission lines and build new ones as well as construct new substations, contributing to further increase in TCN’s transmission capacity.

These projects are initiated by TREP (The rural electrification program) and financed by AfDB targeting to rehabilitate and expand parts of the transmission grid in the North West, South South and the South East of Nigeria.

The projects are also aligned with the Federal Government of Nigeria’s Rural Electrification Strategy and Implementation Plan (RESIP) and the Power Sector Recovery Programme, which has the objective of increasing private investments in the energy sector.  

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