Nigeria’s Renewable Energy Push Gets $5m Boost, Targets 41,000 Beneficiaries

Nigeria’s push to expand renewable energy access has received a $5 million investment aimed at extending electricity supply to underserved communities and businesses across the country.

The investment was made by renewable energy organisation All On in ongoing projects being developed by PowerGen Renewable Energy Nigeria Limited, a company focused on clean, reliable and affordable electricity through renewable energy and distribution projects.

The funding will support isolated and interconnected mini-grid projects serving households, businesses and industrial customers in communities with limited or unreliable access to electricity.

All On Chief Executive Officer, Caroline Eboumbou, said the investment would expand renewable energy infrastructure while creating opportunities for communities and businesses to participate more fully in Nigeria’s economic growth.

The projects are expected to deliver up to 6,000 new electricity connections and reach an estimated 41,000 beneficiaries, alongside up to 9 megawatts of generation capacity and a combined energy impact of more than 17 MW/MWh.

The investment is also projected to create about 470 jobs across the communities and businesses that will be served. Funding support was raised by WindGen Power USA Inc., ElectriFI, Impact Fund Denmark, the Sustainable Energy Fund for Africa and InfraCo.

One of the projects being developed by PowerGen is the Toto Community Mini Grid Project in Nasarawa State, described as Nigeria’s first interconnected hybrid solar mini-grid. All On Investment Manager Oluseye Bassir said the new funding would support the replication of the Toto model in other parts of the country.

The renewable energy drive aligns with Nigeria’s Energy Transition and Investment Plans, which target 277 GW of installed electricity capacity and more than 104,000 mini-grids by 2030. The Federal Government projects that a shift towards domestic renewable energy could generate about $686.8 billion in fuel-cost savings by 2060, subject to the delivery of the required infrastructure.

The government has also established the Renewable Asset Management Company (RAMCO) to mobilise about ₦3 trillion for Nigeria’s renewable energy sector. Meanwhile, All On recently launched an Innovation Ecosystem Development Programme to provide technical and infrastructure support to clean-energy startups and entrepreneurs.