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| Powerplant |
The Nigeria Sovereign Investment Authority (NSIA) has launched a $300 million Nigeria Distributed Renewable Energy (DRE) Fund aimed at increasing private-sector investment in renewable energy and expanding electricity access to underserved communities and businesses across the country.
According to the NSIA, the fund has reached its commercial launch stage, marking a transition from the structuring phase to the deployment of capital for distributed renewable energy projects in Nigeria.
The initiative is being implemented through a partnership involving the NSIA, Africa50, Sustainable Energy for All (SEforALL) and the World Bank, with the International Solar Alliance supporting the broader continental renewable energy vision.
Speaking on the launch, NSIA Managing Director and Chief Executive Officer, Aminu Umar-Sadiq, described the development as an important signal to investors and development partners that Nigeria's distributed renewable energy market is ready for investment at scale.
He said the commercial launch would help move the sector from fund structuring to the actual deployment of capital in renewable energy projects across the country.
Africa50 Chief Executive Officer, Alain Ebobissé, said the partnership behind the fund was a major strength, combining NSIA's understanding of the Nigerian market with Africa50's pan-African investment and fund-management capabilities.
He added that SEforALL would contribute expertise in energy access, while the World Bank would provide global energy-sector experience and catalytic capital.
Also speaking, SEforALL Chief Executive Officer and Special Representative of the UN Secretary-General for Sustainable Energy for All, Damilola Ogunbiyi, said the launch represented an important step towards achieving Nigeria's electricity-access objectives and advancing the Mission 300 initiative.
She said the dedicated financing mechanism could help translate the country's electricity-access ambitions into concrete investments and new electricity connections.
The Director General of the International Solar Alliance, Ashish Khanna, described the fund as a significant initiative within the Mission 300 platform, particularly because of its potential to attract private capital into distributed renewable energy.
World Bank Group Managing Director of Operations, Anna Bjerde, also stressed the importance of reliable and affordable electricity to job creation and economic transformation across Africa.