The International Finance Corporation (IFC) has joined forces with five distributed renewable energy (DRE) companies to expand mini-grid projects across Nigeria, aiming to address the country’s electricity access gap and accelerate its transition to sustainable power solutions.
The agreement was formalized on Monday at the Mission 300 Africa Energy Summit in Dar es Salaam, where IFC partnered with Havenhill Synergy Ltd., Prado Power Ltd., PriVida Power Ltd., Sosai Renewable Energies Ltd., and Virtuitis Solaris Ltd.
These companies are involved in the World Bank-funded Nigeria DARES program, which is implemented by the Rural Electrification Agency (REA) of Nigeria.
The partnership is set to provide electricity to 400,000 people, contributing to Nigeria’s goal of achieving a more efficient and economically viable energy supply.
Wale Edun, Minister of Finance and Coordinating Minister of the Economy, emphasized the deal’s significance in combating energy poverty across Africa.
“This agreement will have a transformative impact, providing electricity access to 400,000 people, and I urge everyone to focus on action rather than words,” Edun said. He also commended Ajay Banga, President of the World Bank, and Akinwumi Adesina, President of the African Development Bank (AfDB), for their crucial contributions to the initiative.
Adebayo Adelabu, Minister of Power, highlighted the importance of public-private collaboration in achieving universal energy access in Africa, noting that Nigeria’s $30 billion energy funding gap under Mission 300 requires collective efforts.
“Success depends on partnerships, cooperation, and collaboration. No single entity can achieve this alone,” Adelabu stated, underscoring the need for both local and international private sector participation.
Chantel Abdul, CEO of Solaris and a representative of the DRE companies, reiterated the commitment to expanding energy access in underserved communities and praised development partners for supporting the Distributed Energy Solutions (DES) program. This program aims to provide off-grid electricity to those most in need.
“This agreement reflects our development partners’ dedication to the M-300 agenda, and we deeply share the mission of connecting 300 million Africans, including Nigerians, to electricity,” Abdul said. She also acknowledged IFC’s role in providing bridge financing, which helps renewable energy firms scale their operations.
Abdul affirmed Solaris’s goal of constructing 500 mini-grids over the next two years, starting with 100 grids in the first year, connecting at least 200,000 customers across 10 to 15 Nigerian states.
