PowerGen Nigeria
Period
2021
Country
Nigeria
Sector
Renewable energy
Financial facility
ElectriFI
ElectriFI invested USD 3m, together with Oikocredit and Triodos Investment Management to support PowerGen Nigeria – one of the leading developers in Africa of on-grid and off-grid distributed energy – to construct 28 rural mini-grids in Nigeria.
Project overview
ElectriFI, Oikocredit, and Triodos Investment Management committed USD 3 million to construct 28 rural mini-grids representing 11,000 new connections to electricity in Nigeria. Once operational, the CrossBoundary Energy Access will acquire PowerGen Nigeria Assets Ltd and becoming the long-term owner and providing the construction financiers with an exit.
PowerGen is one of the leading developers in Africa of on-grid and off-grid distributed energy, with offices in Kenya, Nigeria, Sierra Leone, Tanzania, and Benin. PowerGen has installed more than 3 MW of renewable energy projects across 10 countries and currently serves over 20,000 customers. The company was founded in 2011 with a vision to provide clean, reliable, and affordable electricity to 10 million people by 2030.
Funding objective
EDFI ElectriFI invests in PowerGen Nigeria Assets Ltd alongside Oikocredit and Triodos Investment Management, with the aim of construct 28 rural minigrids representing 11,000 new connections to electricity in Nigeria. Once operational, the CrossBoundary Energy Access will acquire PowerGen Nigeria Assets Ltd and becoming the long-term owner and providing the construction financiers with an exit.
Investment rationale
The project contributes to the country rural
electrification strategy while generating positive developmental impact as it enables reducing kerosene and diesel consumptions, while bringing high-quality, cost-effective 24/7 AC power to 55,000 people in rural Nigeria, while also having positive environmental and
economic impacts.
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Key Indicators
Financial Instrument
Equity
Amount
USD 3m (EUR 2,55m)
Year
June 2021
Targeted impact
