AfDB Approves $1.5 million Grant for Jigawa Solar Project

The African Development Bank (AfDB) has approved a US$1.5 million grant from the Sustainable Energy Fund for Africa (SEFA) to support the Nigerian government’s implementation of Phase 1 of the Jigawa 1-GW Independent Power Producer (IPP) Solar Procurement Program.

Amadou Hott, Vice-President for Power, Energy, Climate and Green Growth at AfDB says the approval solidifies the Bank’s commitment to Nigeria in resolving the chronic power shortage and ensuring increased access to sustainable and cost-efficient power.

“It is important for us to deliver a seamless implementation and provide necessary support to the government to conduct an effective IPP procurement process.”

The AfDB says an intergovernmental team led by Rural Electrification Agency of Nigeria will be the implementation agency for the grant.

Jigawa 1-GW Independent Power Producer (IPP) Solar Procurement Program was established to help Nigeria achieve its national goal of reaching 75% electricity access by 2020 and electrifying unserved and underserved areas ( particularly in northern Nigeria where access rates are lowest) as well as increasing the share of renewable energy in Nigeria’s energy mix to 30% by 2030.

The grant will be dedicated towards the completion of outstanding technical and feasibility studies and the design of a masterplan for the entire program site, according to the AfDB.

“Subject to the outcome of the technical and feasibility studies, the Bank will provide additional support to the government in the form of funding of a transaction advisor to design and launch the competitive IPP procurement.

The government has committed to de-risking the program through the provision of land and common facilities including transmission facilities,” reads a statement issued by the financial institution.