PowerGen Nigeria Assets Ltd.
- Country
- Nigeria
- Technology
- Hybrid Solar-Battery-Genset
- Business model
- Minigrid
Contract signature date: July 2021
Total ElectriFI financing: USD 3 m (EUR 2.55m equivalent)
Environmental and Social Category: B
(A) high risk, (B+) medium high risk, (B) medium risk or (C) low risk
Project overview:
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:
ElectriFI invests in PowerGen Nigeria Assets Ltd alongside Oikocredit and Triodos Investment Management, with the aim of 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.
Why ElectriFI wants to fund this project:
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.