CEM REPORT, ENERGY | All On, an investment company of Shell has announced a pool fund of $11 million for the off-grid renewable energy sector in Nigeria.
The fund which will be disbursed through the company’s Demand Aggregation for Renewable Technologies (DART) programme, will support 25 mini-grid projects across the country, with over 2,700 solar energy systems.
The firm announced this at the inaugural DART workshop with off-grid developers, commercial banks, domestic investors, and other critical stakeholders, where they discussed strategies to unlock local currency commercial funding for the off-grid renewable energy sector in Nigeria.
According to the Chief Executive Officer of All On, Caroline Eboumbou, efforts had been made to increase the funding of the facility by $15 million, in collaboration with its partner, Global Energy for People and Planet (GEAPP).
She noted that so far it has received 12 successful applications
“While celebrating these achievements, we also acknowledge that challenges have arisen along the way.
“In collaboration with our partners at GEAPP, we are actively working to address these challenges. We have made significant progress in simplifying the application process and reducing the timelines from application to disbursement.
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“Additionally, we have expanded the eligibility scope to include Solar Energy Systems, Standalone Systems for Productive Use (SSPU), and Commercial and Industrial (C&I) developers,” Eboumbou said.
In November 2021, All On, in partnership with GEAPP set up the DART programme, a $10 million financing facility designed to accelerate the growth of the renewable energy sector in Nigeria and beyond.
Such funding couldn’t have come at a better time. The President recently signed the Electricity Act 2023, which seeks to create an enabling environment for the private sector to dive into the electricity market.