- DEG is funding the USA-based Husk Power Systems with $750,000 to build eight community solar micro-grids in Nigeria.
- Husk Power Systems is already operating 12 micro-grids in the West African country.
Investment is picking up in Africa and the developed world seems to be making efforts to ensure that the continent is not bereft of access to green energy. The ace development finance institution of Germany, Deutsche Investitions- und Entwicklungsgesellschaft (DEG), is now funding the USA-based Husk Power Systems with $750,000 to build eight community solar micro-grids in Nigeria.
The financing is done by DEG to step up the renewable energy infrastructure in Nigeria under its Up-Scaling Program. Also, the funds are the first debt raised by Husk Power Systems for the Nigerian portfolio.
The official statement of Husk Power Systems held that the US firm is already operating 12 micro-grids in Nigeria. The company’s objective is to raise its business to 500 micro-grid operations by 2026.
Under the Up-Scaling Program, DEG provides funds for innovative and creative investments of small and medium-sized enterprises (SMEs) in developing countries like Nigeria. DEG does it in partnership with the Federal Ministry for Economic Cooperation and Development of Germany.
The World Bank has also approved the Power Sector Recovery Operation (PSRO) of $750 million in International Development Association (IDA) credit to improve the reliability of electricity supply and achieve fiscal sustainability in the power sector of Nigeria.
Recently, Sterling and Wilson Solar Solutions, Inc (SWSS), the US step down subsidiary of Sterling and Wilson Renewable Energy Limited (SWRE) signed an MOU with the Government of Nigeria, along with its consortium partner Sun Africa for the development, design, Construction, and commissioning of solar PV power plants aggregating 961 MWp at five different locations along with battery energy storage systems (BESS) with total installed capacity of 455 MWh. The solar power and battery storage projects will ultimately be owned and operated by Niger Delta Power Holding Company, a Nigerian Government owned entity.
Previously, Singapore based renewable energy corporation, B&S Power and Sunnyfred Global, a Nigerian investment entity, agreed to design, develop, finance and construct West Africa’s largest solar PV farm in Nigeria – The Ashama 200 MW solar PV project.