The Nigeria Sovereign Investment Authority (NSIA) and All On, a Nigerian impact investor focused on renewable energy, have joined forces to bring light and opportunity to energy-deprived communities across Nigeria.Through the deployment of Distributed Renewable Energy (DRE), the initiative aims to reach areas neglected by traditional grid infrastructure by utilizing small-scale solutions such as solar mini-grids and home systems.
Caroline Eboumbou, Managing Director of All On, emphasized how profitable and efficient the DRE offer is by stating that “Mini-grids alone hold the potential to empower millions of low-income households and small businesses, while generating a staggering $10 billion in annual revenue”.
To achieve this Eboumbou stated that All On’s Demand Aggregation for Renewable Technologies (DART) programme, launched in 2022 “will acts as a powerful catalyst, bringing together multiple DRE developers and negotiating advantageous prices for renewable energy components, as well as securing financing from commercial lenders”.
According to her, “in less than two years, DART has funded 12 companies, paving the way for over 40 mini-grids and 47,000 connections. Over 230,000 lives and businesses are set to be positively impacted, a testament to DRE’s transformative power,” stated Eboumbou.
The Chito Community project in Benue State she disclosed “stands as a shining example of the impact of DRE. This 350KW mini-grid, the largest isolated project in the state, will positively impact over 7,000 households and businesses, opening doors to new possibilities and economic growth”.
Beyond illumination, DRE has far-reaching effects on economic development, entrepreneurship, and healthcare services. It provides communities, particularly women, with the opportunity to participate meaningfully in the economy and shape their own destinies.
Recognizing the potential of DRE, Aminu Umar-Sadiq, NSIA’s MD/CEO, called for continued investment from development partners, providing both capital and technical assistance. He also challenged the private sector “to innovate and develop scalable, affordable DRE solutions”.
According to him, “we are committed to leading the charge in this collective effort. We are working closely with partners to address the barriers to DRE adoption and to scale up its deployment across Africa. We believe that DRE is not just a solution to energy poverty but a catalyst for a more sustainable, equitable, and prosperous future.”
DRE he said lies at the heart of NSIA’s Renewable Investment Platform for Limitless Energy (RIPLE), which aims to achieve expanded energy access to the unserved and underserved segments of the population. RIPLE is expected to replace diesel-powered generation for commercial and industrial consumers.
To demonstrate this commitment, NSIA has launched initiatives such as the Construction Finance Warehouse Facility (CFWF), established in collaboration with InfraCredit. This N10 billion facility unlocks long-term capital for sustainable greenfield infrastructure projects, attracting further investment through domestic capital markets.
However, Umar-Sadiq stressed that more enabling policies, financial incentives, and streamlined regulatory processes are essential for DRE to reach its full potential.
