NSIA, Africa50 launch $300m fund to expand renewable energy access

The Nigeria Sovereign Investment Authority (NSIA), Africa50 and Sustainable Energy for All (SEforALL) have launched a $300 million Nigeria Distributed Renewable Energy (DRE) Fund to expand electricity access to underserved communities and businesses across the country.

The fund, which will support the deployment of mini-grids and standalone solar systems, is designed to mobilise investment in distributed renewable energy solutions and help address Nigeria’s persistent electricity access challenges.

The commercial launch was announced on the sidelines of the 81st United Nations General Assembly, in New York, during the inaugural ASIS Global Action Forum, which brought together government officials, business leaders, investors, development institutions and civil society organisations to explore financing solutions for Africa’s development priorities.

The DRE Fund will be co-managed by NSIA and Africa50, while SEforALL will provide technical leadership on energy access.

Speaking on the initiative, Yusuf Umar, Managing Director and Chief Executive Officer of Renewables Investment Platform for Limitless Energy (RIPLE), launched by NSIA, said closing Nigeria’s energy access gap required financing structures capable of delivering viable solutions to communities and businesses.

He said the $300 million fund would help mobilise capital for distributed renewable energy projects at scale, while supporting businesses and creating opportunities for more Nigerians to participate in economic growth.

“Through collaboration, disciplined investment and effective implementation, we can help expand electricity access, support businesses and create opportunities for more Nigerians to participate in economic growth,” Umar said.

The initiative is expected to support electricity provision in underserved locations through decentralised renewable energy systems, offering an alternative to extending conventional power infrastructure to communities with limited access to reliable electricity.

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Reliable electricity is critical to economic activities, particularly for small businesses that depend on power to operate equipment, preserve products and provide services. Improved energy access can also support healthcare delivery, education, climate action and broader economic inclusion.

Chief Executive Officer of Sterling One Foundation, Olapeju Ibekwe, said the fund demonstrated the importance of translating development discussions into investments that deliver measurable benefits to communities.

“At the Africa Social Impact Summit, we believe that the true value of development conversations lies in what they make possible beyond the room,” she said.

Ibekwe said partnerships that mobilise capital and support practical solutions were necessary to address the needs of people and communities.

“Reliable energy can unlock opportunities for businesses, improve essential services and strengthen livelihoods,” she added.

She stressed the need to connect development commitments with investments capable of delivering lasting impact across Africa.

The fund was unveiled as part of efforts to advance the outcomes of the fifth Africa Social Impact Summit, held in Lagos in July, by extending discussions on development financing and investment opportunities to a global platform.

The ASIS Global Action Forum was convened by Sterling One Foundation in partnership with NSIA, the United Nations Population Fund (UNFPA), RALLY and other organisations.

The initiative reflects growing efforts to use partnerships between public institutions, private investors and development organisations to finance infrastructure and accelerate progress towards the Sustainable Development Goals.

However, the fund’s impact will depend on how effectively its resources are deployed to viable projects, the scale of electricity connections achieved and the ability of renewable energy providers to deliver affordable and reliable power to beneficiaries.

Sustained collaboration among investors, government institutions, development partners and private-sector operators will also be important to ensure that the investment translates into improved electricity access and stronger economic opportunities.

The Africa Social Impact Summit, co-convened by Sterling One Foundation and the United Nations, is a platform established in 2022 to accelerate progress towards the Sustainable Development Goals through innovation, financing and partnerships.