The African Development Bank (AfDB) has committed N766.7bn ($500m) to accelerate critical reforms in Nigeria’s power sector. This disbursement forms part of the bank’s larger $1bn Economic Governance and Energy Transition Support Programme, aimed at enhancing the country’s energy infrastructure and expanding electricity access to millions of Nigerians.
During the inaugural workshop on Nigeria’s Battery Energy Storage Systems (BESS) feasibility study, Dr. Abdul Kamara, AfDB’s Director General for the Nigeria Country Department, highlighted that the funding is central to driving Nigeria’s power sector transformation. Kamara emphasized that this effort is aligned with the bank’s broader commitment to improving energy access across the country, with a specific focus on the 90 million Nigerians still without electricity.
“Africa holds almost 60% of the world’s best solar resources but accounts for just 2% of global energy storage capacity. This gap is both a challenge and an opportunity,” said Kamara. He underscored the importance of battery storage systems in unlocking the full potential of Africa’s renewable energy resources.
Kamara further noted the success of battery storage projects in countries like South Africa and Kenya. He referred to South Africa’s 1,400 Megawatt-hour battery storage project, which supports grid stability and solar integration, and Kenya’s Olkaria geothermal-battery hybrid, which is providing reliable energy to millions. Kamara expressed confidence that Nigeria, with its vast renewable energy potential, is poised to take a bold step forward in this direction.
The BESS project, managed by the Transmission Company of Nigeria (TCN), is expected to play a pivotal role in Nigeria’s energy future, improving power distribution and storage capacity. The project aims to enhance grid stability and integrate solar power into the national grid, which could potentially transform the lives of millions who currently lack access to reliable electricity.
Dr. Sule Ahmed Abdulaziz, Managing Director of TCN, described the feasibility study as timely and critical to understanding the technical and commercial aspects of the BESS project. “It’s essential that we build the institutional readiness and operational protocols to ensure the success of this project,” Abdulaziz noted, stressing the need for comprehensive planning.
With this initiative, Nigeria is set to make significant strides in energy access, improving both the economic and social prospects for millions of its citizens. The AfDB’s financial support, alongside Nigeria’s commitment to energy transition, positions the country to address one of its most pressing challenges — electricity supply.
