By Emmanuel Adegbite
The Federal Government of Nigeria has secured a $1.1 billion loan from the African Development Bank (AfDB) to enhance electricity access for five million people by the end of 2026. This strategic investment aligns with the administration’s commitment to expanding energy infrastructure and ensuring reliable power supply across the country.
The announcement was made by Bayo Onanuga, Special Adviser to the President on Information and Strategy, in a statement detailing President Bola Ahmed Tinubu’s remarks at the two-day Mission 300 Africa Energy Summit held in Dar es Salaam, Tanzania. The President’s address was delivered by the Minister of Power, Adebayo Adelabu, who underscored the government’s unwavering commitment to increasing energy access for millions of Nigerians.
Beyond the $1.1 billion AfDB loan, President Tinubu highlighted AfDB’s $200 million investment in the Nigeria Electrification Project (NEP), which aims to provide electricity to 500,000 people by the end of 2025. This initiative is part of a broader national electrification strategy that seeks to leverage innovative funding and technology to accelerate energy access in underserved areas.
The President expressed confidence in the ambitious targets, stating:
> “This is an ambitious goal, but we can achieve it together. As Nigeria’s President, I am committed to making energy access a top priority.”
The Federal Government is also expecting further investments totaling $1.2 billion from the AfDB to support critical energy initiatives, including:
1. Nigeria’s Desert-to-Power Programme – A $700 million investment aimed at leveraging solar power solutions to enhance electrification efforts, particularly in northern Nigeria.
2. Nigeria-Grid Battery Energy Storage System (BESS) – A $500 million facility designed to enhance grid stability and efficiency while delivering electricity to an additional two million people.
In addition, Nigeria is actively working to maximize the World Bank’s $750 million support package for expanding distributed energy access. This investment is expected to provide electricity to 16.2 million people through mini-grids and standalone solar systems, significantly boosting rural and off-grid electrification.
President Tinubu acknowledged and commended the contributions of global institutions and key stakeholders in Africa’s energy transformation. He extended his appreciation to:
– Ajay Banga, President of the World Bank Group, for supporting Nigeria’s energy expansion efforts.
– Dr. Akinwumi Adesina, President of the African Development Bank**, for his visionary leadership in promoting sustainable energy development across Africa.
– The United Nations Sustainable Energy for All (SEforALL), The Rockefeller Foundation, and The Global Energy Alliance for Development, for their continued commitment to advancing energy access initiatives.
The President emphasized Africa’s paradox of abundant energy resources yet widespread energy poverty, noting:
> “As we all know, Africa is rich in energy resources, yet millions of our citizens still lack access to reliable and affordable energy.”
The latest financial commitments and strategic partnerships mark a significant step toward addressing Nigeria’s longstanding electricity challenges. With these substantial investments, the government aims to enhance power generation, distribution, and storage capabilities, ensuring that millions more Nigerians gain access to stable and affordable electricity by 2026. These developments reinforce Nigeria’s broader vision of achieving sustainable energy security, economic growth, and improved quality of life for its citizens.
