AfDB approves $500 million loan to boost electricity access in Nigeria
The Board of Directors of the African Development Bank Group has approved a loan of $500 million to the Federal Republic of Nigeria to finance the first phase of the Economic Governance and Energy Transition Support Program (EGET-SP), a new program aimed at accelerating transformation of the country’s electricity infrastructure and improving access to cleaner sources of energy.
The loan will help close the financing gap of the Federal Budget in the 2024/25 fiscal year, specifically supporting the implementation of the country’s new Electricity Act and the Nigeria Energy Transition Plan.
The Nigerian government launched the energy transition plan in August 2022, and in June 2023, passed a new Electricity Act decentralizing the electricity supply industry and setting the stage for increased investments by subnational governments and the private sector.
The energy transition plan envisions the development, by 2050, of 250 GW of installed electricity capacity, 90% of which will be renewable. It will provide clean cooking access to the bulk of the population by 2030, using liquefied petroleum gas (LPG), biogas, biofuels like ethanol, and electric cookstoves.
The Economic Governance and Energy Transition Support Program will also support the implementation of these policies, helping deliver much-needed upgrades of Nigeria’s electricity infrastructure, and fast-tracking the country’s efforts to transition millions of households and businesses to cleaner and renewable sources of energy.
The Bank Group’s $500m support to the Federal Government of Nigeria is the latest in a series of initiatives aimed at supporting the country’s economic growth, poverty reduction, and climate action efforts.
The Economic Governance and Energy Transition Support Program (EGET-SP) is in line with the Bank Group’s new Ten-Year Strategy 2024-2033, its High 5s priorities, and the New Deal on Energy for Africa which seeks to achieve universal access to modern energy by 2030.
As of July 2024, the African Development Bank Group’s active portfolio in Nigeria is valued at about $4.4 billion.
We have recently deactivated our website's comment provider in favour of other channels of distribution and commentary. We encourage you to join the conversation on our stories via our Facebook, Twitter and other social media pages.
More from Peoples Gazette
Agriculture
FG tasks ECOWAS on leveraging financing strategies for agroecology
The federal government has urged stakeholders in the agriculture and finance sectors in the West Africa region to leverage financing strategies to enhance agroecology practices
Politics
Katsina youths pledge to deliver over 2 million votes to Atiku
“Katsina State is Atiku’s political base because it is his second home.”
States
Police nab four suspects for alleged child trafficking in Abia
Ms Chinaka said the suspects allegedly conspired to steal a four-day-old baby from her mentally unstable mother.Â
Agriculture
Enugu hires over 160 professionals to revive livestock production
Mr Ubru said the recruitment was in fulfilment of Governor Peter Mbah’s vision to revamp the agricultural sector.
Heading 2
Plateau government disburses N1.5 billion intervention funds to attack victims
Governor Caleb Mutfwang formally inaugurated the disbursement of the funds on Monday in Jos.
Heading 5
Don’t destroy APC like you did PDP, group warns Wike
Mr Wike has insisted that his major political priority remained securing the re-election of Mr Tinubu in 2027.Â
Heading 1
Atiku condemns Tinubu’s prolonged vacation abroad, says Nigeria can’t be governed on autopilotÂ
Mr Onanuga said that the president would return to the country at the weekend.Â
Economy
ECOWAS to honour 60 West African start-ups
The top three start-ups will receive $30,000, $20,000 and $15,000 respectively in seed funding.
