U.S. mobilises $4.5 billion for renewable energy

The United States government, yesterday, said nearly $4.5 billion had been mobilised for on-grid and off-grid power projects in Nigeria, and over 200 private companies in the off-grid sector have received assistance through its Power Africa Initiative.

While World Resources Institute (WRI) reports that over 85 million Nigerians lack access to electricity, making Nigeria the country with the highest number of citizens living without electricity provision, U.S. Agency for International Development (USAID) said its programme had already connected over 33 million Nigerians with $4.5 billion.

This comes as the Federal Government and the agency sealed a N115.2 billion deal on reform and clean energy transition plan.

The memorandum of understanding (MoU) is aiming at pushing Nigeria towards electricity sector reforms, market transparency, liquidity, and expanding access to sustainable, reliable, and affordable power.

The MoU, signed by USAID/Nigeria Mission Director, Melissa Jones and Permanent Secretary of the Ministry of Power, Mahmuda Mamman, would facilitate the implementation of a N115.2 billion ($300 million) U.S. government grant-funded technical assistance programme aimed at advancing power sector development and reforms in Nigeria.

Jones reiterated the U.S. government’s commitment to improving electrification in Nigeria.

She stated: “Today’s (yesterday) goal to strengthen collaboration between USAID and the Federal Government of Nigeria and to provide a framework for our partnerships with other key actors, including states and local governments, electricity generation and distribution sectors, and the off-grid sector, is laudable and timely.”

The U.S. government’s Power Africa Coordinator, Richard Nelson, said Nigeria is at the core of Power Africa’s strategy.

“I look forward to elevating our partnership to advance Nigeria’s progress towards our shared goal of ensuring access to reliable, sustainable, and affordable power for all,” he said.

Minister of Power, Adebayo Adelabu, applauded USAID’s continued support, highlighting the collaboration’s transformative potential.

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