IFC sets to fund $20milion off-grid power in Nigeria
The International Finance Corporation (IFC) is expected to finance a Nigerian clean power firm , Daybreak Power Solutions, $20 million for the provision of off-grid power in Nigeria. The statement was released in a statement obtained from Nigerian Investment Promotion Commission (NIPC).
According to NIPC, the fund which is being processed by the power firm, is expected to receive regulatory approval by the commission.
The Commission added that the fund when finally received would form a part of the $40 million Phase 1 capacity expansion project.
While doing financial analysis of the fund, NIPC said that the $20 million funds would be broken into two forms of disbursement: $10 million received in the local currency from the IFC, while the other half would be transmitted from the purse of the Canada-IFC Renewable Energy Program in Africa.
According to the statement, “The financing of the off-grid power project mirrors the IFC’s launch of the Climate Change Investment Program for Africa (CIPA), a sustainable energy financing and advisory programme concentrated in sub-Saharan Africa, the statement described.
The growth of economies, the future of energy security, and green jobs will be influenced by renewable energy, a report by research firm, researchgate, stated.
It would be noted that Daystar Power, had earlier this year raised $38 million in Series B funding from stakeholders.
It also received funds from the Danish DFI’s Investment Fund for Developing Countries (IFU), Proparco, STOA – a joint venture formed by French public financial institutions – and Morgan Stanley. The Lagos based power firm, is a frontline renewable energy providing delivering affordable, reliable and clean power to large industrial clients, including banking, retail, agricultural and logistics industries.