The African Development Bank (AfDB) has pledged $503 million to support Nigeria’s ongoing energy transition efforts, reinforcing the country’s shift towards a more sustainable and reliable power sector. This includes a $500 million disbursement under the second phase of AfDB’s $1 billion Economic Governance and Energy Transition Support Programme, as well as a $1.2 million grant to fund a feasibility study for a Battery Energy Storage System (BESS), a technology vital for stabilizing renewable energy inputs.
Speaking at the inaugural BESS workshop in Abuja, AfDB’s Nigeria Director General, Dr. Abdul Kamara (represented by Chigozie Egerue), emphasized the bank’s ongoing support in Nigeria’s energy reforms. Under its Africa Energy Transition Catalyst Programme, AfDB will collaborate with the Transmission Company of Nigeria (TCN) to study grid integration, develop business models for investment, and enhance local capacity to ensure long-term success.
Additionally, Kamara noted Nigeria’s strategic role in the bank’s broader $20 billion “Desert to Power” initiative, which targets 10,000 megawatts of solar energy generation across the Sahel to benefit 250 million people. He also cited direct investments such as the $200 million Nigeria Electrification Project for mini-grids and off-grid access and a $250 million Transmission Expansion Project aimed at bolstering the national grid.
Nigeria’s Minister of Power, Chief Adebayo Adelabu, acknowledged that while reforms have been implemented in the power sector, critical issues persist—including unreliable power supply, poor grid dispatchability, and underutilized generation capacity. He stressed the importance of energy storage systems like BESS to stabilize the grid amid increasing integration of solar and wind energy.
Echoing these concerns, TCN’s Managing Director, Sule Ahmed Abdulaziz, outlined the technical difficulties the grid operator faces, such as frequency instability, peak load management, and insufficient reactive power. He described battery storage as a vital solution to these systemic challenges, with the potential to greatly improve electricity reliability for both residential and industrial consumers.
Source: The sun