Top Investment Banking and Securities Firm Sign MoU with REA

Top Investment and Banking Securities Firm, Chapel Hill Denham Sign MoU with REA to Accelerate the Impact of Solar Power Naija Programme

In May 2023, the Rural Electrification Agency (REA) held a first-of-its-kind investor matchmaking event for the Solar Power Naija Programme, designed to provide an opportunity for potential investors to pitch their financial offerings to developers, clearly stating the selection criteria and key terms.

With support from the Power Africa Nigeria Power Sector Program (PA-NPSP, USAID), the event was graced by key investors and high-performing developers (pre-evaluated by the SPN team) in the power sector and enabled a healthy opportunity for networking and matchmaking.

The Solar Power Naija Programme was launched as part of the Economic Sustainability Plan (ESP) to achieve the roll-out of 5 million new solar connections in off grid communities. This program is expected to generate an additional N7 billion increase in tax revenues per annum and $10 million in annual import substitution.

The objectives of the programme is to Expand energy access to 25 million individuals (5 million new connections) through the provision of Solar Home Systems (SHS) or connection to a mini grid, Increase local content in the off grid solar value chain and facilitate the growth of the local manufacturing and assembly industry and Incentivize the creation of 250,000 new jobs in the energy sector.

The highlight of the forum was the landmark partnership between the REA and Chapel Hill Denham, a top investment and securities firm. With a Memorandum of Understanding (MoU) signed at the event, the collaboration between Chapel Hill Denham and the REA is a milestone in Nigeria’s quest to expand solar power access and accelerate economic development.

Chapel Hill Denham, recognized as one of the top 20 financiers of mini-grid developers worldwide, is a key stakeholder recognized for its contributions to climate finance. The team is set to bring on expertise in financing renewable energy projects and promoting sustainability principles.

Speaking during the event, the Managing Director/CEO of the Rural Electrification Agency, Engr. Ahmad Salihijo Ahmad encouraged partnerships like these to boost energy access in communities. He stated “As the implementing agency for Nigeria’s off-grid strategy, the REA has been working to support private developers by creating an enabling environment to facilitate investments in various ways, including access to data, policy support, grants, capacity development, stakeholder management, and most importantly financing for Developers”.

Bolaji Balogun, CEO of Chapel Hill Denham, emphasized the firm’s dedication to delivering sustainable solar power projects that contribute to the nation’s economic growth and social well-being. He added that “Together, we will work tirelessly to deliver sustainable solar power projects that contribute to the economic growth and social well-being of the nation,”

While giving his remarks, the Acting Deputy Missions Director, USAID Nigeria, Stephan Menard stated “I encourage the private developers to take advantage in accessing financing towards improving the lives of Nigerians by delivering sustainable energy access”.

The Head, Solar Power Naija Programme, Barbara Izilien stated “We hope with this approach, we will be able to build quick partnerships that would lead to new connections and further count towards our target of electrifying a minimum of 5 million households, serving a minimum of 25 million Nigerians.”