Nigeria, alongside other Sub-Saharan African countries, has secured $20 million investment in the Metier Sustainable Capital International Fund II from the African Development Bank (AfDB).
Purpose of the funds: The funds would be channelled towards improving renewable energy and resource-efficient infrastructure projects in Nigeria and other Sub-Saharan African countries.
The bank made known that the fund would meet strict environment and safeguard standards to ensure potential risks were adequately mitigated.
According to a statement released by AfDB, the funding had become necessary to facilitate the production of an additional 178.5 megawatts of renewable power for commercial and residential use.
Why this matters: At a time where people are unaware of the vast opportunities that abound in renewable energy, this investment would be an eye-opener as it would create more opportunities for the countries to take advantage of industrial waste-water treatment and waste-to-energy generation.
Speaking on the bank’s investment in the project, AfDB’s Acting Vice President for Power, Energy, Climate Change & Green Growth, Wale Shonibare gave reasons why Metier was chosen to spearhead the project. He said the investment was part of the bank’s efforts to alleviate financing constraints in the renewable energy sector.
“Metier has extensive experience in developing and financing renewable energy projects with strong technical partners and co-developers in Southern Africa. We are pleased to join other investors in supporting their expansion into new African markets to help unlock the vast renewable potential of the continent.”
About Metier: As reported by Punch, Metier is a well-established fund manager with a track record of deploying more than $550 million in African countries, including solar, wind and hydropower projects in Southern and East Africa.
According to AfDB, the company had been a key player in South African solar power, a maturing technology that offers significant benefits in terms of storage and ability to dispatch.