Nigeria has unveiled a $500m Renewables Investment Platform for Limitless Energy (“RIPLE”), the Nigeria Sovereign Investment Authority (NSIA) has announced.
RIPLE is another milestone initiative by NSIA in the climate sustainability asset class, having previously lunched Carbon Vista with Vitol and the Construction Finance Warehouse Facility.
The sovereign wealth agency described the platform as a transformative initiative dedicated to the development, investment, and operation of renewable energy projects across the entire value chain in the country.
“With RIPLE, NSIA is positioned to expand energy access, enhance energy efficiency and ensure energy security,” NSIA said in a statement at the weekend.
The launch of RIPLE, the NSIA said, was accompanied with the execution of a strategic partnership agreement with the multilateral finance group, International Finance Corporation (IFC) to further redefine Nigeria’s energy landscape.
The Authority said the partnership agreement with IFC signals a joint commitment to advance renewable energy development projects in Nigeria.
The pilot for the initiative located within the Tokarawa Industrial Hub in Kano State, the Authority said, involved setting up a generation and distribution system to meet 70MW of unsuppressed energy demands of industrial activities, commercial enterprises, and residential customers in an area covering about 9,000 connections.
“We are excited to partner with the International Finance Corporation to advance the transition to energy efficient solutions in Nigeria, an institution that shares our commitment to sustainable development, our focus is to empower the customers with a resilient and environmentally friendly energy solution that will optimise productivity and reduce carbon footprint,” the Programme Manager, RIPLE. Yusuf Umar, said.
The Regional Manager Africa, IFC, Dan Croft, said providing reliable electricity was crucial for improving the quality of life, productivity, and economic growth in Nigeria.
Croft said the IFC was pleased to collaborate with NSIA, which he described as its “longstanding partner”, to develop and implement the first phase of this innovative energy solution to reduce greenhouse gas emissions and reliance on fossil fuels.
The energy solution would also deliver reliable power supply for commercial, residential as well as industrial use across the country.
On the partnership, the Managing Director/CEO, NSIA Aminu Umar-Sadiq, said: “The collaboration between NSIA and the IFC is a clear demonstration of NSIA’s dedication to sustainable energy transition in Nigeria.
“As the custodian of economic resources for current and future generations of Nigerians, tackling climate risks is integral to NSIA’s objectives. We recognize the many opportunities it offers for innovation, growth, and economic transformation.”
NSIA is an independent investment institution, set up by an Act of parliament to manage funds in excess of budgeted hydrocarbon revenues.
NSIA operates three distinct funds, the Stabilization Fund (SF), the Future Generation Fund (FGF), and the Nigeria Infrastructure Fund (NIF).