Nigeria’s Energy Sector Receives €17.9 Million Investment Boost From EU, Germany

By Bukar BOLORI

The European Union and Germany have committed €17.9 million to Nigeria’s Energy Sector.The Permanent Secretary, Ministry of Power, Mahmuda Mamman, made this known on Thursday in Abuja at the unveiling of the 3rd Phase of the Nigerian Energy Support Programme.

The event was organized by the Nigerian Government, EU, and Deutsche Gesellschaft fur International Zusammenarbeit, GIZ.

EU and German Government is launching the 3rd Phase of the Nigerian Energy Support Programme (NESP) to foster investments in renewable energy, energy efficiency and rural electrification NESP, which was 1% commissioned in 2013, is a technical assistance programme co-funded by the European Union (EU) and the German Federal Ministry for Economic Cooperation and Development (BMZ) and implemented by the Deutsche Gesellschaft fur Internationale Zusammenarbeit (GIZ) in collaboration with the Federal Ministry of Power (FMP).

Speaking at the launch and 1% Steering Committee meeting of NESP III, the Permanent Secretary, Federal Ministry of Power, Mahmuda MAMMAN said: “The Ministry continues to appreciate the EU and German Government for their continuous support to Nigeria, especially for ensuring energy security in the most affordable and sustainable manner”.

He stated that the 3” phase of the programme is “a welcome idea” that would build on the achievements of NESP Il by attracting more investments in renewable energy and energy efficiency as well as support towards the objectives of Nigeria’s Electricity Act 2013, aimed at stabilising the electricity market in states.

Also speaking at the launch, Ms. Inga STEFANOWICZ, Head of Section Green and Digital Economy at the European Union Delegation to Nigeria and ECOWAS commented that, “achieving a cleaner future is the business of all stakeholders, and the EU has not only continued to support the Nigerian government to achieve its energy security plans but to also achieve a sustainable energy future through the increase of renewables in its electricity mix. The EU is pleased to have commissioned an additional funding for the third phase of the programme to continue supporting the development of various frameworks and innovative models, bringing a new landscape to the concept of electricity franchising, attracting renewable energy investments and ensuring reliable power supply to its beneficiaries’, she said.

During his remark, Mr. Johannes Lehne, Deputy Ambassador, Embassy of the Federal Republic of Germany, also re-affirmed the commitment of the German government to Nigeria in achieving its Energy Transition targets.

While speaking, she said “Technologies and investments for renewable energy and energy efficiency will be key for diversifying Nigeria’s energy mix and decarbonising the five (5) critical sectors identified in the Energy Transition Plan (ETP).

“The third phase of NESP was commissioned by the German Federal Ministry for Economic Cooperation and Development (BMZ) with €8.9 Million in May this year.

“The EU has recently commissioned an additional €9 Million, which increases the total budget of the NESP programme to €17.9 Million. This shows Germany’s and its partners continued commitment to support Nigeria’s set targets in the Energy Transition Plan.”

The Head of Programme, NESP, Mr. Duke Benjamin emphasized that “active participation of and collaboration with the public and private stakeholders is critical to improve availability and reliability of energy in Nigeria. Hence, the 3% phase of programme would offer support – ranging from sustainable energy generation for rural communities, healthcare centres and businesses, efficient utilisation of energy, bridging the energy and electricity data gaps, strengthening private sector investments, and developing the capacities of regulatory agencies and local financial institutions”, he added.

So far, NESP has supported the Nigerian government in creating an enabling environment for local and international investments to thrive energy efficiency, renewable energy and rural electrification investments fostering investments in renewable energy, energy efficiency and rural electrification, as part of NESP’’s framework on in Nigeria.