A firm, All On, an impact investment company focused on Nigeria’s off-grid energy market, has partnered with PowerGen Renewable Energy Nigeria Limited to accelerate the deployment of renewable-energy mini-grids across the country.
The partnership, structured as a mezzanine investment, is expected to support up to 6,000 electricity connections and provide access to reliable power for an estimated 41,000 people, while facilitating up to 9MW of generation capacity.
The projects will comprise isolated and interconnected mini-grids serving households, commercial and industrial customers in communities with limited or unreliable electricity supply.
According to All On, the investment will enable PowerGen to expand its renewable-energy infrastructure footprint in Nigeria and move more projects from development to delivery.
PowerGen, a renewable-energy company operating across Kenya, Nigeria, Sierra Leone and the Democratic Republic of Congo, develops and operates renewable-energy generation and distribution projects aimed at providing clean, reliable and affordable electricity.
Commenting on the investment, All On Chief Executive Officer, Caroline Eboumbou, said PowerGen had demonstrated its capacity to deploy renewable-energy solutions in communities and businesses where access to reliable electricity remained a challenge.
‘PowerGen has demonstrated that renewable energy solutions can be efficiently deployed to serve communities and businesses where reliable electricity remains a challenge,’ she said.
Eboumbou said the investment reflected All On’s confidence in PowerGen’s ability to expand its model across Nigeria.
‘For us, it is about backing a proven platform with the capital it needs to expand access to reliable power, while creating the conditions for more businesses and communities to participate in Nigeria’s economic growth,’ she added.
She noted that PowerGen had already developed interconnected renewable-energy infrastructure in Nigeria, including the Toto Community Mini Grid Project in Nasarawa State, described as Nigeria’s first interconnected hybrid solar mini-grid.
According to her, PowerGen’s expanding portfolio positions the company to deploy both standalone and grid-connected renewable-energy solutions across different customer and market segments.
Beyond electricity connections, the projects are expected to create approximately 470 jobs across the communities and businesses they serve.
All On Investment Manager, Oluseye Bassir, said PowerGen’s experience across different renewable-energy models was a key factor in the investment decision.
‘What stood out to us about PowerGen is the depth of experience behind the platform and its ability to operate across different renewable energy models,’ Bassir said.
He said the investment would provide additional capital to enable PowerGen to scale its interconnected mini-grid experience and move more projects from development into delivery.
PowerGen Chief Executive Officer, Aaron Cheng, said the investment was an endorsement of the company’s capacity to deliver renewable power at scale.
‘All On’s investment is a strong endorsement of PowerGen’s platform and our ability to deliver reliable renewable power at scale,’ Cheng said.
He added that Nigeria remained an important market for PowerGen and that the investment would support its continued expansion and mission to provide reliable, affordable and clean energy.
The investment also forms part of the Series C capital raise by PowerGen’s parent company, WindGen Power USA Inc., alongside funding from ElectriFI, Impact Fund Denmark, the Sustainable Energy Fund for Africa (SEFA) and InfraCo.
All On, seeded by Shell, is an independent impact-investing company established to catalyse the growth of Nigeria’s off-grid energy market and expand access to affordable, reliable and sustainable electricity for low-income households and small businesses.