The European Union injects €10 million in Climate Investor One for the financing of renewable energy projects in Nigeria
The European Union has increased its funding of the Climate Investor One (CI1) to boost renewable energy in Nigeria, including for the benefit of vulnerable communities. This contribution of €10 additional million is channelled through the EU’s close partner FMO, the Dutch Development Bank. Together with the original commitment of €30 million, this top-up has the potential to unlock €100 million in renewable energy investments.
Some of this funding may target projects such as KONEXA, a 30 MW solar project in Kaduna, Nigeria, which has already received approval for development activities under CI1’s Development Fund and is expected to enter construction in 2021.
This additional EU funding stems from the approval of the Nigeria Renewable Energy Programme (NREP) and represents a significant contribution to a dedicated and ring-fenced renewable energy facility for projects in Nigeria. CI1 can now deliver affordable sustainable growth by adding to the strength and growth of the existing pipeline of Nigerian renewable energy projects. Collectively, these projects represent an estimated opportunity of over 150 MW.
This action is in line with the EU’s Green Deal and the strategy to mobilise private sector investment to increase access to modern, reliable, affordable and sustainable energy services, including for vulnerable communities. This in turn can attract additional financing, enhancing the long-term sustainability of investment and creating further growth.
About Climate Investor One
CI1 is an EU-supported blended finance facility managed by the Climate Fund Managers, a joint venture between the Dutch development bank FMO and Sanlam InfraWorks – part of the Sanlam Group of South Africa. CI1 provides capital to renewable energy projects in developing countries. CI1 has a focus on Africa, South & Southeast Asia and Latin America, and uses a whole-of-life approach, meaning that the facility can provide finance for all stages of a project, including development, construction and operation.