Nigeria Launches $500M Green Fund at SE4All Global Forum to Catalyze Renewable Energy Access
Nigeria officially launched the Distributed Renewable Energy Fund (DREF) with a capitalization of USD 500 million in a bid to boost renewable #EnergyAccess. The initiative is a partnership among the Nigeria Sovereign Investment Authority (NSIA), Africa50 which is an investment arm of the African Development Bank, the International Solar Alliance (ISA), and the Sustainable Energy for All (#SE4All) under the United Nations. The signing ceremony took place during the SE4All Global Forum in Barbados on 12 March 2025.
“This partnership aims to bring electricity to millions of Africans and to stimulate economic growth, especially among local communities. It is a transformatve step in accelerating energy investments across Africa.”
Africa50 CEO Alain Ebobisse
The stated objectives of the DREF are to undertake massive deployment of mini-grids and PV systems for domestic, commercial and industrial usage. It will also foster the installation Installation of Energy Storage Systems (#ESS) to ensure constant supply
The Fund will be able to mobilize of private investors for capital injection and risk management by addressing key challenges such as currency volatility, limited funding in local currency and payment collection. The Nigeria DREF is part of the Mission 300 (#M300) to provide electricity to 300 million Africans by 2030 led by the AfDB and the WB.
“The Fund is a critical step in addressing Africa’s energy access challenges. It will contribute to attract long-term capital to scale decentralized energy solutions and move Nigeria closer to universal energy access.”
UN SE4All Special Representative Damilola Ogunbiyi
The Fund will benefit from catalytic capital from the ISA and will be supported by the recently launched Africa Solar Facility (ASF). Africa50 has set aside USD 200 million for the ASF.
It is estimated that 600 million people in sub-Saharan Africa do not yet enjoy #ElectricityAccess; Nigeria, alone, counts 90 million without electricity. The Fund’s core mission lies in mobilizing institutional capital, while fostering partnerships between the Government of Nigeria and the private sector to scale and accelerate #FDI into renewable energy.
“The DREF represents another major step in our commitment to unlocking Africa’s renewable energy potential. With the DRE Nigeria Fund, we are creating a scalable model to attract global investments, drive industrial development, and enhance energy access for millions of Nigerians and Africans at large. This initiative underscores our belief that sustainable infrastructure is critical to economic transformation, and we are proud to collaborate with SE4ALL, ISA, and Africa50 to turn this vision into reality.”
NSIA CEO Aminu Umar-Sadiq