30 April 2021
The Nigerian power sector requires signiﬁcant capital investment to achieve its potential and remain sustainable. Interestingly, immediately after the privatization of the sector in 2013, the focus for most developers was to ﬁnance and develop medium to large scale grid projects using diﬀerent energy mix.
While the market witnessed some success stories, the bulk of the on-grid projects have, for various reasons been stalled.
Investments in the power sector have remained relatively constant as investors have pivoted to the mini-grid model.
This article explores financing mini grid power projects and mitigating risk for such projects based on our experience advising on these projects.