Nigeria’s Bank of Industry (BoI) has reportedly signed a partnership agreement with All On to finance the Niger Delta Off-Grid Energy Fund to enhance access to clean, affordable and reliable power solutions.
All On is a Nigerian off grid energy investment company with a mission to “to increase access to commercial energy products and services for under-served and un-served off-grid energy markets in Nigeria, with a special focus on the Niger Delta sources in Nigeria.”
Its CEO, Dr. Wiebe Boer is excited about the partnership. He said it will go a long way in encouraging other off-grid energy companies to invest in the Niger Delta region and bridge the huge energy gap.
According to a source, Managing Director of BoI, Mr Olukayode Pitan said the partnership was ‘a result of the bank’s efforts in exploring strategic partnerships with reputable institutions in developing sustainable solutions to facilitate social and industrial development.’
In his words,
“Bank of Industry keeps seeking and exploring strategic partnerships with reputable institutions like All On in developing sustainable solutions to facilitate social and industrial development. Power is a critical resource towards achieving industrialization, and is also a major cost driver for SMEs in Nigeria. We are therefore particularly pleased with this partnership as the deployment of this fund will provide clean energy at affordable interest rate and friendly conditions not only to SMEs, but also to households and communities in the Niger Delta region of the country.”
The fund would provide local currency debt financing to facilitate the deployment of energy solutions by access-to-energy companies in the Niger Delta at 10% interest rate per annum, with a one-year moratorium, and seven years tenor.
Nigerian startups raised $17.6m in Q1 2019, 8.5% higher than they did in Q1 2018. Find out more in the latest quarterly edition of the Nigerian Startup Funding Report here.