The financing of solar power projects in Nigeria and other West African countries, valued at $338.7 million (equivalent to N254 billion at the official exchange rate of N750.6/$), is being undertaken by the World Bank, Clean Technology Fund, and Dutch Cooperation.
These entities are contributing funds to support the execution of the Regional Off-Grid Electricity Access Project, aimed at providing electricity to nations within the Economic Community of West African States (ECOWAS).
A statement from ECOWAS, released in Abuja on Monday, revealed that a consortium of firms has been engaged to offer technical and financial support to off-grid solar PV companies and financial institutions across the 19 project countries, as part of the strategy for implementing the ROGEAP project.
In line with this project’s implementation, the TSC Global/Intech-GOPA/AFC/BB and Co group officially entered into a contract as the project fund manager for ROGEAP on August 1, 2023, in Abuja.
The signing of the service contract occurred with the participation of Mr. Amara Sackor, Chief Executive Officer/President of TSC Global, representing the group; and Commissioner Sédiko Douka, responsible for Infrastructure, Energy, and Digitalisation at ECOWAS, who serves as both the chairman of the Steering Committee of the ROGEAP project.
“After undergoing a procurement procedure aligned with the donor’s protocols, the ECOWAS commission appointed the TSC Global/Intech-GOPA/AFC/BB consortium as the ROGEAP fund manager. This consortium is tasked with offering both technical and financial assistance, not only to the private sector but also to commercial banks and microfinance institutions in the project’s designated countries. This support aims to bolster the efforts of the Project Management Unit located in Abuja and Lomé.”
ECOWAS has stated that the project holds a monetary value of $338.7 million and is funded by the World Bank, the Clean Technology Fund, and the Dutch Cooperation.
The main responsibility of the ROGEAP project fund manager is to support ECOWAS in implementing the project, focusing on developing a sustainable off-grid industry within the region. This involves ensuring the growth of regional ecosystems and facilitating market information and trade collaboration among stakeholders. Additionally, the fund manager will promote consumer awareness and run campaigns to boost regional demand. ECOWAS plans to alleviate supply-side challenges by enhancing the capabilities of financial institutions and relevant parties. The fund manager will also play a role in providing technical assistance for capacity building in enterprises throughout their lifecycle.
Initiated in 2017 as the Regional Off-Grid Electrification Project, ROGEAP was restructured and relaunched in November 2020 by ECOWAS and its partners. The project’s current name is the Regional Off-Grid Electricity Access Project. Its primary goal is to expand access to sustainable electricity services across 15 ECOWAS member countries and four other sub-Saharan African countries (Mauritania, Central African Republic, Cameroon, Chad) for various purposes, including households, businesses, public infrastructure, and sectors like health and education.
The implementation of the project falls under the responsibility of the ECOWAS Commission Regional Centre for Renewable Energies and Energy Efficiency, along with the West African Development Bank. Their objective is to oversee the creation of a regional market and facilitate financing for isolated solar systems, as outlined by ECOWAS.
