The German Development Finance Institution DEG allocated funds for the construction of new community solar microgrids in nigeria.
The funds from its Up-Scaling Program, which is co-ﬁnanced by the German Federal Ministry for Economic Cooperation and Development. With a portfolio of around €9.2 billion DEG, a subsidiary of KfW is one of the world’s largest private-sector development ﬁnanciers.
The 5-year loan of $749,000 follows Husk successfully closing debt totalling $10.3 million from EDFI-ElectriFI and IREDA in 2022 to build more than 200 microgrids in India. The DEG ﬁnancing is the ﬁrst debt raised by Husk for its business in Nigeria, where the company currently has 12 operational microgrids, and a target of building 500 by 2026.
The 8 microgrids in Nigeria will connect more than 500 residential and commercial customers, reduce the number of diesel generators in use by 400, while creating about 40 new direct local jobs.
Source: ESI Africa