NIGERIA: Power Sector Recovery Program PPAs and Vesting contracts assessment and capacity building support

The Nigerian electricity sector faces bottlenecks, particularly in rural areas. To address this issue, the federal government launched two initiatives, the Rural Electrification Strategy and Implementation Plan and the Nigeria Electrification Project. These initiatives focus on underserved rural populations and institutions. In 2021, PPIAF provided funding to support World Bank energy projects in the country. The first initiative involved analyzing contracts in Nigeria's power sector and proposing solutions that were integrated into a financial model to assess their impact. The second initiative was a platform for public-private dialogue, which has evolved into a monthly series attracting over 200 people on average, allowing for discussions on Nigeria's reform process. PPIAF has now provided a follow-up grant to support projects aimed at developing the solar rooftop market in the Nigerian state of Kaduna, creating a south-south knowledge-sharing facility, and assessing grid-based solar energy. These efforts are expected to promote sustainable and inclusive economic growth, as well as increase access to reliable and affordable energy in Nigeria.