File: Power Plant

By Chinyere Joel-Nwokeoma

Havenhill Synergy Ltd. has raised N1.89 billion ($4.6m) for the construction of 22 mini-grids from Chapel Hill Denham Nigeria Infrastructure Debt Fund (NIDF) under the Nigeria Electrification Project.

The NIDF Chief Executive Officer, Anshul Rai, in a statement on Monday  said that NIDF would provide Havenhill long-term financing of N1.89 billion ($4.6m) to part-finance the roll out of these mini-grids.

He said that the mini-grids would connect 70,000 people along with other establishments in the host communities to clean, reliable energy supply.

Rai said that the development was part of Havenhill’s strategic focus on energy access and clean energy for Nigerians.

He said it was quite fulfilling to note that NIDF was playing a significant role in improving energy access in Nigeria.

“NIDF prides itself in being the leader in financing of clean energy and energy access projects in Nigeria and thus contribute to the achievement of UN’s sustainable Development Goals.

“In multiple projects such as Havenhill, our unit holders can see their capital in action and generating not only financial returns but also making a strong, positive impact on the daily lives of their fellow citizens”, Rai said.

He said that financing of the project would be funded from the fund’s recently concluded Series-7 capital raise, which also involved the participation of African Development Bank.

“With the support of AfDB, NIDF is also implementing a comprehensive Environmental & Social Management System for the fund.

“It is also supporting its borrowers adopt the international best practices in the area of environmental and social sustainability” he added.

On his part, Director, Energy Financial Solutions, Policy & Regulation, African Development Bank, Wale Shonibare, described the investment in the project as a welcome development.

Shonibare said that the investment would assist in complementing its role to the sovereign loan offered to the Federal Government of Nigeria targeted at supporting the implementation of the Nigeria Electrification Project.

Also speaking, the Chief Executive Officer of Havenhill, Mr Olusegun Odunaiya, said that it was quite exciting to have the NIDF as a long-term partner for the mini-grids roll out project.

According to him, the NIDF team’s commercial savviness has enabled it to implement a highly innovative financing structure that fully addresses the peculiarities of the project and, therefore, ensure its long-term success.

“This milestone serves as a renewal of Havenhill’s commitment to powering Nigeria’s most remote communities and delivering last-mile electricity connections.

“These mini-grids will catalyse economic activities in host communities, serve healthcare facilities, and overall deliver a transformative multiplier effect.

“I appreciate the efforts and grit of our team in solving one of the most important problems in the world today,” Odunaiya added.

The News Agency of Nigeria reports that Havenhill is a clean-tech utility company committed to improving energy access in rural and urban Nigeria using clean energy sources.

In rural areas, Havenhill deploys smart solar mini-grids to commercially viable off-grid rural communities.