EU, Germany Extend NESP Second Phase

• The EU and the German government have extended the second phase of the NESP.
• The EU will provide additional funding of €15 million.

The European Union and Germany’s Deutsche Gesellschaft für Internationale Zusammenarbeit have agreed to extend the second phase of the Nigerian Energy Support Programme (NESP) until November 30, 2022. With this extension, the EU will provide additional funding of €15 million to support the clean energy transition and energy efficiency in Nigeria. With the additional funding, the total funding for the NESP Phase II is now €48 million, comprising €35 million from the EU, and €13 million from the German Federal Ministry for Economic Cooperation and Development (BMZ). Under this extension, the programme will expand its activities geographically and increase efforts to support the federal government in developing solar battery recycling, clean cookstoves and access to finance mechanisms for renewable energy and energy efficiency investments.

During the first phase (2013-2017), NESP supported the Nigerian government in developing key sustainable energy policies and regulatory instruments such as the Mini-Grid Regulations, the National Renewable Energy and Energy Efficiency Policy, and the Building Energy Efficiency Code. The second phase focused on implementation. Under this phase, two tender processes – the Mini-Grid Acceleration Scheme and the Interconnected Mini-Grid Acceleration Scheme were developed to support private developers.