Nigeria has secured a major financial commitment of €21 million from the German Government to strengthen its clean energy transition and drive sustainable power sector reforms, the country’s ministry of power revealed.
The new funding package, announced during the Working Group on Power, Energy and Climate meeting held on November 3, 2025, in Germany, represents a significant step forward in Nigeria’s collaboration with Germany on renewable energy and decarbonisation.
Under the agreement, Germany’s Federal Ministry for Economic Cooperation and Development (BMZ) will provide €9 million to the ongoing Nigeria Energy Support Programme (NESP) in 2024, and an additional €12 million to establish the new Energy Transition Challenge Fund (ETCF).
In a release by Bolaji Tunji, Bolaji Tunji, Special Adviser, Strategic Communication and Media Relations to the Minister of Power, the financial support is part of a broader Joint Declaration of Intent on Bilateral Energy Transition Dialogue and Cooperation, signed between the two countries to deepen technical collaboration and advance Nigeria’s sustainable energy agenda.
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Nigeria’s Minister of Power, Adebayo Adelabu, who represented the country at the meeting, described the funding as a major boost to national efforts to deliver affordable, reliable, and cleaner energy.
“The financial mechanisms, including the ‘Green Line of Credit’ for our SMEs and the mobilisation of private investment through GET.invest, are critical enablers,” Adelabu said. “When combined with the technical expertise now formalised in our Joint Declaration, we are building a comprehensive ecosystem for energy success.”
The Nigeria Energy Support Programme (NESP) has been one of the flagship initiatives under the Nigerian-German Energy Partnership (NGEP), aimed at expanding access to renewable energy, promoting energy efficiency, and supporting policy reforms in the power sector.
The additional €9 million injection will help scale up existing interventions, particularly in off-grid and mini-grid energy solutions, while the newly introduced Energy Transition Challenge Fund (ETCF) will promote innovative projects and clean-tech investments that support Nigeria’s long-term decarbonisation and green growth goals.
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Officials noted that the GET.invest platform will continue to play a central role in mobilising private sector investment into Nigeria’s renewable energy space, particularly among small and medium-sized enterprises (SMEs).
Germany’s enhanced funding commitment underscores the growing confidence in Nigeria’s energy reform drive and reaffirms Berlin’s long-standing partnership in supporting sustainable economic growth across Africa.
During the meeting, both nations also reviewed progress on the Presidential Power Initiative, while Germany proposed that future Nigerian-German Energy Partnership (NGEP) meetings be held annually at the undersecretary level starting from 2026 to strengthen policy dialogue and project implementation.
