About
Who We Are
The Climate Finance Blending Facility (the “Facility”) is a catalytic first loss multi-donor facility seeded with £10 million concessional funding by the UK Foreign, Commonwealth & Development Office (“FCDO”) to mobilise additional funding from development partners to co-finance off-grid clean energy investments alongside InfraCredit’s local currency guarantees in Nigeria.
The Facility will help de-risk, reduce the capital cost and catalyse domestic institutional investment to scale up private sector financing of affordable local currency capital for eligible off-grid clean energy infrastructure by providing returnable blended lower-interest rate subordinated debt capital to co-finance eligible private sector enterprises providing off-grid clean energy solutions such as solar mini grids, solar home systems, small medium enterprise cold-hubs and such other renewable energy projects as may be determined.
Climate Facility in Numbers
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Project completed in the last 4 months
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Project completed in the last 4 months
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Project completed in the last 4 months
£0million
Project completed in the last 4 months
Global Energy Access GAP
Energy Access 2022
Share of the population with access to electricity. The definition used in international statistics adopts a very low cut-off for what it means to “have access to electricity.” It is defined as having an electricity source that can have very basic lighting, and charge a phone or power a radio for 4 hours per day.
Africa accounts for less than 4% of Global Emissions
OUR WORLD
IN DATA
The Nigeria Energy Access Funding Gap
Mini-grids and Stand- Alone Solar Systems are the least cost technology for over 70 million people in Nigeria. It is estimated that up to USD 16.4B in funding will be required to connect 18 million unserved off-grid hou–sehold with renewable energy in Nigeria by 2030.
| Grid | Mini - Grid | SHS | Total | |
| # Of Connections | 5.4mn | 8.9mn | 5mn | 19.3mn |
| % Of Residential Connections | 27.9% | 46.0% | 26.1% | 100% |
| # Of Settlements | 9k | 105k | 516K | 630k |
| Electricity Demand (GWh) | 3.2k | 4k | 1.2K | 8.4k |
| Total Cost (USD) | 6.3Bn | 10.4Bn | 6.2Bn | 22.9Bn |
| Population (# of People) | 25.7Mn | 51Mn | 29.4Mn | 106.2Mn |
Source: Integrated Energy Plan Model
Energy Transition & Path to Net Zero
To limit global warming to 1.5)C and avoid the worst impacts of climate change, IPCC modelling has shown that global net anthropogenic co02 emissions need to reach net zero around 2050. Nigeria’s Energy Transition Plan (ETP) estimates that Nigeria will reach net-zero by 2060.
InfraCredit Clean Energy Transition Strategy & Roadmap gets an ambitious path which aims to mobilise transition to net zero emissions by 2050 using innovative finance instruments.
How We Work
At Climate Facility, we believe in collaboration, innovation, and a relentless commitment to excellence. We bring our expertise and passion to every project.
Infrastructure Company
Innovative blended finance solutions can make smart use of impact-seeking capital from donors and concessional financiers, to de-risk, reduce the capital cost and mobilise private sector investments to accelerate clean energy access in Nigeria.
Local Currency Funding
We pioneered the first-ever credit enhanced, green certified blended local currency debt issue for a solar powered rural mini-grid project in Nigeria, through the Climate Finance Blending Facility, creating demonstration effect and potential for scaling.
Local Currency Funding
There’s enormous impact in unlocking energy access through green life-saving investments that will create jobs, reduce poverty, promote gender inclusion and stimulate local economic growth.