AfDB Approves $3.9m Project to Boost Electricity Access in Nigeria and 12 African Countries

AfDB Approves $3.9m Project to Boost Electricity Access in Nigeria and 12 African Countries

The African Development Bank (AfDB) has approved a $3.9 million, two-year project to support Nigeria and 12 other African countries in implementing energy compacts aimed at expanding electricity access across the continent by 2030.

The approval was granted by the AfDB Board of Directors and confirmed in a statement released on the bank’s official website on Friday.

Turning Energy Plans Into Power Connections

The project is designed to help participating countries convert policy commitments into real electricity connections for households, businesses, and public institutions. It forms part of Mission 300, a joint initiative by the AfDB and the World Bank to provide electricity access to 300 million Africans by 2030.

African governments have intensified efforts to close the continent’s electricity access gap, which continues to limit economic growth, job creation, and social development.

AfDB: From Commitments to Delivery

According to the AfDB, the new intervention focuses on moving countries beyond policy formulation to practical delivery of electricity access.

Wale Shonibare, Director of Energy Financial Solutions, Policy and Regulation at the AfDB, said African countries had made strong political commitments through their National Energy Compacts. He explained that the new phase of support would help transform those commitments into measurable outcomes.

He added that the project would provide hands-on technical assistance to governments to implement reforms, speed up electricity connections, and ensure communities and entrepreneurs benefit directly from improved power supply.

Background: What Is Mission 300?

Mission 300 was launched in January 2025 by the World Bank and the African Development Bank to tackle Africa’s electricity deficit.

As part of the initiative, African countries were encouraged to develop National Energy Compacts outlining plans to:

• Expand electricity access
• Strengthen power sector institutions
• Improve utility performance
• Attract private investment

While many countries have adopted these compacts, the AfDB noted that moving from documented plans to actual power connections remains a major challenge, creating the need for targeted technical support.

Countries Benefiting From the New Project

The newly approved initiative, known as AESTAP Mission 300 Phase II, will deliver direct technical assistance to 13 African countries over the next 24 months.

Beneficiary countries include:

• Nigeria
• Kenya
• Ethiopia
• Tanzania
• Uganda
• Democratic Republic of Congo
• Chad
• Gabon
• Mauritania
• Madagascar
• Malawi
• Lesotho
• Namibia

Key Areas of Support

Under the project, participating countries will receive support to:

• Improve electricity regulations and planning frameworks
• Reform tariff structures to attract investment
• Strengthen power utilities and reduce technical and commercial losses
• Enhance data systems, research, and regional knowledge sharing

The AfDB will also deploy expert advisers within national Compact Delivery and Monitoring Units to help coordinate reforms and track implementation progress.

Building on Earlier Support

The approval of Phase II follows the AfDB’s earlier intervention under AESTAP Mission 300 Phase I, approved in December 2025 with funding of about $1 million.

Phase I focused on establishing and operationalising Compact Delivery and Monitoring Units within government structures. Phase II will build on this foundation by providing deeper technical assistance to implement planned reforms.

The project will be executed in collaboration with Mission 300 partners, including the World Bank, national governments, and development organisations, to ensure coordination and avoid duplication.

AfDB’s Broader Support for Nigeria and Africa

Beyond Mission 300, the AfDB has continued to scale up financial support for Nigeria and the wider region. In November, the bank approved a $500 million loan to Nigeria to support the second phase of the Economic Governance and Energy Transition Support Programme.

The AfDB also approved a $100 million loan to the Emerging Africa and Asia Infrastructure Fund to promote sustainable infrastructure development across Africa.

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