ACOB Lightning Technology Limited
Green Finance for Off-Grid Rural Electrification
Financial
Close Dec. 2023
Under
Construction
N755m Private
Capital Mobilised
Green
Certified
335kWp Capacity
3,597 Number of
Connections
868 Jobs
to be Created
352.15 Tonnes
of GHG Emmisions
to be reduced
Project Description
The project will construct solar-hybrid mini grid with a total capacity of 335kWp in seven communities across Edo and Ondo State, the mini grid will provide energy access to about 3,597 households and small businesses. Construction is planned to commence in 2024. ACOB Lighting Technology Limited is a renewable energy company founded in 2016 to provide sustainable electricity to underserved and unserved communities. The Company also offers Engineering, Procurement and Construction (EPC) services for high-density energy-efficient LED streetlights and electrification infrastructure, solar mini-grids solutions and solar home systems.
Financing StructureThe project was financed through a blended instrument, with the UK funded Climate Finance Blending Facility enabling a 7-year fixed rate local currency debt financing for the project by investing in the subordinated debt tranche. The project is certified blended local currency green debt issue for a distributed renewable energy project in Nigeria.
The Facility’s subordinated first loss capital helped de-risk and reduce the capital cost of the project by unlocking InfraCredit’s AAA rated guaranteed senior green bonds that crowded in matching investments from 7 domestic institutional investors in a solar mini-grid project for unserved communities.
The project on completion will electrify up to 3,597 unserved households
and small businesses, create up to 868 temporary and permanent jobs whilst enhancing access to renewable energy for productive uses, and avoid 352.15tCO2e of GHG emissions.
The nominated projects & assets conform to the Climate Bond Standard Solar Sector Criteria and the financing has been labeled and certified ‘Green’ by the Climate Bonds Initiative.
The 7 hybrid-solar mini-grids will have environmental benefits of climate change mitigation, energy savings and greenhouse gas reduction and simultaneously have a positive direct contribution to the United Nations Sustainable Development Goals (SDGs) 7, 8, 9, 11, 13 and 17 as identified in the Green Bond Framework.
Technical Assistance Support
funded the upfront due diligence costs for the Project through its technical assistance facility for climate aligned infrastructure bonds established with InfraCredit
Rating Agency
Green Verifier
Project Video
Awards & Recognition
The ACOB Lighting 7-year InfraCredit-guaranteed Green Infrastructure Bond has been awarded the Best Social Bond in Africa at the notable EMEA Finance Achievement Awards for the year 2024.
The InfraCredit-Guaranteed ACOB Lighting Bond supported the deployment of 335 kWp of isolated solar mini-grids across seven underserved communities in Edo and Ondo States, bringing clean, reliable energy to up to 3,597 households and small businesses.
The transaction utilised an innovative blended finance model, co-financed under the UK-funded Climate Finance Blending Facility, demonstrating the potential of de-risked local currency investments to deliver equitable energy access and climate-aligned impact at scale.
The ACOB Lighting 7-year InfraCredit-guaranteed Green Infrastructure Bond has been awarded the Best Social Bond in Africa at the notable EMEA Finance Achievement Awards for the year 2024.
The InfraCredit-Guaranteed ACOB Lighting Bond supported the deployment of 335 kWp of isolated solar mini-grids across seven underserved communities in Edo and Ondo States, bringing clean, reliable energy to up to 3,597 households and small businesses.
The transaction utilised an innovative blended finance model, co-financed under the UK-funded Climate Finance Blending Facility, demonstrating the potential of de-risked local currency investments to deliver equitable energy access and climate-aligned impact at scale.
Project Videos
Domestic Institutional Investors
