AfDB commits $1.2m for a feasibility study on Battery Energy Storage Systems in Nigeria to improve grid stability and support the energy transition

The African Development Bank (AfDB) has committed $1.2 million in grants to support a feasibility study on Battery Energy Storage Systems (BESS) in Nigeria, marking a major step toward strengthening the country’s power grid and boosting clean energy deployment.

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The announcement was made on Wednesday during the inaugural workshop for the Nigeria BESS Feasibility Study held in Abuja.

The event was jointly organised by the Transmission Company of Nigeria (TCN), the AfDB, and the Sustainable Energy Fund for Africa (SEFA).

AfDB’s Nigeria Country Director-General, Abdul Kamara—represented by Chigoziri Egeruoh—highlighted that the project will assess how battery storage can enhance grid performance, attract investment through viable business models, and build technical capacity for long-term sustainability.

“Battery storage is central to unlocking renewable energy and delivering stable, reliable power. Nigeria is poised to take a bold step in that direction,” Kamara said.

The initiative is funded under AfDB’s Africa Energy Transition Catalyst Programme and aligns with Nigeria’s Energy Transition Plan, SE4ALL Action Agenda, and the Renewable Energy Master Plan.

Kamara added that battery storage is no longer a luxury but a “necessity” to resolve persistent grid challenges such as frequency instability, reserve capacity shortages, and peak load pressure.

He cited regional successes like South Africa’s 1,400 MWh battery project and Kenya’s geothermal-battery hybrid as examples Nigeria can follow.

In addition to the BESS study, AfDB is supporting Nigeria with broader energy reform efforts, including:

• A $1 billion Economic Governance and Energy Transition Support Programme (with $500 million already disbursed)
• A $1 million Africa Energy Sector Technical Assistance Programme
• A $250 million Nigeria Transmission Expansion Project
• The $200 million Nigeria Electrification Project for mini-grids and off-grid solutions

Nigeria is also a priority country under AfDB’s flagship $20 billion Desert to Power Initiative, aiming to generate 10,000 MW of solar power across the Sahel.

TCN’s Managing Director, Sule Abdulaziz, represented by Olugbenga Ajiboye, said the study is “timely and critical” in solving technical constraints that impact power dispatch and delivery.

Minister of Power Adebayo Adelabu, represented by Ben Ayangeaor, called the study a “strategic step to future-proof Nigeria’s energy infrastructure”.

He stressed that with increased reliance on solar and wind, the country must now prioritise energy storage to ensure power reliability.

“Battery Energy Storage Systems will improve grid stability, reduce fossil fuel reliance, and enable deeper renewable integration,” Adelabu noted.

He added that BESS will support underserved communities and offer advanced features like grid-forming capabilities, which allow them to stabilise voltage and frequency independently.

The feasibility study is expected to identify ideal BESS deployment sites across Nigeria, propose suitable regulatory and financial models, and offer actionable pathways for implementation.

As Nigeria looks to scale up its renewable energy footprint, the Battery Energy Storage Systems Nigeria study serves as a critical foundation for a stable, low-carbon energy future.

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“Let’s move from megawatts of talk to megawatts of power,” Kamara concluded.