By: Ecofin agency

Starsight Energy Africa Group, a provider of clean energy solutions, announced on March 16 that it had secured $15 million in mezzanine financing from British International Investment (BII), the United Kingdom’s development finance institution.

The funding is intended to support the company’s expansion in West Africa, with particular emphasis on Nigeria.

According to a statement published on the company’s website, the funds will be deployed within Starsight’s existing operations to support growth, strengthen operational capacity, and expand its portfolio of solar projects serving commercial and industrial (C&I) customers.

A significant share of the investment will be directed toward Nigeria, where unreliable grid electricity and a strong dependence on diesel generators remain structural features of the country’s energy system.

The financing will also support service continuity for existing clients, including the replacement of equipment and the expansion of current installations.

Benson Adenuga, regional director for West Africa and head of the Nigeria office at BII, said Nigerian businesses need reliable and affordable power to grow. He added that Starsight’s track record and its clean energy model align closely with BII’s mission, noting that the company’s commercial and industrial solar solutions help reduce reliance on refined petroleum products while improving the reliability of energy supply.

The agreement comes as Starsight continues to expand its presence in West Africa. In October 2020, the company entered the Ghanaian market by establishing a subsidiary in Accra.

More recently, in May 2024, Starsight signed a partnership with Nigerian cassava processor Psaltry to deploy a 1.6 MWh battery storage system alongside a 1.1 MW solar installation.

The company’s focus on Nigeria may reflect the scale of the country’s reliance on fossil fuel-based power generation. According to company estimates, up to 40 GW of electricity in Nigeria is currently produced using diesel and gasoline generators, highlighting the extent of self-generation in the country.

In this context, solar solutions for businesses are increasingly seen as a viable alternative for reducing energy costs while helping companies meet their climate commitments.