The African Development Bank (AfDB) has committed a $1.2 million grant to fund a feasibility study for Nigeria’s Battery Energy Storage System (BESS), a key project designed to support the country’s energy transition goals.

The support comes under AfDB’s Energy Transition Catalyst Programme. Dr Abdul Kamara, Director-General of AfDB’s Nigeria Country Department, disclosed the commitment during the inaugural workshop for the study held on Wednesday in Abuja. The event was organised in collaboration with the Transmission Company of Nigeria (TCN).

Kamara, represented by Mr Chigoziri Egeruoh, Chief Engineer at the AfDB Nigeria Country Office, said the project holds strategic significance, especially as the bank works towards its Mission 300 target of connecting 300 million people to electricity across Africa by 2030.

“Battery energy storage is emerging as an essential enabler,” he said. “Nowhere is this mission more urgent than in Nigeria, where approximately 90 million people still live without access to electricity.”

According to Kamara, the grant will fund a comprehensive feasibility study, implemented through TCN, to evaluate grid integration, define sustainable business and regulatory models, and develop the technical capacity required for successful implementation.

He added that the initiative supports key national energy frameworks, including Nigeria’s Energy Transition Plan, the SE4ALL Action Agenda, and the Renewable Energy Master Plan, reinforcing policy alignment across climate and energy strategies.

“Battery storage is no longer a luxury. It is a necessity,” Kamara stated. “As Nigeria’s grid evolves, battery storage provides real-world solutions such as frequency stabilisation, reserve capacity, and peak load management.”

He stressed that technological solutions must be matched by adaptable regulatory structures and investment-friendly environments to ensure sustainable growth.

“The AfDB is a dedicated partner on this journey. Through our $1 billion Economic Governance and Energy Transition Support Programme, we are reinforcing our commitment,” he said.

Kamara encouraged all stakeholders to approach the study with focus and commitment, producing outcomes that reflect national priorities and realities.

Minister of Power, Mr Adebayo Adelabu, said the workshop underlines the Federal Government’s readiness to pursue innovative and climate-resilient energy solutions. Represented by Mr Ben Ayangeor, Assistant Director of Renewable Energy, Adelabu described the feasibility study as more than a technical initiative.

“It is a strategic step toward future-proofing our power infrastructure,” he said.

He acknowledged the sector’s progress through reform but pointed to persistent challenges, including power intermittency, limited renewable dispatchability, grid instability, and underutilised capacity.

“With the rising integration of solar and wind energy, addressing energy storage becomes critical. We must begin to store electricity during surplus and release it during peak demand to ensure grid stability and reliability,” Adelabu said.

He described BESS as the most scalable and effective solution to current constraints, with benefits that include reduced reliance on fossil-fuel-based peaking plants and enhanced grid resilience.

“BESS will also improve the integration of renewables in both grid-connected and off-grid systems, enhancing power quality and ensuring supply reliability during frequency or voltage disturbances,” he added.

Adelabu noted that the study would deliver a comprehensive technical, environmental, and regulatory assessment of deploying battery energy storage across the country.

Managing Director of TCN, Mr Sule Abdulaziz, said the agency is focused on maintaining and expanding a robust transmission network capable of meeting the needs of Nigeria’s growing economy. He was represented by Mr Olugbenga Ajiboye, Executive Director of the Transmission System Provider division.

Abdulaziz explained that TCN teams have long struggled with grid issues such as frequency fluctuations, peak load pressures, and reactive power limitations — challenges that affect every aspect of the electricity supply chain.

“BESS offers a promising solution to these long-standing technical problems,” he said. “They support frequency regulation, voltage stabilisation, and reserve capacity, allowing for more efficient use of our transmission assets.”

He described the feasibility study as timely and critical, given the nation’s energy ambitions and the mounting urgency to stabilise the grid.