Project Background
A mid-sized DRE developer proposed a 10-site mini-grid portfolio (approx. 1.5 MWp, 6,000 connections). The project sought ₦3.2bn in debt with ₦0.8bn equity. The sponsor had previously built two pilot mini-grids but had no track record of scaling to multi-site portfolios.
Initial Submission Gaps
- ✕EPC not identified (TBD in NBC paper)
- ✕Only MoUs signed with anchor customers (no PPAs)
- ✕No raw data or survey methodology for demand forecast
- ✕Equity support letters only — no bank evidence
- ✕Reliance on unconfirmed DARES subsidy
- ✕No PUE rollout plan; productive demand assumed from COD
DRELT Classification & DREEF Support
Pre-NBC Blockers
- ▸EPC/OEM not identified — must be fixed before NBC
- ▸UBO disclosure incomplete — CAC filings required
- ▸Equity proof missing — bank evidence required
Due Diligence Items
- ▸Demand forecast validation vs pilot performance
- ▸Permits/licences for three sites
- ▸O&M capacity and billing system
Conditions Precedent
- ▸Executed grant agreement and confirmation
- ▸Insurance cover binding before disbursement
- ▸Pilot PUE project implementation
DREEF Support Provided
- ▸Technical assistance on demand survey methodology
- ▸ESG support for community engagement and battery recycling plan
- ▸Capacity-building on financial model sensitivity analysis
- ▸Legal support to review PPAs and anchor customer contracts
Revised Submission — After DRELT + DREEF
- ✓EPC with proven track record contracted
- ✓Bank statement provided for ₦800m equity contribution
- ✓Two signed PPAs with anchor customers (rice mill, cold storage)
- ✓DARES subsidy disclosed with signed notice of qualification
- ✓Demand survey data annexed and reconciled to model
- ✓PUE rollout plan phased over 18 months post-COD
Lessons Learned
EPC and OEM identification must be completed at NBC stage.
UBO disclosure is a Pre-NBC critical requirement.
Equity must be evidenced by cash in bank, not letters.
Demand forecasting must link raw data to the financial model.
PUE demand must be phased, not assumed from COD.
Subsidies must be disclosed, with project viability tested without them.