Shell Nigeria Exploration and Production Company Limited (SNEPCo) has projected that Nigeria’s energy deficit, long considered a national challenge, should instead be viewed as a $200 billion investment opportunity for both local and international investors.
The company’s Managing Director and Chairman of Shell’s off-grid impact investment firm, All On, Mr. Ronald Adams, made this assertion at the 2025 International Business Conference & Expo of the Lagos Chamber of Commerce and Industry (LCCI), where he urged stakeholders to embrace bold investments to bridge the nation’s energy gap.
Nigeria’s energy sector has remained a bottleneck to industrial growth and economic competitiveness, with millions of citizens and businesses unable to access reliable power.
According to Adams, the scale of the shortfall presents enormous potential for those willing to commit resources into sustainable and innovative solutions.
“More than 80 million Nigerians lack access to reliable electricity, and the consequences are far-reaching—stifled productivity, limited healthcare delivery, weaker education systems, and untapped economic potential,” Adams explained.
He noted that while the challenges are evident, the market dynamics suggest that investments in off-grid energy solutions—such as solar home systems, mini-grids, and clean cooking technologies—could create a $10–20 billion annual opportunity, and a cumulative $200 billion in the long term.
All On, Shell’s impact investment vehicle established in 2016, has already demonstrated the viability of such initiatives.
Adams revealed that the firm had made more than 50 direct investments, committing over $40 million and extending clean energy solutions to more than 1.2 million Nigerians across 190 underserved communities.
“These investments have not only provided power but have also spurred economic activity, created jobs, and improved quality of life for millions. The opportunity is real, and Nigeria is at a turning point,” he stressed.
Adams emphasized that while energy remains the anchor sector, wider strategic collaborations across agriculture, digital technology, manufacturing, infrastructure, and financial services would be critical in maximizing Nigeria’s investment climate.
He praised recent government initiatives to court foreign investors, particularly the digital platform Investopedia by the Governors’ Forum, designed to showcase opportunities across Nigeria’s 36 states.
“With the right policies, partnerships, and investments, Nigeria can position itself as the renewable energy hub of Africa.
We invite both local and foreign stakeholders to seize this opportunity and help unlock the country’s vast potential,” he said.
Nigeria, Africa’s most populous nation, has long battled with underinvestment in its power sector, leading to frequent blackouts, reliance on costly diesel generators, and underutilized renewable energy resources.
Analysts argue that addressing the shortfall could have a transformative effect on GDP, job creation, and industrial competitiveness.
Experts also highlight that increased investment aligns with Nigeria’s commitment to energy transition, climate change goals, and the global push for cleaner energy systems.
The International Renewable Energy Agency (IRENA) estimates that Sub-Saharan Africa could generate over 70% of its electricity from renewables by 2040 if the right investments flow into the sector.
Adams reiterated Shell’s commitment to Nigeria, both as a traditional energy partner and as a driver of the clean energy transition.
He argued that while oil and gas remain critical to the nation’s economy, the future lies in sustainable energy solutions that can power homes, small businesses, and industries alike.
“Together, we can build a future that is inclusive, sustainable, and resilient.
Nigeria’s energy deficit should no longer be seen as a crisis alone but as a $200 billion investment window that can reshape Africa’s largest economy,” he concluded.
Industry watchers believe Shell’s push comes at a time when Nigeria is intensifying efforts to diversify its economy away from crude oil dependency.
The federal government recently introduced new incentives for renewable energy investors, including tax holidays, import duty waivers on solar equipment, and low-interest credit schemes.
If fully harnessed, these policies could accelerate the country’s ambition to achieve universal electricity access by 2030, in line with the United Nations’ Sustainable Development Goal 7 (Affordable and Clean Energy).