Financing IPP’s in Nigeria

"Financing IPP's in Nigeria: Can the Island Model be an Alternative?", chronicles a historic perspective of the Nigerian Power Sector Pre 2005 Power Sector Reforms; the challenges of implementing the reforms and the economics of financing post reform projects. The author, Tonna Ejiofor, highlights the peculiarities of the post reform Nigerian Power Sector Industry with specific focus on the challenges faced by project developers in raising the required project finance. Using the CAPEX and OPEX profile of a standard 100MW project, the "Island Model" is proposed as a compromise to both investors and project finance bankers. Detailed review of credit enhancements and risk mitigation instruments ensure an engaging read.