Nigeria’s business sector is set to benefit from improved access to clean and affordable energy following the expansion of a partnership between Daystar Power and Sterling Bank. The two organisations have introduced a new hybrid financing model aimed at helping companies reduce energy expenses while making the switch to renewable energy solutions easier.
Daystar Power, a member of the Shell Group, and Sterling Bank recently renewed their Memorandum of Understanding (MoU) to strengthen support for commercial and industrial businesses seeking reliable power alternatives. The agreement combines financing support from Sterling Bank with Daystar Power’s solar energy solutions, creating a package designed to remove some of the major financial obstacles businesses face when adopting renewable energy.
Under the arrangement, Sterling Bank will provide customised financing options to eligible businesses, allowing them to cover the initial costs of installing solar power systems. At the same time, Daystar Power will offer long-term Power Purchase Agreements (PPAs), enabling customers to access clean energy without making large upfront investments.
According to the companies, one of the major challenges preventing many Nigerian businesses from embracing solar energy has been the difficulty of securing long-term funding. High installation costs and limited access to suitable financing have often slowed the transition to cleaner energy sources.
To address this issue, Sterling Bank has created a dedicated credit facility specifically for commercial and industrial customers interested in renewable energy projects. The financing support will help businesses spread costs over time while benefiting from Daystar Power’s high-efficiency solar-hybrid energy systems.
The companies explained that the combination of affordable financing and advanced solar technology is expected to deliver immediate financial benefits. Businesses will be able to reduce dependence on expensive traditional power sources and enjoy lower, more predictable electricity costs through fixed solar tariffs.
Chief Executive Officer of Daystar Power, Yischai Beinisch, described the partnership as a significant step toward increasing access to renewable energy in Nigeria’s industrial sector.
He noted that the collaboration brings together the expertise of both organisations to provide cleaner, more dependable, and cost-effective energy solutions for businesses across the country. According to him, the initiative will support companies seeking to improve operational efficiency while reducing energy-related expenses.
Sterling Bank’s Group Executive for Corporate and Investment Banking, Dele Faseemo, also highlighted the importance of reliable energy for business growth. He stated that energy challenges remain one of the biggest obstacles facing many Nigerian companies.
Faseemo explained that the new financing structure has been designed to eliminate the burden of large upfront capital requirements. This approach allows businesses to transition to cleaner energy sources without putting pressure on their cash flow or operational budgets.
The partnership also reflects a broader effort to support sustainable development in Nigeria. By combining global technical expertise with local financial support, Daystar Power and Sterling Bank aim to help businesses access world-class renewable energy solutions while ensuring long-term project sustainability.
Industry observers believe the initiative could encourage more companies to adopt solar power, reduce operating costs, and improve energy reliability, ultimately contributing to economic growth and environmental sustainability across Nigeria.
