PowerChina's Timmy Shi: High Interest Rates Hinder Solar Investment

Timmy Shi, Africa Regional Director of PowerChina, stated that high interest rates in Nigeria are discouraging investment in the solar energy sector. Speaking at the Association of Energy Correspondents of Nigeria Energy Conference and Awards, she highlighted that the cost of financing is a significant barrier for foreign companies.

Shi noted that Chinese companies have an advantage due to access to cheaper funds, allowing them to compete effectively in the Nigerian market. She emphasized the need for foreign investors to have guarantees for the protection of their investments and the ability to repatriate funds easily.

Shi pointed out that while there is no shortage of solar products in Nigeria, there is a lack of understanding of the local operational environment. She also mentioned that the instability of the national grid is increasing the demand for alternative electricity sources, as Nigerians require immediate solutions to their power challenges.