Top 10 Climate Tech Startups in Nigeria

Climate tech technology means the technologies and innovations targeted at addressing and mitigating the negative impacts of climate change on the environment. These technologies aim to reduce greenhouse gas emissions, enhance energy efficiency, and promote sustainable practices across various sectors of the economy. 

Focused Areas of Climate Tech

There are different fields where climate technology is deployed. They include 

Renewable Energy Technologies that generate energy from renewable sources such as solar, wind, hydro, and geothermal power.

Energy Storage

Solutions that store energy for later use, enabling better integration of renewable sources into the grid.

Energy Efficiency

Technologies and practices that reduce energy consumption in buildings, transportation, and industries.

Carbon Capture and Storage (CCS)

Methods that capture carbon dioxide emissions from industrial processes or directly from the air, and store it underground or use it in other applications.

Electric Vehicles (EVs)

Vehicles powered by electricity instead of fossil fuels, reducing emissions from the transportation sector.

Smart Grids

Advanced electricity networks that efficiently manage supply and demand, integrating renewable energy sources and supporting energy storage.

Climate Adaptation Technologies

Innovations that help societies adapt to the impacts of climate change, such as resilient infrastructure and improved water management systems.

Circular Economy Solutions

Practices that minimize waste, promote reuse, and recycle materials, reducing the environmental impact of production and consumption.

Startups, research institutions, and governments are investing heavily in developing technologies to address climate change and promote sustainability.

Climate Tech Startups

Climate tech startups are entrepreneurial ventures that focus on developing innovative technologies and solutions to combat climate change and promote sustainability. These startups are often driven by a mission to address environmental challenges and contribute to a cleaner, more sustainable future.

These startups aim to have a significant impact on reducing greenhouse gas emissions, improving resource efficiency, and promoting sustainable practices in various industries and communities.

Climate tech startups operate in various sectors, including renewable energy, energy efficiency, carbon capture and storage, sustainable agriculture, clean transportation, circular economy solutions, and climate adaptation technologies.

Challenges Facing Climate Startups in Nigeria

Policy and Regulation 

Climate tech startups businesses are influenced by policies and regulations related to climate change, renewable energy targets, emissions reduction goals, and environmental standards. Police somersault, inefficient regulatory framework and bureaucratic bottlenecks are constraints climate tech startups have confront in Nigeria. Good and streamlined policies and regulatory frameworks can accelerate growth and adoption of their technologies in Nigeria.

Access to funding is another challenge facing Climate tech startups in Nigeria. Securing  enough funding due to the high costs associated with technology development and the long timeframes required for research and commercialization is not easy to come bye in a country like Nigeria where capital formation is very low. Nevertheless, there is growing interest from investors, venture capitalists, and governments in funding climate tech startups due to the potential for high impact and return on investment.

Nigeria’s climate tech industry yarning for innovative and capital investments. There are some entrepreneurs who taken the challenge in driving climate technological solutions. In this article, we have compiled list of top 10 climate technology startup companies in Nigeria.

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List of Top Climate Technology Startup Companies in Nigeria

  • Lumos
  • Zola Electric
  • Resource Energy
  • Arnergy
  • MAX
  • Wecyclers 
  • GIVO
  • KALTANI
  • Scrapays

Zola Electric

Founded by Bill Lenihan in 2015, Zola Electric is technically company that provides power solutions to underserved population in more than 10 countries including Nigeria. 

The company which is pioneering eradication of energy shortage, and solve climate change problems, has secured funding from some prominent investors like EDF, Tesla, and Total Energies.

Zola has secured funding amounting to $133 million in 8 funding rounds between March 21, 2014 to September 23, 2021.

Lumos

Lumos is a climate tech company that provides solar system and products for homes and small businesses in Nigeria. 

Some of its line of products include Lumos L1, Lumos Prime, Lumos ECO

Lumos has so far installed over 100,000 solar system for households and businesses across the country.

Lumos has raised a total of $125 million in funding comprising of 35 million funding from U.S International Development Finance Corporation (DFC), $50 million in debt and $40 million in equity financing from Overseas Private Investment Corporation (OPIC), Israeli Cleantech Venture Capitalist (ICV), and Pembani Remgro Infrastructure Managers (VLTCM).

Rensource Energy

Rensource Energy is a leading developer, financier, and manager of critical energy infrastructure  businesses in African. The company is one of the fast-growing players in developing Africa’s energy sector.

In the past few years, Rensource Energy has been able to develop approximately 70 MW of C&I portfolio and constructed around 2 MW of projects. Between August 2020 to November 2021, Rensource installed PV capacity of approximately 5 MWp  of mini-grid, residential, and C&I utility and generating $750,000 revenue annually.

Rensource has secured a total of $45.3 million in funding, with tye latest funding round of $15 million from Afrigreen Debt Impact Fund to finance the construction of over 30MW of Rensource C&I portfolio in three time.

Arnergy

Arnergy is technical innovative company that aims at providing steady and affordable electricity to homes and businesses in the emerging markets. The company uses rooftop solar system to supply energy to business and residential clusters. Arnergy has backing from prominent venture capitalists.

Founded in 2013 by Femi Adeyemo, Arnergy has raised $9 million in first round in 2019.

Ikechukwu Evegbu

Ikechukwu Evegbu is a graduate of Statistics with over 10 years experience as Data Analyst. Worked with Nigeria's Federal Ministry of Agriculture and Rural Development. A prolific business development content writer. He's the Editor, Business Compiler

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