Nigerian e-waste recycling sector gains support from Goodwell and Alitheia
In a significant move towards addressing the growing electronic waste (e-waste) problem in Nigeria, Hinckley E-Waste Recycling has secured a US$2 million investment from the uMunthu II fund. This marks uMunthu II's first investment in Nigeria's waste management sector, and it is expected to support Hinckley in constructing two advanced recycling plants in Ogun State.
The investment will enable Hinckley to establish a state-of-the-art facility for recycling lithium-ion batteries and another for lead-acid batteries. With this infrastructure, the company aims to recycle up to 30,000 tonnes of e-waste annually, making a substantial contribution to Nigeria's e-waste management efforts.
Currently, Hinckley sources most of its e-waste from a network of local informal collectors. This investment is designed to formalize and improve this collection system, creating safer jobs and better incomes for workers in the sector. The funders—Goodwell Investments, Alitheia Capital, and uMunthu II—emphasize the business and impact case for e-waste recycling. Electronic waste contains valuable resources needed for electronics and electric vehicles, and recycling it reduces reliance on virgin mining while addressing environmental and social issues linked to informal e-waste handling.
Sub-Saharan Africa, including Nigeria, currently recycles only a small percentage of its e-waste, with estimates ranging from 1% to 15%. West Africa generates 750,000 tonnes of e-waste annually and is projected to exceed one million tonnes by 2030. This investment by Goodwell and Alitheia is a timely entry into one of the world's fastest-growing waste streams.
In addition to their investment in Hinckley E-Waste Recycling, Goodwell and Alitheia are also offering financial and technical support to women-led green businesses in Kenya, Malawi, Mozambique, and Tanzania through the newly launched IYBA WE4A programme. This initiative underscores their commitment to fostering sustainable growth in Africa's circular economy.
As the world grapples with the increasing volume of e-waste, investments like this one in Hinckley E-Waste Recycling are crucial for promoting safe, formalized, and environmentally friendly e-waste management practices. The impact of this investment is expected to include enhanced recycling capacity, safer jobs, healthier environments, and improved livelihoods for workers involved in e-waste management.
- This investment from Goodwell, Alitheia Capital, and uMunthu II in Hinckley E-Waste Recycling is a significant step towards blended finance in the environmental-science sector, specifically focusing on the energy transition through e-waste management.
- The funds will not only support the construction of advanced recycling plants for lithium-ion and lead-acid batteries but also aim to formalize and improve the collection system, creating safer jobs and better incomes for workers.
- With the potential to recycle up to 30,000 tonnes of e-waste annually, this investment could make a substantial contribution to Nigeria's e-waste management efforts, reducing environmental impact and addressing the growing electronic waste problem.
- Moreover, this investment in real-estate and technology is expected to have far-reaching impacts, including enhancing recycling capacity, improved livelihoods, healthier environments, and fostering sustainable growth in Africa's circular economy.
