Nigeria signs $100m development deal for 50 MW solar farm

Share

A 50 MW solar PV plant will be constructed next year in northern Nigeria after a $100 million development agreement was signed between renewable power developer Access Infra Africa and Nigerian Quaint Global Energy Solutions, a local asset management firm.

The ABIBA plant will be located in Kaduna state provided the development partners can negotiate a power purchase agreement (PPA) with the Nigerian Electricity Regulatory Commission (NERC).

As soon as a PPA is signed, Access Infra Africa will be able to seek financing from banks, topping up the 30% equity it has already pledged as part of the $100 million development deal.

Quaint has already been the recipient of a $1.3 million development grant for the project from the U.S. Trade and Development Agency.

Once completed, the solar farm will be the largest of its kind in Africa outside South Africa, and will supply clean energy to approximately 600,000 local homes.

In Nigeria, which suffers from chronic energy shortages due to its aging grid and ongoing natural gas constraints, securing viable PPAs has proven to be a damaging bottleneck, but NERC has recently announced a new feed-in tariff for renewable energy projects up to 30 MW, which should serve to make developments in the country more financially attractive to foreign investors.

Movement in the off-grid space has been more brisk, with the U.K. recently signing development agreements to deliver off-grid solar support to the country.

Popular content

This content is protected by copyright and may not be reused. If you want to cooperate with us and would like to reuse some of our content, please contact: editors@pv-magazine.com.

Share

Related content

Elsewhere on pv magazine...

Leave a Reply

Please be mindful of our community standards.

Your email address will not be published. Required fields are marked *

By submitting this form you agree to pv magazine using your data for the purposes of publishing your comment.

Your personal data will only be disclosed or otherwise transmitted to third parties for the purposes of spam filtering or if this is necessary for technical maintenance of the website. Any other transfer to third parties will not take place unless this is justified on the basis of applicable data protection regulations or if pv magazine is legally obliged to do so.

You may revoke this consent at any time with effect for the future, in which case your personal data will be deleted immediately. Otherwise, your data will be deleted if pv magazine has processed your request or the purpose of data storage is fulfilled.

Further information on data privacy can be found in our Data Protection Policy.