Nigeria Electrification Project

Nigeria’s Rural Electrification Agency (REA) was established to solve electricity challenges in rural parts of the country. As the organization that manages electric power in remote areas, the REA is committed to solving the problem of power access for its constituents. The REA is responsible for the main business scope of Nigeria, covering new power generation, microgrids, and distribution network construction. Abba Aliyu, head of project management for the REA’s Nigeria Electrification Project (NEP), says that much has been achieved but there are still energy challenges that remain to be solved.

Lack of locally-denominated finance, and of sufficiently long-term loans, are well established hurdles to the development of photovoltaics in Africa.

An initial intent to commission 28 local solar-plus-storage networks has now been stated as comprising “around 20” mini-grids, with delivery expected this year, rather than by the middle of the year.

Two investors backed by the charitable foundations set up by energy giants have seed-funded the cash pot to lend to African solar companies, who will be able to buy solar kit cheaper thanks to the economies of scale offered by the aggregation of orders.

Former start-up Husk, which originally based its business on renewables powered by rice industry waste products, has agreed to develop seven solar-plus-storage mini-grids across rural communities in Nasarawa state.

U.S.-owned, Nairobi-based mini-grid developer PowerGen has already rolled out seven local solar networks in the West African country, funded by equity investors who will recoup their cash when all 28 systems are sold to CrossBoundary Energy Access.

Solar support is on the way for businesses and communities struggling to cope as the coronavirus outbreak ripples across the continent.