Up to 360 Nigerian rural communities to benefit from new clean energy initiative

AS many as 360 Nigerian rural communities are expected to benefit from the construction of 5,000MW of solar power generation and 2,500MWh of battery energy storage power plants under the terms of a new clean energy package.

This deal is now on the cards following the signing of an agreement on clean and reliable energy between the Federal Ministry of Industry Trade and Investment and Sun Africa, the largest US renewable energy company operating in Africa. According to presidential spokesman Mallam Garba Shehu, the agreement comprises a development and engineering, procurement and construction implementation framework for the construction of 5,000MW of solar generation and 2,500MWh of battery energy storage power plants for up to $10bn investment from the US government.

Mallam Shehu said:  “The agreement was signed on Wednesday in Washington, DC by Otunba Adeniyi Adebayo, the minister of industry, trade and investment and Adam Cortese, the chief executive of Sun Africa, in the presence of President Joe Biden’s special presidential coordinator for the Partnership for Global Infrastructure and Investment, Amos Hochstein.”

In his address on Tuesday, December 13, President Muhammadu Buhari, said: “As part of the National Renewable Energy and Energy Efficiency Policy, we set the vision 30:30:30 which aims at achieving 30GW of electricity by 2030 with renewable energy contributing 30 per cent of the energy mix.”

Mallam Shehu explained that Sun Africa, Sterling and Wilson Renewable Energy Limited, a leading US and international solar EPC company and the Nigerian government have been working on the development of transformation grid-connected and mini-grids solar projects in multiple locations, including interconnection, electrification and smart meters infrastructure. He added that to ensure the broadest and most comprehensive approach to access electricity, Sun Africa is also implementing solar cabins and solar home systems where the mini-grids are not economically viable.

This project will be constructed in different phases across the six geopolitical zones and will provide clean, reliable and affordable electricity to more than 30m people. Subsequently, ING Bank, US Exim Bank, the Federal Ministry of Finance and the Debt Management Office have concluded all the financial negotiations and are closing the financing terms for up to $2bn.