Energy

Clean Energy: Over 70,000 People to Benefit from Africa Mini-grids Program

Over 70,000 Nigerians will benefit from its recently launched Africa Mini-grids Program (AMP) instituted to enable access to clean energy

Published

1 year ago

October 3, 2022

Investors King

The federal government of Nigeria has said over 70,000 Nigerians will benefit from its recently launched Africa Mini-grids Program (AMP) instituted to enable access to clean energy by increasing the financial viability, and promoting scaled-up commercial investment, in renewable energy mini-grids.

Africa Minigrids Program (AMP) is a project that connects investors with mini-grids stakeholders to help create access to clean energy for the 548 million people in sub-Saharan Africa who currently don’t have access to electricity, which is currently active in 18 African countries.

The Africa Mini-grids Program (AMP) was launched by the federal government through the Rural Electricfication Agency (REA), as the four-year project is funded by the Global Environment Facility (GEF) and supported by the United Nations Development Programme (UNDP) in Nigeria.

Speaking on the launch of the program, the Rural Electrification agency (REA) said, “The Africa Minigrids Program in Nigeria is designed as an enabler project of the REA’s Energising Agriculture Programme (EAP) which aims to advance one of REA’s strategic priorities of focusing on the unserved and underserved to increase economic opportunities through agriculture and productive sectors in rural communities across the country.”

Also commenting on the launch of the program, the UNDP Resident Representative in Nigeria Mr. Mohamed Yahya said: “access to reliable, sustainable, affordable energy is a catalyst to socio-economic development, and in achieving the Sustainable Development Goals (SDGs).

“By scaling up solutions such as renewable energy mini-grids, we will be able to close the energy access gap and unlock opportunities for people in Nigeria and across the region.”

While commending the collaborative spirit of the Agency’s partners and stakeholders that enabled the activation of the program, the Managing Director/CEO of the Rural Electrification Agency (REA), Engr Ahmad Salihijo Ahmad, disclosed that the Africa Minigrids Program will serve as another catalyst for improved access to sustainable energy and equitable and inclusive impact on livelihoods by unlocking agricultural value addition opportunities from electrification.

He added “this sectoral approach is in line with the Agency’s focus on programs to advance the electrification targets and broader social and economic development objectives of the Federal Government of Nigeria.”

In Africa, mini-grids have been identified as a key platform to address critical electrification shortages. Creating successful mini-grid ecosystems beyond pilot projects is now the focus of African governments facing severe shortages, especially for their off-grid populations.

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Energy

Nigeria and Germany Ink $500 Million Agreements for Renewable Energy and Gas Exports

Published

3 weeks ago

November 22, 2023

Investors King

Nigerian and German companies have sealed two pivotal agreements in Berlin, valued at $500 million.

The accords, announced by Presidential spokesperson Ajuri Ngelale, include a renewable energy pact and a gas export deal, marking a significant milestone in bilateral cooperation.

The first agreement formalized a Memorandum of Understanding on renewable energy between the Union Bank of Nigeria and Germany’s DWS Group.

This strategic partnership seeks to attract $500 million in investments dedicated to renewable energy projects, with a primary focus on rural communities across Nigeria.

The second Memorandum of Understanding solidified a gas export partnership between Riverside LNG of Nigeria and Germany’s Johannes Schuetze Energy Import AG. Under this deal, Nigeria commits to supplying 850,000 tons of natural gas annually to Germany, with projections indicating an increase to 1.2 million tons.

The initial shipments are scheduled for 2026, addressing both nations’ commitment to environmentally conscious practices and sustainable energy solutions.

This gas export agreement is particularly significant as it contributes to processing approximately 50 million cubic feet per day of natural gas that would otherwise be flared, aligning with Nigeria’s goal to harness its abundant gas resources for sustainable energy projects.

President Bola Tinubu, attending the G20 Compact with Africa conference in Berlin, expressed his approval of the agreements, emphasizing Nigeria’s commitment to reforms. Chancellor Olaf Scholz of Germany also announced a 4 billion euro investment in green energy projects in Africa by 2030, aligning with Germany’s transition to carbon neutrality.

Despite challenges such as oil theft, Nigeria, under President Tinubu’s leadership, has undertaken significant reforms to attract investors and revitalize its economy.

These agreements signify a step toward sustainable energy solutions, addressing environmental concerns and fostering economic growth in both nations.

Energy

Sun Africa Commits $2.2 Billion to Transform Nigeria’s Power Sector

Published

3 weeks ago

November 20, 2023

Investors King

Sun Africa LLC, a global entity dedicated to supporting Africa’s energy needs, has announced a commitment of approximately $2.2 billion for the development of Nigeria’s power sector.

The pledge follows a meeting between the Minister of Power, Adebayo Adelabu, and representatives from Sun Africa, led by Chairman Goran Rajsic.

In the initial phase, the project will concentrate on delivering 961 MWp of solar PV infrastructure and 455 MWh of battery energy storage, marking a transformative venture valued at $2.2 billion.

This strategic collaboration aims to address Nigeria’s growing demand for new power infrastructure, aligning with the nation’s economic needs and transitioning toward sustainability.

Adelabu emphasized Nigeria’s significant requirement for new power infrastructure to support economic growth and sustainability.

The commitment from Sun Africa and its partners signifies a crucial step toward achieving Nigeria’s electricity goals.

Goran Rajsic expressed gratitude to the project partners, highlighting the support in designing a comprehensive solution featuring cutting-edge solar PV and battery storage technologies.

Sun Africa’s collaboration with Sterling & Wilson Renewable Energy Limited as its EPC partner represents a milestone in advancing sustainable and reliable energy solutions for Nigeria.

This initiative aligns with the nation’s commitment to driving positive change through innovative renewable energy solutions.

Energy

Niger Delta Power Holding Company Reveals N190bn Debt Owed by Government Entities

Published

4 weeks ago

November 14, 2023

Investors King

The Niger Delta Power Holding Company (NDPHC) has disclosed that the Central Bank of Nigeria (CBN), the Nigerian Bulk Electricity Trading Plc (NBET), and the Nigerian Electricity Liability Management Company owe a cumulative sum of N190 billion for electricity supply.

Chiedu Ugbo, the Managing Director and CEO of NDPHC, shared this information during a media briefing in Lagos.

Ugbo highlighted that the N190 billion debt has accumulated from 2015 to May 2023. While the exact amount owed by NBET wasn’t specified, Ugbo emphasized that the huge indebtedness to NDPHC runs into hundreds of billions, affecting the company’s operations and financial obligations.

He stated, “NDPHC is also not paid for availability but only as dispatched, thereby depriving NDPHC of hundreds of billions since 2015 when the Transitional Electricity Market was declared, and the government has so far been denied revenue as high as N3trn.”

Ugbo emphasized the challenging situation the debt has created, making it difficult for NDPHC to meet operational expenditures, pay gas suppliers, and maintain regular power generation.

To overcome these challenges, he called for urgent private capital mobilization and explored independent transmission projects, involving Gencos as investors.

Executive Director, Generation, Engr. Abdullahi Kassim, highlighted the ‘Light-up Nigeria Initiative,’ a program aimed at leveraging NDPHC’s generation assets to provide reliable power supply to eligible customers, distribution companies, and third-party project developers, ultimately achieving over 97% power distribution to the masses.