Page 17 - NEW ENERGIES Beyond Data

Introduction

Olufemi Akinyelure

Head, Nigeria Electrification Programme

Over 5 years ago, the idea that renewable energy could revolutionize Nigeria’s electrification seemed
improbable. Skepticism surrounded both developers and government institutions, casting doubt on the
feasibility and impact of such solutions. However, after over 180 mini-grids and more than 1million solar home
systems deployed nationwide, the Nigeria Electrification Programme (NEP) has proven that renewable
energy is not only a viable solution but also a transformative force, expanding electricity access in unserved
and underserved communities and driving significant economic development across the country.

The NEP was initiated with a dual focus: improving electricity access and promoting the use of renewable
energy sources. The cornerstone of the NEP is its result-based financing model of implementation which
is a first in the power sector, attracting private-sector funding and ensuring timely project completion.
This model has made it possible to successfully create the much-required link between the public
sector(government), the private sector, financiers, and the off-takers (the public across all sectors).

The success story of NEP goes far beyond all the various data sets that are used to evaluate project targets.

At inception, apart from the government policies, finance and the enabling environment required, there
was a huge question around the availability of the right private sector entities that possessed the right
technical and financial capacity to execute the projects. But as the project commenced, a new eco system
was created that attracted foreign businesses and investments, and also led to the emergence of new
business entities that helped to build local capacities. These private sector entities, with the right technical
and financial capacities, became known as Developers. Over the years, we have seen these developers set
up assembly plants for critical components such as batteries and solar panels.

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