adplus-dvertising
Business News

Nigeria to Intensify Use of Hybrid Electricity Models—REA CEO

Electricity Subsidy Q1 2024

The chief executive of Rural Electrification Agency (REA), Mr Abba Aliyu, has said there will be intensification of efforts that will enable hybrid models and gas-powered mini-grids to electrify Nigeria.

Speaking at a recent conference in Lagos, he described the Electricity Act as a major enabler for hybrid models and gas-powered mini-grids.

Mr Aliyu, represented by Japheth Ailenataman, explained that the Act emphasizes technology neutrality and called for greater collaboration and stakeholders engagement.

According to him, gas qualifies under the Act as a cleaner for side-fuel, and should be considered to be acceptable in meeting Nigeria’s energy access and transition goals.

“REA hybrid mini-grid project design supports off-grid gas-powered systems in other sub-areas where such solutions are technically and economically feasible.

“The Electricity Act grants states the right to regulate the electricity market within their jurisdiction for off-grid and embedded generation. This supports localized generation solutions in gas-powered mini-grids in other sub-and non-sub-rural communities. These reforms lower the barrier for independent power producers and mini-grid developers, including those utilizing gas technology.

“Decentralization by the Electricity Act means REA must now actively engage with state electricity regulators as well as these schools where applicable, especially on licensing tariffs, safety standards, and gas-based systems and interconnected mini-grids,”

He said these opportunities are really great for Nigeria to meet its energy transition goals.

“Solar gas-based system integration into REA directs the energy education projects in their programs under embedded or hybrid system justification offer great opportunity for integrating Nigeria gas potential for RYA strategic intervention.

“This integration offers a lot of opportunity, and I see from the keynotes reducing emission is also one of the advantages. It also helps to provide a reliable bank of power, enables productive use of electricity, and enhances private sector participation. The way forward is that RYA has already demonstrated a solar hybrid mini-grid in an economic hub within the under-south area as a way forward.

“When we see some of our projects in the selected Nigerian universities, those mega-projects like University of Medjugorje, we have about 12 megawatts. It’s an embedded system. So these are opportunities for solar gas initiatives in bridging the gap that we have in the electricity sector,” he said.

He said looking forward, Nigeria will be looking at gas supply with comparative and economic reflective pricing that can enhance heat integration.

“That is a programme that the federal government has just introduced to power public institutions through embedded solar hybrid mini-grid systems. It encourages states to align with RYA activity in our energy transition priorities.”

“REA affirms and commits to ensuring that rural electrification contributes to Nigeria’s energy transition plan and meets zero goal. We also commit to decentralizing energy source for the electrification model, which includes solar gas hybrid mini-grid,” he said.