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[MAY 2023 FREE REPORT] Renewable Energy Development

by Serah Emiade | 21-05-2023 04:26


INTRODUCTION

Nigeria, a country in West Africa with an estimated population of over 200 million people, has been experiencing severe power shortages for decades. The unreliable power supply has been a major impediment to economic growth, industrialization, and the provision of basic social services. In response to this challenge, the Nigerian government has recently been focusing on renewable energy development to increase the country's electricity generation capacity and improve access to electricity for its citizens.

A FEW FACTS

Nigeria is blessed with abundant renewable energy resources, including solar, wind, hydro, and biomass. According to the Nigerian Energy Support Programme (NESP), Nigeria has a solar potential of 7.5kWh/m2/day, a wind potential of 2.2-9.5m/s, and a hydro potential of over 12,000MW. The country also has significant biomass potential, with estimates of over 47 million tonnes of waste generated annually.
Despite this enormous potential, renewable energy accounts for less than 1% of Nigeria's total electricity generation capacity, with the majority of the country's electricity generated from gas-fired power plants. This over-reliance on gas has made the country vulnerable to gas supply disruptions and price volatility, which has contributed to the persistent power shortages.

SOME RENEWABLE ENERGY POLICIES AND REGULATORY BODIES
The Nigerian government has taken steps to develop a supportive policy and regulatory framework for renewable energy development. In 2015, the government launched the Nigerian Renewable Energy and Energy Efficiency Policy (NREEEP), which aims to increase the share of renewable energy in the country's energy mix to 30% by 2030.

The NREEEP provides a comprehensive framework for the development of renewable energy in Nigeria, including the establishment of a Renewable Energy Fund (REF) to support renewable energy projects, the development of renewable energy targets for each state in the country, and the provision of fiscal incentives for renewable energy investments.
In addition to the NREEEP, the Nigerian Electricity Regulatory Commission (NERC) has also developed regulations to promote renewable energy development. In 2019, the NERC introduced the Mini-Grid Regulations, which provide a regulatory framework for the development of mini-grids in Nigeria. The mini-grid regulations are expected to promote the deployment of mini-grids as a means of increasing access to electricity in rural areas.

RENEWABLE ENERGY PROJECTS IN NIGERIA
Despite the supportive policy and regulatory framework, renewable energy development in Nigeria is still at an early stage. However, there are some notable renewable energy projects that are underway or have been completed.

SOLAR POWER 
In 2019, the Nigerian government launched the 5MW Wudil Solar Power Plant in Kano State. The project was developed by the Nigerian Bulk Electricity Trading Plc (NBET) and is expected to supply electricity to over 60,000 homes. The government is also developing the 3.05MW Dadin Kowa Solar Power Project in Gombe State, which is expected to be completed in 2022.

WIND POWER 
In 2020, the Nigerian government signed an agreement with the Danish wind turbine manufacturer Vestas to develop the Kankara Wind Power Project in Katsina State. The project is expected to have a capacity of 100MW and is expected to be completed in 2023.

HYDRO POWER 
In 2021, the Nigerian government signed an agreement with the Chinese hydroelectric company Sinohydro to develop the 3,050MW Mambilla Hydroelectric Power Project in Taraba State. The project is expected to be the largest hydroelectric power plant in Nigeria and is expected to be completed in 2025.

BIOMASS POWER 
In 2020, the Nigerian government signed an agreement with the Japanese conglomerate Sumitomo to develop a biomass power plant in Ebonyi State. The project is expected to have a capacity of 50MW and will utilize agricultural waste as feedstock.

CHALLENGES AND THE WAY FORWARD
While there has been progress in renewable energy development in Nigeria, there are still significant challenges that need to be addressed. One of the main challenges is the lack of access to finance for renewable energy projects. Many renewable energy projects require substantial upfront capital investment, and the availability of affordable financing options is crucial for their development.

Another challenge is the inadequate grid infrastructure. The existing grid infrastructure in Nigeria is outdated and often unable to handle the intermittent nature of renewable energy sources. This calls for investments in grid upgrades and the development of smart grid technologies to integrate renewable energy into the existing power system.

Furthermore, the technical capacity and expertise in the renewable energy sector need to be enhanced. Training programs and capacity-building initiatives should be implemented to develop a skilled workforce that can design, install, operate, and maintain renewable energy systems.

SUMMARY
Nigeria has been facing power shortages for decades, which have hindered economic growth and the provision of basic services. The country has abundant renewable energy resources, including solar, wind, hydro, and biomass. Despite this, renewable energy accounts for less than 1% of Nigeria's total electricity generation capacity. To address this challenge, the Nigerian government has launched the Nigerian Renewable Energy and Energy Efficiency Policy (NREEEP) to increase the share of renewable energy in the country's energy mix to 30% by 2030. The policy provides a framework for the development of renewable energy in Nigeria, including the establishment of a Renewable Energy Fund (REF), the development of renewable energy targets for each state in the country, and the provision of fiscal incentives for renewable energy investments. Some notable renewable energy projects are underway or have been completed, including the 5MW Wudil Solar Power Plant in Kano State, the Kankara Wind Power Project in Katsina State, and the Mambilla Hydroelectric Power Project in Taraba State. However, challenges such as the lack of access to finance for renewable energy projects, inadequate grid infrastructure, and the need to enhance technical capacity and expertise in the renewable energy sector need to be addressed.
With the right investments, partnerships, and focus on sustainable development, Nigeria can harness its abundant renewable energy resources and improve access to electricity for its citizens while reducing its dependence on fossil fuels.
Renewable energy development in Nigeria holds great potential for addressing the country's power shortage challenges. The Nigerian government's commitment to renewable energy through supportive policies and regulations is a positive step. However, more needs to be done to overcome the challenges hindering the sector's growth. With the right investments, partnerships, and a focus on sustainable development, Nigeria can harness its abundant renewable energy resources and improve access to electricity for its citizens while reducing its dependence on fossil fuels.




REFERENCES 
Nigerian Energy Support Programme (NESP). (n.d.). Retrieved from https://www.nesp-ng.org/
Nigerian Renewable Energy and Energy Efficiency Policy (NREEEP). (2015). Retrieved from https://www.minesandsteel.gov.ng/
Nigerian Electricity Regulatory Commission (NERC). (n.d.). Retrieved from https://nerc.gov.ng/
Mini-Grid Regulations. (2019). Nigerian Electricity Regulatory Commission (NERC). Retrieved from https://www.nercng.org/
Nigerian Bulk Electricity Trading Plc (NBET). (n.d.). Retrieved from https://nbet.com.ng/
Vestas. (n.d.). Retrieved from https://www.vestas.com/
Sinohydro. (n.d.). Retrieved from http://www.sinohydro.com/
Sumitomo. (n.d.). Retrieved from https://www.sumitomocorp.com/