Nigerian Rural Electrification Agency partners with Husk Power Systems to implement 250 MW decentralized renewable energy projects – pv India Magazine

May 23, 2024 Uma Gupta

Nigeria’s Rural Electrification Agency (REA) and Husk Power Systems (Husk) have entered into a strategic partnership to deploy decentralized renewable energy (DRE) projects of up to 250MW to support the government’s energy access, energy transition and energy security goals . Both partners recently signed a Memorandum of Understanding (MoU) for this initiative.

The partnership will focus on a range of DRE projects in rural and peri-urban areas, including power generation and distribution (both interconnected mini-grids and isolated mini-grids), commercial and industrial rooftop solar (C&I), productive use of energy (PUE), and sales and financing of devices.

The projects will support the implementation of the $750 million Distributed Access through Scaling Renewable Energy (DARES) project, which is funded by the World Bank and administered by REA. DARES is expected to launch later in 2024.

In addition to building new clean energy infrastructure to electrify unserved and underserved communities, the agreement also outlines collaboration on new, innovative models such as virtual power plants (VPPs) and value-added social services such as e-mobility, agro-processing and cold storage and clean cooking.

REA and Husk will also work together to enable mass adoption of energy-saving appliances and PUE devices through sales, distribution and credit financing.

Abba Aliyu, Managing Director of REA, said: “This partnership represents a historic step forward in our vision for a network of renewable energy service companies (RESCOs) that can deliver clean and reliable electricity to every corner of Nigeria. By joining forces with Husk Power, we are able to not only achieve our ambitious renewable energy deployment goals, but also set a model that can inspire others around the world.

Manoj Sinha, co-founder and CEO of Husk Power Systems, said: “To achieve widespread electrification in Nigeria and revitalize the rural economy, a stronger and more ambitious public-private partnership (PPP) is essential. Now is the time to do something big or go home. With REA’s vision and commitment, this strategic partnership will accelerate the deployment of Husk’s AI-enabled energy platform, improve the lives of millions of Nigerians, replace tens of thousands of diesel generators, and improve climate adaptation and resilience. We tailor our solutions to the needs of each community, empowering them to chart their own path to prosperity.

Husk has been present in Nigeria since 2020 and has successfully delivered reliable, clean electricity to households, micro, small and medium-sized enterprises (MSMEs) and factories, health clinics, schools, markets and public institutions. As part of the Africa Sunshot initiative announced in 2023, Husk plans to deploy 1,000 mini-grids in Nigeria and another 1,500 elsewhere in sub-Saharan Africa.

REA is an agency of the Federal Government of Nigeria, under the Ministry of Energy, tasked with achieving the country’s ambition to achieve universal access. The agency accomplishes this mission by combining public funds and funding from partners and the private sector to ensure that Nigerians have access to clean and sustainable energy in underserved and underserved communities.