By Odimmegwa Johnpeter, Abuja
Not less than 25 million households will be connected with the creation of 250,000 new jobs in the power sector through the Rural electrification Agency (REA) by the federal government of Nigeria.
Engr. Salihijo Ahmad, the Managing Director, Rural Electrification Agency stated this on Tuesday, December 1, 2020, at the official launch of the 5 million solar connections programme in Abuja. This was contingent to the federal government commitment to resolving the challenges and delivery of the president’s objectives on efficient, stable and reliable power to Nigerians and put the country on the path of economic recovery as earlier stated by the vice president, Prof. Yemi Osinbanjo.
According to Mr. Goddy Agba, the Minister of State, Power, the scheme is key to addressing the challenges of electricity access in Nigeria.
In the same light, Salihijo stated that the project is one of the critical Programmes under the Federal Government’s Economic Sustainability Plan (ESP), designed to provide energy access to 25 million Nigerians.
He noted that the project is initiated in response to the COVID-19 pandemic, as part of the Economic Sustainability Plan (ESP) of the federal government to provide 5 million new solar connections in off grid communities.
Accordingly, he explained that the program is expected to generate an additional N7 billion increase in tax revenues per annum and $10 million in annual import substitution.
He stressed that the project is centred on three objectives: To expand energy access to 25 million individuals (5 million new connections) through the provision of Solar Home Systems (SHS) or connection to a mini grid;
Increase local content in the off grid solar value chain and facilitate the growth of the local manufacturing and assembly industry;
Incentivize the creation of 250,000 new jobs in the energy sector.
“The Solar Connection Intervention Facility from the Central Bank of Nigeria (CBN), will complement the Federal government’s effort of providing affordable electricity to unserved rural communities through the provision of long-term low interest credit facilities to the Nigeria Electrification Project (NEP) pre-qualified SHS distributors and mini grid development companies. This also include qualified home solar value chain players such as manufacturers and assemblers of solar components.
He also expressed optimism over the determination of the Federal Government to transform the power sector in accordance with its Next Level agenda.
Ahmad stated that, “This is a testament to our dedication and commitment to scaling the off-grid solar market through provision of long term low interest credit facilities to the Nigeria Electrification Project (NEP) pre-qualified home solar value chain players that include manufacturers and assemblers of solar components and off-grid energy developers and retailers in the country”.
Earlier, Director Development Finance, Central Bank of Nigeria (CBN), Mr Yusuf Yila said applicants should apply through their banks and those applications will be funded by the CBN up to 70% as you know for the upstream should have more ten years.
The Technical Project Manager, REA, Mr Suleiman Babamanu who gave a detailed presentation on the nitty gritty of the scheme urged that participants should leverage on the facility to improve the power sector.
Also, Head Procurement Management Unit, Nigeria Electrification Project, Anita Otubu in her closing remarks lauded the Minister of Power for the support in successful implementation and launch of the program.
https://any.peopleandpowermag.com/25-million-households-to-connect-with-solar-system-fg/
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