Solar Energy

Status of Solar Energy in Nigeria

Introduction

Nigeria is a developing country with a sizable economy in Africa. Like many other developing countries, Nigeria with a population of over 200 million, Nigeria, a significant oil producer with other sources of energy resources like gas, coal, and hydroelectric power, yet has an insufficient supply of power, with only around 60% of the population having access to it.

Due to population expansion, urbanization, and economic development, the country’s energy demand is anticipated to rise dramatically in the years to come. Nigeria faces difficulties in meeting its energy needs because of things like an unreliable power grid, a lack of adequate infrastructure, and high energy costs.

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The Nigerian government has been investigating alternative energy sources. The Nigerian government has recognized the need to diversify its energy mix and reduce its reliance on fossil fuels.

Recently, the Nigerian government has shown an increased interest in renewable energy sources, including solar energy, to meet this requirement., as a way of resolving these difficulties.

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In this article, the current state of solar energy in Nigeria is examined, along with the obstacles and potential prospects.

Current Status of Solar in Nigeria

Like many other African nations, Nigeria has a substantial energy deficit. The Nigerian National Bureau of Statistics (NBS) reports the installed capacity of the nation’s 13,427 MW total energy-producing capacity as of 2020.

However, the nation’s real electricity generation only amounts to an average of 3,500 MW, which is woefully insufficient to fulfill the country’s rising need for electricity.

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Frequent power outages as a result of this insufficiency hurt Nigeria’s economy and quality of life. The failure is attributed to the transmission of electricity due to frequent falls of the electricity transmission grid line.

To bridge this gap, The Nigerian government is aware of solar energy’s potential to close the country’s energy gap as solar energy can be distributed energy system, isolated energy system, or district energy system and broaden its energy portfolio.

The National Renewable Energy Action Plan (NREAP), published by the Nigerian government in 2013, aims to boost the proportion of renewable energy in the nation’s energy mix to 10% by 2025. Solar energy is one of the main renewable energy sources that the nation can use to meet its renewable energy targets, according to the NREAP.

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Also, The Nigerian government announced the Renewable Energy Master Plan (REMP) in 2015, intending to increase renewable energy’s contribution to the country’s energy mix to 30% by 2030. The strategy also intends to boost installed solar capacity in the country to 2.4 GW by 2030.

To attain this goal, the Nigerian government has implemented several policies and efforts to boost solar energy development. One such endeavor is the creation of the Rural Electrification Agency (REA), which is in charge of carrying out the government’s rural electrification program.

In rural areas with limited access to energy, the REA has played a crucial role in the implementation of solar-powered mini-grids and standalone systems.

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The Energizing Education Programme (EEP), which intends to employ solar energy to supply dependable and reasonably priced electricity to universities and teaching hospitals around the nation, was also introduced by the government in 2017.

The Solar Power Naija program is an additional project that intends to deploy solar home systems to offer 5 million households access to energy. The program, which is being executed in conjunction with the private sector, is intended to generate over 250,000 employment and boost the country’s economic growth.

Also, there are independent power generations that provide their homes and offices with solar rooftop systems to generate consistent, uninterruptible, cheap power. 

Additionally, the 75 MW Solar Power Project in Katsina State, was commissioned. In recent years, Nigeria’s private sector has increased its investments in the solar energy industry. Numerous domestic and foreign businesses have entered the market and are funding solar projects all around the nation.

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For instance, the Nigerian government and the French energy giant Total inked a contract in 2021 for the construction of a 50 MW solar power facility in Kaduna State (Guardian Nigeria, 2021).

One of the biggest solar projects in the nation, it will considerably increase the nation’s ability to produce electricity, and the Nigerian government jointly funded the project, which is planned to bring energy to more than 1 million people in the state.

Additionally, several off-grid solar projects have been put into place across the nation, notably in rural areas with limited access to electricity.

In recent years, Nigeria’s private sector has increased its investments in the solar energy industry. Numerous domestic and foreign businesses have entered the market and are funding solar projects all around the nation.

For instance, the Nigerian government and the French energy giant Total inked a contract in 2021 for the construction of a 50 MW solar power facility in Kaduna State (Guardian Nigeria, 2021).

One of the biggest solar projects in the nation, it will considerably increase the nation’s ability to produce electricity. Despite all, there are still several challenges to the development of Solar Energy.

Challenges of Solar Energy Development

  1. Inadequate regulation system: Nigeria’s solar energy regulation system is still in its early stages and is not well-defined. Inconsistencies in laws and regulations have resulted, creating uncertainty for investors and impeding the sector’s growth.
  2. Inadequate Financing: Another issue confronting solar energy in Nigeria is a lack of suitable financing. Many financial institutions are hesitant to lend money for solar projects because of the perceived high risks and uncertainties in the industry.
  3. Inadequate Infrastructure: Nigeria’s energy infrastructure is insufficient to facilitate large-scale solar power plant integration into the national grid. The transmission and distribution networks in the country are old and in desperate need of major investment to increase their dependability and capacity. Furthermore, due to a lack of storage infrastructure, solar energy cannot be stored and used when the sun is not shining, limiting its potential as a reliable source of energy.
  4. Limited Technical Capacity: Nigeria lacks qualified workers with the necessary technical know-how to design, install, and maintain solar systems. This has resulted in substandard installation and maintenance procedures and service delivery that is of low quality.

Opportunities for Solar Energy

Despite barriers, there are substantial prospects for solar energy growth in Nigeria, including:

  1. Solar Irradiation: With an average irradiation of 5.5 kWh/m2 per day, Nigeria has one of the highest levels of solar irradiation in the entire world. This makes it a perfect location for the production of solar energy, with the potential to satisfy a sizeable amount of the nation’s electricity needs.
  2. Rural Electrification: Solar energy can bring electricity to off-grid rural areas, which are frequently home to the country’s most vulnerable and underserved communities. This has the potential to improve educational access.

Conclusion

Nigeria has a lot of potential for solar energy because of its high solar irradiance levels, which makes the nation a prime location for solar energy development. However, deploying solar energy in Nigeria has several difficulties, including a lack of infrastructure and funding.

Despite these obstacles, there are numerous potentials for solar energy to expand, especially with the introduction of off-grid solar systems and mini-grids. Solar power has the potential to significantly increase Nigeria’s access to electricity with ongoing government support and private investment.

References

International Energy Agency. (2022). World Energy Outlook Special Report Africa Energy Outlook 2022. Retrieved from www.iea.org/t&c/

M. F. Akorede, O. I. (2017). Current Status and Outlook of Renewable Energy. Nigerian Journal of Technology (NIJOTECH), 196-212.

Olayinka S. Ohunakin, M. S. (2014). Solar energy applications and development in Nigeria: Drivers and barriers. Renewable and Sustainable Energy Reviews, 294-301.

World Bank(2022). Nigeria GDP per Capita. Trading Economics.

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This article was written by Zulykhat Bukola Wasiu who is a SolarEyes Contributor. More information about SolarEyes Contributors can be found on this link: https://solareyesinternational.com/solareyes-international-contributors/

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Simon Tyrus Caine

Simon Tyrus Caine is a solar energy expert with more than 10 years experience in the solar sector. Simon has worked and lived in more than 5 countries. Simon has been involved in solar installations, solar project development, solar financing as well as business development in the solar sector. At SolarEyes International, Simon manages content development and day to day operations of the organisation.

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