$1bn Power Investment: Federal Govt, Developers Seek Resolution For 1GW Solar Energy

The federal government has met with solar power developers to discuss the framework for the resolution of the impasse on the 1-Gigawatt Solar Power Plants worth $1 billion in new investment, which has prevented developers from moving to site since signing Power Purchase Agreements in 2016.

The discussions were held at a meeting hosted by the minister of Power, Engr. Abubakar Aliyu and chaired by the minister of Finance, Budget and National Planning, Dr Zainab Ahmed. Also in attendance were the special adviser to the President on Infrastructure Engr. Ahmad Zakari, financiers, development partners, the Nigeria Electricity Regulatory Commission (NERC), Nigeria Bulk Electricity Trading (NBET) electricity distribution companies and other stakeholders.

In her opening remarks, the minister of Finance Mrs Zainab Ahmed said the presence of developers at the meeting was proof of their commitment to the success of the project.

In his remarks, the minister of Power Engr. Abubakar D. Aliyu pointed out that 1-Gigawatt of renewable energy can make a difference, considering the energy demands of Nigeria. The minister also said the government is confronting electricity challenges with the implementation of numerous initiatives, and that current measures taken to improve electricity supply in Nigeria are yielding results. He further stated that the government will continue to explore diverse ways of ensuring that electricity supply improves in the country.

The special adviser to the President on Infrastructure Engr Ahmed Zakari stated that the resolution of all issues delaying the take-off of the project will accelerate government’s commitment to achieving 30 per cent of grid power from renewable energy sources by 2030.

He further stated that diversifying Nigeria’s energy sources will balance the energy demands of the country and mitigate future occurrences of grid disruptions occasioned by gas supply challenges.

It is expected that developers will move to site this year and some of the projects should commence operation by 2023.