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The Partnership To Adopt Holistic Approach To Energy Access, Beyond Electricity
The Rural Electrification Agency (REA) has disclosed its partnership with Husk Energy, a global leader in decentralised renewable energy systems.
The partnership, which was recently signed in a memorandum of understanding (MoU, marks a significant milestone in Nigeria’s journey towards universal energy access and sustainable development.
According to Mr. Abba Aliyu, Managing Director (MD)/ Chief Executive Officer (CEO) of REA, the partnership between REA and Husk Energy aims to establish a long-term strategic relationship that sets a global benchmark for scaling the deployment of decentralised solar power projects, otherwise known as ‘minigrids’, in Nigeria.
These projects, according to him, are designed to electrify peri-urban and rural communities, including markets, businesses, households, public institutions, health clinics, and schools, in both weak grid and off-grid areas.
In his words : “This strategic collaboration marks a significant step forward in REA’s ambition to create ‘utility-scale’ renewable energy companies, also known as RESCOs.”
Leveraging the Distributed Access through Renewable Energy Scale Up (DARES) project as a catalyst, Mr. Aliyu said, “the REA aims to transform conventional project developers into service-oriented entities capable of constructing resilient infrastructure and delivering energy services on a large scale.”
“This strategic partnership with Husk Power signals our commitment to empowering companies to develop a diverse portfolio of mini-grid projects nationwide under the RESCO ethos, thereby significantly advancing our mission of achieving universal energy access in Nigeria,” he said.
On electrifying communities through interconnected mini-grids (IMGs), the REA boss said: “The partnership focuses on the deployment of up to 250 MW of IMGs, specifically targeting peri-urban and rural communities – including markets, businesses, households, public institutions, health clinics, and schools. These IMGs will address the critical need for reliable and affordable electricity in both weak-grid and off-grid areas, aligning perfectly with the ‘renewable energy scale up’ theme of the REA’s DARES project, supported by the World Bank.”
Beyond Electricity: A Holistic Approach to Energy Access
Other than electricity, the REA-Husk Power partnership, according to Mr. Aliyu, extends beyond just electricity generation and looks to deepen the impact of energy access in the connected communities through the scaling up of productive use of equipment (PUE) and alignment of value chains to facilitate rural economic growth.
“The MoU sets the stage for cooperation in implementing cutting-edge energy service models like Virtual Power Plants (VPPs), aimed at enhancing energy efficiency and grid reliability. This collaboration will lead to the introduction of value-added products and services within the IMG franchise areas.
Also on the component of the understanding, Mr Aliyu said: “These offerings encompass various initiatives such as: Energy-efficient appliance sales and financing; e-mobility solutions; agricultural processing and cold storage; and e-cooking solutions.”
The partnership, as Mr. Aliyu would put it, is designed to be a global best practice for scaling up decentralised solar power solutions in a sustainable manner, both financially and environmentally. “The customer-centric approach ensures communities are at the heart of this initiative, with access to not only electricity but also the tools and services to maximize its benefits.”
Mr. Aliyu stated: “This MoU signifies a major leap forward in our vision for creating a network of RESCOs that can deliver clean and reliable electricity to even the most remote corners of Nigeria. Partnering with a proven leader like Husk Power positions us to not only achieve our ambitious deployment goals but also establish a model that can inspire others around the world.”
In his response, Mr. Manoj Sinha, Co-Founder and CEO of Husk Power, said: “We are incredibly honored to partner with the REA on this groundbreaking initiative. The combination of REA’s commitment and Husk Power’s expertise creates a powerful force for positive change.”
Speaking further, he said: “This partnership will not only deliver electricity access but also empower communities to thrive through the introduction of innovative energy solutions.”
