REA, AfDB canvass productive energy use in rural areas
by Okechukwu NnodimOkechukwu Nnodim, Abuja
The Rural Electrification Agency, in collaboration with the African Development Bank, has called for an increase in the productive use of energy in rural communities by facilitating access to efficient electric equipment.
Both organisations made the call at a recent webinar on the AfDB-funded Nigeria Electrification Project Component II with a focus on productive used appliances and equipment in off-grid communities.
The Managing Director, REA, Ahmad Salihijo, said the event marked a milestone in the implementation of the AfDB-funded project where mini-grid developers were supported through a subsidy programme to encourage the deployment of low-cost productive appliances at solar mini-grid electrified communities.
He explained that the project component also served to activate the productive use of appliance market and power a critical enabler to sustainable economic development while scaling up energy access.
“It will also encourage developers to make productive use of power and energy-efficient appliances a part of their overall strategy for mini-grid viability,” Salihijo said.
The agency said the component would target operating private mini-grid developers and prospective energy access businesses in Nigeria preparing business plans and incorporating the pre-determined Performance Based Grant in their financial projections.
Salihijo said, “The grant will be available for existing businesses who have developed sustainable business plans for the deployment of their systems with productive appliances and equipment for off-grid communities.
“Applications for the grant will be considered on a rolling basis.”
The REA boss said the webinar was to familiarise participants with the proposed subsidy programme for productive loads under the Nigeria Electrification Project by the AfDB.
He said it was also used to present the findings of a detailed study on agricultural loads conducted by the Power Africa Nigeria Power Sector Programme.
Salihijo said the webinar also sought input from participants to enhance the structure and effectiveness of the proposed subsidy programme and its deployment.
The Chief Regional Programme Officer, AfDB, Mamadou Diagne, who was represented by an official of the bank, Chukuwdozie Okpalaobieri, reiterated the importance of this component in achieving Nigeria’s development objectives.
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