In a bid to alleviate the country’s significant electricity deficit, Dutch firm, Nova-Lumos is set to roll out a 10 megawatt (mw) off-grid system for 75,000 households and SMEs in northern Nigeria.
In a report made available to Vanguard, by the Africa Corporate Data on its Nigeria off-grid solar overview for third quarter, 2016, the firm had received $15 million in the past twelve months from the US Overseas Private Investment Corporation and a $218,000 grant from the Department for International Developments (DFID’s) Solar Nigeria Programme.
According to the report, “high capital costs for solar equipment and installation have traditionally limited the sustainability of off-grid systems in many parts of Africa, but increasingly, providers are targeting Pay As You Go (PAYG) schemes to help reduce the hurdles for lower-income clients.
“The off-grid equipment from Nova-lumos will be leased rather than sold, for example, the usage of a PAYG scheme is similar to a prepaid mobile subscription.
“The company is collaborating with mobile provider MTN Nigeria, which will allow consumers to pay using mobile wallets.”
The report said: “Nigeria’s government has targeted a 20 percent contribution from renewables by 2030, of which more than 5300 mega watt (mw) should come from solar alone.” The report also said that, the authorities have already signed power purchase agreements for a number of larger solar facilities.