REA Strengthens Partnership with UNDP, GEF for Improved Energy Access through the DSOLS Project
On the 28th of July, 2023, the Rural Electrification Agency (REA), through a Networking Fair and Tender Capacity Building event in Abuja, deepened the implementation of one of its special programmes targeted at Derisking Sustainable Off-grid Lighting Solutions (DSOLS) in Nigeria.
Activated in the year 2021, the DSOLS has become a key strategic programme of the Agency, being sustainably implemented with support from the Global Environment Facility (GEF) and United Nations Development Programme (UNDP.
A forward-leaning programme, the DSOLS is a project designed to develop and catalyze a private sector-led technology value for the growth of off-grid renewable energy technologies, such as Solar Home Systems, available to base-of-pyramid (BOP) rural households that would not be electrified at least until after 2025.
In line with the project design and underpinned by a novel approach to derisk private sector investments in the market for rural decentralized renewable energy access, the project is therefore directly supporting the implementation of the Federal Government’s Rural Electrification Strategy and Implementation Plan (RESIP).
The Networking Fair and Tender Capacity Building Workshop brought together over 50 key stakeholders from the private sector, government agencies, and relevant organizations where they shared experiences and best practices in the off-grid solar home system sub-sector in Nigeria. The workshop equally aided the much-needed capacity building of prospective off-grid sector investors to respond to Calls for Proposals through satisfactory tendering documentation and adequate evaluation of bids received.
While emphasizing the role of private sector players in the off-grid sector and the need for a strategic approach to off-grid electrification in Nigeria and sub-Saharan Africa, Engr. Ahmad Salihijo Ahmad, the MD/CEO of the REA harped on the centrality of sustainable energy access for national development. He explained that “the growth of the energy sector automatically catalyzes development in all spheres of life” and urged stakeholders at the forefront of the effort on universal energy access to collaboratively target all objectives towards closing the energy gap in the nation.
The Executive Director of the Rural Electrification Fund (REF) at the REA, Hajiya Sa’adatu Belgore emphasized the need to explore the potential of such knowledge-driven engagements as a means to build collaborative relationships and shared commitment to reducing poverty through the provision of sustainable energy. She commended the Agency’s partners, GEF and UNDP for their continued commitment.
Dr. Bala Tyoden, the Project Manager of DSOLS at the REA explained that the “expected outputs and outcomes for the DSOLS project are policy derisking, financial derisking and knowledge sharing and management”. He emphasized the REA’s continuous efforts through the DSOLS to eliminate the barriers to off-grid investments with the support of its partners, the GEF and UNDP.
While addressing the attendees, the Representative of the GEF Operational Focal Person in Nigeria, Gbenga Daniel, emphasized the need for environmental sustainability and livelihood enhancement. He explained that there is a need for sustained mobilization to carry on the fight towards saving our environment while taking future-focused actions.
The lifetime global environmental benefits from the DSOLS project that will accrue from the adoption of off-grid solar technologies is estimated at ~108,000 ktC02e. Consequential emission reductions amounting to ~5,644 ktCO2e are expected between 2020 and 2029 predominantly through the replication of the sustainable technology value chain. The project yields a GEF abatement cost of 0.46 US$/CO2e.
As the REA progresses with the implementation of the DSOLS, partner stakeholders and key actors present at the Workshop renewed their commitments to harness the contributions of participants for the improvement of government regulations with regard to the implementation of the programme and development of the energy sector. In the same light, the Agency urged stakeholders to maintain an open-door policy on all enquiries and facilitation of knowledge sharing that will ease bottlenecks.
With the REA leveraging the quality of inter-Agency collaboration needed for the successful implementation of the project, representatives of the Nigeria Customs Service and the Standards Organization of Nigeria (SON) at the Workshop both emphasized their commitment to the development of private sector participation in the off-grid sector.
The Customs Service explained the reduction of bottlenecks importers go through as well as the introduction of tax benefits on different products and equipment, while the SON explained its role in standards, testing, certification, registration, implementation and enforcement.