IF things go according to plans, Nigeria’s 75 mega
watts power project valued at $146 million will be
commissioned next year.
This is part of the Solar Power Purchase Agreement,
PPA signed by the Federal Government and Pan
Africa Solar, recently at the office of the Nigeria
Bulk Energy Trader, NBET.
The 75MW solar photovoltaic power project located
in Katsina State, expected to be commissioned in
2017, will sell power for a tariff of 11.5 US cents
per kWh.
Speaking at the ground breaking ceremony, the
Vice-President, Prof. Yemi Osinbajo (SAN), who was
represented by Mrs. Lolade Abiola of the Sector
Lead Solar and Access Advisory power Team, Office
of the Vice President, said once commissioned, the
75MW solar project will be the largest of its type in
Sub Saharan Africa (excluding South Africa) and will
provide power for 1.1 million Nigerians.
Apart from generating about 500 jobs for local
people during the 12 month construction period,
about 40,000 new jobs will be created from the
additional economic activity stimulated by the
power plant.
Pan Africa Solar Chief Executive Officer, Mr. Marcus
Heal, commended the Federal Ministry of Power for
pushing ahead with its solar energy policy, saying
that the 11.5 US cents tariff was achieved through
‘’harnessing lower construction and lower solar
panel prices and the commitments of the project’s
Lender”.
He said that Pan Africa Solar is developing a 1,000
MW portfolio of solar projects in Nigeria and is
planning of bringing more than US$1 billion of
investment over the next five years.
According to him, the sponsor group for the project
includes Pan Africa Solar and JCM Capital and the
African Finance Corporation (AFC).
The FMO are the Lead Arrangers of debt raised
from the Development Finance Institutions that
includes DEG and Proparco. The project is also
receiving support from the World Bank, Power
Africa and MIGA.
Justin Woodward of JCM Capital, a Canadian
Private Equity firm, a co-developers in the project
said, “This is the start of a solar revolution in
Nigeria.”
