On February 27, 2024, the Electricity Hub (TEH) attended the solar generator showcase organised by the Germany-based Access to Energy Institute (A2EI) team at Wuse Market, Abuja. A2EI specializes in creating solar generators to combat carbon emissions in Nigeria.
During the showcase, Thomas Deveau, A2EI’s Chief Strategy Officer, explained to TEH the dual purpose behind their solar generators: reducing carbon emissions and helping Nigerian business owners transition away from small fuel generators, commonly known as “I better pass my neighbour” generators.
Data from A2EI posits that on a daily basis, generators in Nigeria are guzzling around 100 million litres of fuel, leading to almost 100 million tons of CO2 annually.
Iember Anusa, the Executive Director at Chromevolt Technologies Limited, one of the distributors of A2EI solar generators in Nigeria, led the delegation through several Wuse market stalls where the A2EI solar generators are utilized. The institute’s solution includes a large solar array, a remote monitoring system, power electronics, and high-capacity batteries.
A2EI provides customers with a Pay-as-You-Go option over 24 months, tailored to each customer’s needs. To address financing hurdles, A2EI has introduced the Solar Generator Working Capital Facility, which allows distributors to focus on replacing fuel generators with solar ones.
Over the past three years, A2EI has successfully replaced over 1000 fuel generators in Nigeria, increasing customer satisfaction and signalling positive prospects for potential solar users.
TEH met with several market traders using the A2EI solar generator during the showcase. Sunny Eboh, popularly known as Sunny White, who trades in cosmetics, told TEH that he has been using the A2EI solar generator for a little over a year, and he has decided to contact the Chromevolt team to install a system at his home because of how efficient and reliable the solar generator is without all the cost and pollution hassles the petrol generator has.
Key facts gathered by the Electricity Hub
During the Wuse market showcase, TEH learned that the solar generator system offered by A2EI spans from 1 kVA to 3 kVA and comes equipped with a changeover switch. This switch ensures a seamless transition: the solar generator automatically takes over if the grid power goes out. However, some customers already possess changeover switches for their grid or fuel generators, which they opt to integrate with the solar generator.
A2EI actively engages with customers through a WhatsApp group to educate them on effectively utilising solar generator systems. They advise customers on panel maintenance through regular messages, emphasizing the importance of keeping the panels clean to optimize performance.
In an interview with TEH, Chris Anusa, the Managing Director of Chromevolt Technologies Limited, shared insights into the challenges faced during the initial stages of fee collection. However, he highlighted the intelligence of the A2EI solar systems, which automatically deactivate when payments are overdue or nearly depleted.
Anusa noted the initial limitations in remote control of solar systems but highlighted improvements over time. With enhanced microcontroller capabilities, customers now consistently pay their bills promptly, facilitated by the integrated cable function.
Tech-enabled payment structure
Regarding payment rates for Wuse market customers, Anusa revealed a range between N13,000 and N40,000 per month. He emphasized the significant impact of any defaults on the business model adopted by A2EI, underscoring the importance of timely payments for sustaining operations.
He said, “We wanted to replace all the systems, to replace the microcontroller in the system or put a cable function in it, especially for customers who will never pay on time. Now, because there is a control, the system enables prompt payments.”
Widening the A2EI distribution network
During discussions with the Electricity Hub, Anusa elaborated on A2EI’s operational scope, highlighting their active presence in various Nigerian states, including Kano, Abuja; the Federal Capital Territory (FCT), Nasarawa, Benue, Kaduna, and Plateau. He underscored the heightened demand for A2EI solar generators across these regions, citing differences in grid power supply as a significant factor.
Anusa emphasized that demand tends to be higher in states where the grid power supply is comparatively weaker, contrasting the situation in the FCT, where the grid power supply is relatively more reliable. He clarified that in areas where A2EI operates, communities are devoid of grid power altogether, amplifying the necessity and demand for solar generators in such locales.
He said: “Majority of the systems we deployed in February 2024 went to commercial hubs in Kaduna and Nasarawa states.”
Anusa also said that although they have a mix of commercial and household customers, the former has the highest rate at 70 per cent, while households have 30 per cent. This is because the A2EI business target is Nigerian Micro, Small, and Medium Enterprises (MSMEs).
Customer Satisfaction
A2EI, alongside its Nigerian distributors Chromevolt and Creeds Energy, strongly emphasises customer satisfaction. They recognize that customer satisfaction is paramount as it directly correlates with the successful utilization of solar generators. Anusa emphasized to TEH their unwavering commitment to ensuring customer satisfaction. He highlighted that A2EI boasts superior repayment rates compared to competitors, attributing this success to the high level of satisfaction among A2EI’s customer base. Anusa further noted that A2EI offers customers the flexibility of making a one-time payment instead of paying for instalments.
Retaining Efficiency
At the Wuse market showcase, Iember Anusa, affectionately known among customers as Ms. Sunshine, discussed the importance of maintaining the maximum efficiency of solar generators over time. She pointed out that many customers have grasped the significance of optimizing the performance of their solar generators. Anusa emphasized the common-sense notion of wanting to access energy from solar generators during nighttime in the market, highlighting the critical role of energy efficiency practices in ensuring uninterrupted access to power.
She said: “It is important for the traders to manage their load during the day, so the solar generator can run till it is dark or until the shop is closed at the market.”
She also pointed out that one of the ways to enhance efficiency is the constant clean-up of the solar panels, especially during the dry season. The solar panels are always clean during the rainy season, allowing for high efficiency as the sun’s energy is harvested.