- This MoU makes Husk Power the first renewable energy firm to join the Renewable Energy Service Companies.
- RESCO is a new initiative under the REA that aims to complement DisCos, focusing on utility-scale portfolios ranging from 50 to 100MW.
The Rural Electrification Agency of Nigeria (REA) and Husk Power Systems have signed a Memorandum of Understanding (MoU) to deploy 250MW of decentralised renewable energy (DRE) projects. According to REA, this MoU makes Husk Power the first renewable energy firm to join the Renewable Energy Service Companies (RESCO).
RESCO is a new initiative under the REA that aims to complement electricity distribution companies (DisCos). It focuses on utility-scale portfolios ranging from 50 to 100 megawatts (MW).
The acting managing director/chief executive officer of REA, Abba Abubakar Aliyu, stated that the MoU signing with Husk Power is one of REA’s boldest moves, demonstrating the agency’s commitment to driving change in the renewable energy sector.
In addition, he said, “This partnership will significantly contribute to Nigeria’s carbon neutrality goal by 2060, aligning with the country’s vision for a more sustainable future.”
The partnership will focus on various rural and peri-urban DRE projects, including power generation and distribution through interconnected minigrids (IMGs) and isolated minigrids, rooftop commercial and industrial (C&I) solar installations, productive use of energy (PUE), and sales and financing of appliances.
These projects will align with the $750 million Distributed Access through Renewable Energy Scale-up (DARES) project, funded by the World Bank and administered by REA, which is set to launch later in 2024.