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The REA has signed agreements with six companies to deploy SHS under the Output-Based Fund component of the NEP.
- The OBF provides grants of up to 20 per cent per system deployed.
- The six companies will deploy over 75,000 SHS units over 2 years.
The Rural Electrification Agency (REA) yesterday signed 6 solar energy companies to the Solar Home Systems Output-Based Fund (OBF) component of the Nigeria Electrification Programme (NEP). The OBF provides a fixed incentive payment per SHS installed. The fund will provide grants in the range of 20 per cent of the system’s retail cost to the grantees, per each eligible system installed and verified.
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The six companies will deploy about 75,953 SHS units in the next 24 months across the six geopolitical zones in the country. The companies signed on include; Azuri Technologies (1,640 SHS units), Morton (8,550 SHS units), Solar Pawa (5,000 SHS Units), Beebeejump Solar (52,500 SHS Units), Solar Sister (4,663 SHS Units), Creeds Energy (3,600 SHS Units).
According to the REA, the SHS component of the NEP has been one of the “best performing components” in the programme. So far, about 200,000 SHS units have been deployed, with the impact estimated to have reached over 1 million people.