Nigeria’s Power Sector Recovery Programme (PSRP) developed by the country and the World Bank to revive her ailing electricity industry has indicated that serious or credible developers amongst the 14 that signed power purchase agreements (PPAs) to build utility scale solar power plants in the country, would eventually conclude extant deals with the Nigerian Bulk Electricity Trading Plc (NBET) to go on with their projects.
A summary of the document and its action plans for the period of its execution was shared to media houses in Abuja by the power ministry when it hosted them to explain and get their buy-in for the programme.
In it, an aspect that concerns the country’s decision to diversify her energy mix, stated that the government will, “finalise negotiation with credible on-grid solar project developers amongst the existing 14 projects in discussion with NBET.”
It also stated that the NBET would determine the competitive bidding process it would use to meet its procurement of renewable energy generation sources in line with the National Renewable Energy Policy which seeks to procure up to 2000 megawatts of electricity to the national grid from solar, wind and other renewable energy sources.
The government also pledged to support private sector investments in the power sector with key policy measures which include duty waivers, pioneer status, capital importation, and favourable foreign exchange regime.
Nigeria in July 2016, announced its decision to embrace a diversified energy mix, and approved for further negotiations 14 PPAs for up to 1125 megawatts solar power procurement and generation in states mostly in the northern region which has very high solar irradiation.