Nigeria: DisCo drives clean energy push with solar off-take

The solar off-take agreement and mini-grids rollout are seen as contributing to the energy transition goals in Nigeria

An electricity distribution company (DisCo) in northern Nigeria has started a major off-take solar project and is planning to deploy several mini-grids to supply electricity to homes and businesses across the three regions it supplies energy to. 

Kano Electricity Distribution Company (KEDCO) announced recently that it “is pleased to announce the successful commencement of 10MW energy off-take of solar power from the Haske Solar Plant, located within the Challawa Industrial Cluster, Kano.”

“This followed the signing of a Power Purchase Agreement (PPA) with Haske Solar Company Ltd, built by the Federal Government through the Nigerian Sovereign Investment Authority (NSIA) and managed by the Ministry of Finance Incorporated (MOFI), solidifying the procurement of clean energy from the already operational 10 Megawatt (MW) solar power plant, commissioned in January, 2023,” said KEDCO.

Adding solar into the energy mix in northern Nigeria

KEDCO MD/CEO Abubakar Shuaibu Jimeta and the Executive Director, Portfolio Management (MOFI) Tajudeen Datti Ahmed, signed the agreement in Abuja recently. 

“This partnership is a major step forward in our commitment to delivering reliable and sustainable electricity to our customers; by integrating solar power into our supply mix, we are not only improving network efficiency but also contributing to Nigeria’s energy transition goals,” said Jimeta.

He said that purchasing 10MW from Haske Solar Power Plant is part of the bigger picture towards ensuring energy security within the network, “enabling key industries and socio-economic activities to thrive in Kano, Katsina, and Jigawa States while safeguarding jobs and competitiveness in our network.”

“We have already begun energy offtake, evacuating the energy through our Abattoir Injection Substation and supplying our industrial customers within the cluster through NBC 11kV and Ceramic 11kV feeders,” said Jimeta.

Solar mini-grid commissioned

More recently, the Executive Governor of Jigawa State, Malam Umar A Namadi, commissioned the FEA/KEDCO Solar Mini-Grid Project in Kafin Hausa, “a landmark development in the state’s commitment to sustainable energy and inclusive growth.”

Future Energies Africa (FEA), the core investor in KEDCO, in partnership with Bagaja Renewables Limited, developed a 500KWp solar mini-grid in Kafin Hausa. 

KEDCO said this is the first of a combined 10MW of mini-grids being built across key urban centres in Jigawa: in Dutse, Hadejia, Kazaure, Ringim and Gumel. 

The Kafin Hausa mini-grid is an investment of  ₦1.2 billion (around $780,000).

It includes: 

• a 500KWp solar-hybrid power plant
• a 3.5km 33kV distribution line
• step-up and step-down transformers 

It will supply power to 10 major distribution transformers across Kafin Hausa town and environs: NEPA Office, Kofar Fada, Akarami, Bakin Kasuwa, Ashura, Kwazalewa, Kafasa, Balangu, Maru and Yakasai.

“The Kafin Hausa mini-grid represents a significant step toward bridging the electricity supply gap and improving the quality of life for thousands of businesses and residents in the region,” said KEDCO.

Increasing energy access in Nigeria

Speaking at the commissioning ceremony, Namadi reaffirmed his administration’s commitment to infrastructure development, climate resilience and improved energy access.

“… [The] commissioning is not just the activation of a power grid; it is the ignition of opportunity, progress, and prosperity for the people of Kafin Hausa. We are proud to champion partnerships with FEA for clean energy to our rural communities and drive our mission to make Jigawa a model of inclusive and sustainable development.”

The Governor applauded the efforts of FEA, KEDCO, and their renewable energy arm, Bagaja Renewables, for their technical expertise and foresight, noting the importance of private sector collaboration in delivering development goals. He also commended the local community for their cooperation throughout the project’s implementation.

Other mini-grids to be deployed by the Jigawa State Government, FEA, KEDCO partnership aside from Kafin Hausa and Hadeija include Ringim, Kazaure, Dutse and Gumel.

Providing energy for Africa’s largest grain hub

In June, KEDCO also announced that it is set to commission the newly constructed 35km, 33kV overhead power line from Bichi Transmission Station to the Dawanau International Grain Market.

It also encompasses two sub-stations, 500KVA 33/.415 transformers and low-tension (LT) lines “to serve Africa’s largest grain hub to foster economic growth in the state and the country at large.”

In August, the Nigerian Independent System Operator (NISO) commended KEDCO for its recent performance, which was marked by a 100% market remittance, “strengthening the company position as the best performing DisCo in northern Nigeria.”

Cover photo:  The FEA/KEDCO Solar Mini Grid Project in Kafin Hausa was commissioned recently. Source: KEDCO/X