In its bid to achieve the United Nations’ Sustainable Development Goal 7, which targets access to affordable, reliable, sustainable and modern energy for all by 2030, Nigeria last week launched the Nigeria Integrated Energy Planning Tool in collaboration with Sustainable Energy for All (SEforALL), support from the Global Energy Alliance for People and Planet and funding from the Rockefeller Foundation. SULAIMON OLANREWAJU reports.
According to the World Bank, about 1.1 billion people did not have access to electricity in 2012. In the same year, about 2.9 billion people lacked access to non-solid fuels as a primary source for cooking.
Convinced that one major factor responsible for poverty around the world is lack of access to affordable modern energy, the United Nations, in 2015, listed access to affordable, reliable, sustainable and modern energy for all as one of the Sustainable Development Goals.
Known as SDG 7, the target is to improve life of everyone on earth irrespective of their station or status by removing everything that hinders their access to modern energy.
To achieve the SDG targets, the Federal Government has put a number of measures in place. One of these is the Nigeria Integrated Energy Planning Tool (IEP) launched on February 3, 2022. The tool, which is in tandem with the SDG 7 of ensuring access to affordable, reliable, sustainable and modern energy for all by 2030, identifies the least-cost mix of solutions to meet demand for a variety of energy services while also modeling a variety of scenarios to deliver these solutions.
The tool, launched by Vice President Yemi Osinbajo alongside global leaders in the energy sector, is the first wholly integrated energy planner for Nigeria. While traditional energy plans focus primarily on electrification, the Nigeria IEP includes electrification, clean cooking, and productive uses for the entire country.
Speaking at the launch of the Energy Planning Tool held virtually, Professor Osinbajo noted that sustainable energy access was crucial for the country’s development.
According to him, “Establishing clean, sustainable, and reliable energy access is intertwined with so many of Nigeria’s development goals. We have proven that transforming our energy system is a national priority through our Economic Sustainability Plan, and most recently, with our announcement at COP26 in Glasgow to achieve net zero emissions by 2060.”
The Vice President also noted that the tool would be essential for government to achieve its universal access and clean cooking targets, adding that all arms of government would promote and deploy it. Osinbajo called on the international community to support Nigeria’s transition efforts with more realistic climate finance support.
Speaking about the tool and the determination of the current administration to transform the energy sector in Nigeria, Professor Osinbajo added that President Muhammadu Buhari was totally committed to lifting 100 million people out of poverty and driving economic growth.
He also reiterated the determination of the government to manage long-term job losses that might result in the oil sector as a consequence of global de-carbonization. He therefore called on the international community to support Nigeria’s energy access and energy transition efforts through much-needed climate finance commitments.
According to the Vice President, the IEP tool promotes a holistic approach to achieving SDG7 and energy development while also supporting local manufacturing, expanding local solar technology value chains, and potentially creating 250,000 new jobs in Nigeria’s energy sector.
The United Nations Deputy Secretary-General, Amina J. Mohammed, who also spoke at the event, commended the federal government for its bold vision in closing its energy access gaps and for its ambitious Energy Transition Plan that outlines a pathway to net zero by 2060.
She said, “Without prioritising universal energy access, including clean cooking, we will not achieve our global net zero targets. Energy is also critical to achieving multiple Sustainable Development Goals, including improved healthcare, better jobs and livelihoods, and greater gender equality.”
Also in her remarks, the CEO and special representative to the UN Secretary-General (SRSG) for Sustainable Energy for All (SEforALL), Damilola Ogunbiyi, said: “Nigeria is leading the charge with their ambitious commitment to achieve net zero by 2060.”
The SEforALL helmswoman continued, “I believe access to accurate and transparent data is critical to decision-making. I hope this demonstrates to other countries an invaluable tool for achieving their own energy access goals.”
On his part, President of the Rockefeller Foundation, Dr. Rajiv J. Shah, said as the world strives to turn the commitments from COP26 into action, the Foundation was proud to partner with Nigeria and SEforALL to help communities connect and transition to quality renewable energy.
According to him, “The Nigeria Integrated Energy Planning Tool is transformative in its approach to integrated electrification. Not only will it advance our efforts to empower millions of people in Nigeria, it will also provide a model for clean electrification programs, showing the world how to change energy for good.”
Others who were present at the virtual event and made remarks include Mallam Abubakar Aliyu, honourable minister of power; Goddy Jedy Agba, honourable minister of state for power; Sharon Ikeazor, honourable minister of state for environment; Ahmad Salihijo, managing director, Rural Electrification Agency; and Riccardo Puliti, vice president for infrastructure, World Bank.
While experts put the cost for providing universal electrification through grid, mini-grid and solar home systems for Nigeria by 2030 at $25.8 billion, the IEP tool estimates that 19.3 million additional connections will be required across the country.
This is exclusive of the expected 11.3 million additional connections in places that already have access to electricity due to population growth. Data sourced from the IEP platform shows that a mini-grid represents the least-cost technology for the bulk of these connections (8.9 million connections), with grid (5.4 million) and solar home system (5.0 million) sharing a similar number of connections between them.
When productive use demand from agricultural activities (such as maize and rice milling) is also included in the analysis, it increases the number of mini-grid least cost communities by around 200,000.
On its impact and based on the technology that has gone into the tool, it will be vital for the private sector as it will help solution providers identify promising markets and provide useful market intelligence as they roll-out electrification and clean cooking. Another highpoint of the tool is its ability to identify risks associated with technology choice and strategies to promote productive-use demand to unlock economic viability of mini-grids.
Though getting clean energy is quite capital intensive as the total cost to deliver these connections is estimated to be about $22.9 billion, $20 billion of which must be invested as up-front capital, the fact that solar, the main technology deployed for the purpose does not consume any fuel, minimizes the operational cost.
It is estimated that around 53 per cent of households in mini-grid settlements and 92 per cent of households in solar home system settlements will require public support to afford the total cost of ownership of the electrification solution.
Another aspect of energy sustainability being pursued by Nigeria with the tool is the potential for clean cooking solutions which is 3.7 million for LPG, 3.5 million for e-cooking, and 4.3 million for biogas.
The Nigeria IEP estimates that under a business-as-usual scenario, the country would have over 40 million households cooking with emissions intensive and polluting cooking methods by 2030. To address this, there is an overall opportunity to expand clean cooking solutions to 3.7 million households with LPG cooking solutions; 3.5 million households with e-cooking solutions; or 4.3 million households with biogas cooking solutions.
The overall cost of implementing these solutions would be $478 million for LPG, $83 million for e-cooking, and $847 million for biogas. The cost of rolling out these technologies is split between stoves, accessories, and the infrastructure required to deliver fuel or electricity.
Nigerian Tribune