January 30, 2025 • 33 mins
In 2025, millions of rural Nigerians still lack reliable electricity, limiting growth and development opportunities. But clean energy solutions such as mini-grids are transforming the landscape. In this interview with Sheriff Aderibigbe, the Managing Director of Nigeria’s Rural Electrification Agency (REA), Mr Abba Abubakar Aliyu, shares how the Agency is combating energy poverty and unlocking the potential of rural communities across the country. Discover how innovation is lighting the way to a brighter future!
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Episode Transcript
Available transcripts are automatically generated. Complete accuracy is not guaranteed.
Speaker 1 (00:00):
Despite its wealth in natural resources, Nigeria struggles with unreliable
and insufficient power, limiting industrial growth, entrepreneurship, and job creation,
particularly in rural areas. As energy demand increases with the
rapidly grained population, there is an urgent need for innovative
and sustainable solutions. Renewable energy offers a viable pathway to
(00:23):
addressing Nigeria's energy deficits, providing a reliable, scalable, and eco
friendly alternative to traditional power sources. Beyond environmental benefits, clean
energy has the potential to stimulate economic growth, create jobs,
and connect underserved communities to the modern economy. How can
(00:45):
we leverage this opportunity to achieve universal energy access in
Nigeria by twenty thirty.
Speaker 2 (00:53):
Hi, I'm Francis Jacko, your host of today's episode of
any Jectivity. Today we'll be discussing the role of renewables
and economic developments. Of course, we all understand the prospect
or challenges that jury is currently grappling with. Okay, not
many people have accessed for about seventy one percent of
ourse who do not have access to power, and the
conversation does not cascades all the way to the opportunities
(01:17):
in the renewable industry. Good enough, in a few days
we are going to be marking this year's International Clean
and DGD. So there's no better time than now to
have this conversation. And you know, these still ideas that
can support degree system that we already have now with
us in this radio to do justice to the subject
is mister Washima made is the CEO of Product Power.
(01:41):
He has vast experience in minigrees and of with power
solutions and if we're doing justice to the subjects, welcome sir, thank.
Speaker 3 (01:48):
You very much.
Speaker 2 (01:49):
All right, So we're just going to kick off with
what are renewables and this so significant in the prospect
of urduction for the benefit of our viewers who might
not know.
Speaker 4 (01:57):
So, renewables are any resource that can be replenished, a
resources that exists in nature. So whether it's a solar
so apart from the sun, hydro so that's water ways
and water, geothermal energy so from the depths of the
(02:20):
at core and the wind energy as well exists in nature.
And so basically you know, those are the sources of renewables. Now,
the interesting part is how we as engineers and entrepreneurs
can tap those resources to provide power solutions to people. So,
(02:44):
as I mentioned, these resources are abundant, they exist in nature,
they were created by you know, nature God, and you know,
we need to see how to tap them efficiently provide
solutions to ourselves and future generations. So unlike traditional energy
(03:08):
sources like petroleum, they would never you know, finish they are.
They have abundant their presence, and you know, we need
to think about ways to design systems that can harness them,
you know, for our benefits and the benefit the benefit
of future generations.
Speaker 3 (03:26):
Thank you very much.
Speaker 2 (03:28):
Now, the question is universal access to power for all
these just twenty just a few years a week and
a company like yours you are trying to sell the
renewable man trust so to speak. So what chiges have
you encountered in the process and how do you see
Nigerians keen into this since twenty firsts after all, and
angels I used to post a few based power.
Speaker 4 (03:52):
So one interesting thing is Nigerians have become very open
to other sources of power, and I think that's the
correct mindset, you know, in trying to solve our electrification challenges.
Speaker 3 (04:04):
We need to be open.
Speaker 4 (04:05):
So if there's a resource that's abundant in the north,
we can't tap it in the north and provide solutions
to people in the north. If it's abondant in the south,
then we need to see how to Harnsto's resources in
the south provide power to the people in the south.
So what we've seen over the course of the last
five years is there's been an evolution in you know,
(04:27):
in policy where our lawmakers have created policies that will
favor the introduction of new energy sources to the energy mix.
And so you see how microgrids have thrived in the
last five years where you know, through the leadership in
the area, developers such as product Paer have deployed you know,
(04:49):
over one hundred miny grids across the country and more
still coming on stream. Another thing we've seen as well
in the last five years is the distribution companies are
open to partnering with distributed renewable energy companies such as
Product Path to provide solutions that will add to their
own energy mix.
Speaker 3 (05:09):
So I can provide a power plant and.
Speaker 4 (05:11):
Embed it within the distribution network of a distribution company
and under the NECK you know, under the NECK rules
and guidelines they've been able to clearly elaborate on how
that can be done and how we can design tarifts
to customers. What this does now is that it's ensures
(05:33):
that customers get energy reliably. Customers get you know, their
dedicated meters where they can see how much energy they consume.
Speaker 3 (05:44):
So there's a very.
Speaker 4 (05:45):
Very clear transparency in you know, electricity sector. And for us,
what it does, it's placed a lot of responsibility on
our side to see how to deliver these solutions in
a cost effective way, right, you know, by ensuring that
we bring in all the stakeholders in the conversation and
(06:08):
you know, we show them how you know, they can
do different things, how they can be conservative with the
energy consumption, how they can practice things like energy efficiency,
and you know, how they can see our monitor what
they spend. So it has so, I mean, the conversations
we're having in Nigeria currently it's quite advanced where you
(06:28):
compare with other African countries.
Speaker 3 (06:30):
So I'd say we are We're having.
Speaker 4 (06:33):
Reasonable conversations that you would see in you know a
lot of the developed countries.
Speaker 3 (06:37):
So I think we're in a good place.
Speaker 4 (06:38):
We're in a good trajectory and in the next couple
of years, I think we'll be very advanced. We'll have
a very advanced energy mix, would be very advanced in
terms of the number of met out connections we have,
and you know, the customers will start to understand how
to use energy efficiently, consume energy properly, and then also
(07:02):
you know, plan for energy spending. So I imagine that well,
I would say it's sort of like a prediction from
my side, I see cost I see us moving away
from you know, subsidies in the energy sector, where we
can now charge cost reflective tiers to the customers, and
because they can see what they consume, they will be
(07:23):
open to you know, paying for their energy.
Speaker 2 (07:25):
I see, thank you, very very desrightful that it throws
up two questions. First, most consumers are scared with the
upfront costs associated with alternative power such as solar.
Speaker 3 (07:37):
How do you do that? Then?
Speaker 2 (07:37):
Secondly, our traditional infrastructure for greed electricity, there's a lot
of talk that ista development. So can they take embedded power,
especially from niables like yours?
Speaker 3 (07:50):
Yeah, great question.
Speaker 4 (07:51):
So in terms of our bron cost, one of the
things we started to do in the sector is to
engage you know, financial partners so that's where the banks
come in to, you know, to sort of finance.
Speaker 3 (08:06):
Solar home systems, you.
Speaker 4 (08:07):
Know, minigrades upfront where the customer will pay payments over time,
so that way customers will not have to procure the
system up front and their payments can sort of mirror
how much they end and make it sustainable. So we're
having those conversations now were financiers, the traditional banks, some
(08:28):
of the FinTechs in the in the in the country
and as well, you know people who you know are
interested in delivering these solutions to customers. And yeah, so
so looking at that, we we know that the sector
is beginning to open up. People are becoming aware of
how distribute distributoryneable energy systems can provide lasting solutions, eliminate,
(08:55):
can eliminate things like you know, handful emissions that you
would get from diesel generators and can provide customers with
a solution that would save them, whether as an industrial customer,
residential customer, a commercial customer, solutions that would work for them.
With regards to embedding generation within the distribution network, you
(09:19):
know system, one of the things that we as developers
is to evaluate the network, look at this is where
the network requires trendy. So we do that in collaboration
with the distribution companies, and then we build out the
costs and make the investments, you know, so all of
that is factored into the tariff calculations that the customer
(09:41):
will pay over time.
Speaker 3 (09:42):
So, like I mentioned, a very clear, transparent process.
Speaker 4 (09:46):
Everybody knows what they what, you know, what they need
to do, and yeah, so it works out perfectly.
Speaker 2 (09:53):
Okay, But the challenge I see is that for underserved areas, soily,
for those who don't have formal employment, for instance, how
do you deal with that? Because obviously lines of credit
only open to people who have thriving businesses so to speak,
and can pay back. So how do you deal with that?
Speaker 4 (10:09):
Yes, so I think that's where we need to develop
a more robust credit appraise our system, where people who
are interested in starting businesses or doing businesses.
Speaker 3 (10:23):
Can have access to credit. And I think the.
Speaker 4 (10:27):
Consumer Credit Organization started to look at something like that
right where they are able to, you know, look at
customers who are interested in a business or interested in
you know, doing something within those areas, are praising them
ensuring that they understand what it means to pay back
when you get you know, financing for something, and then
(10:50):
also looking at properly appraising like their business plans and
business models. It has to be done collaboratively with the customer.
You need to engage the cost them are properly. You
need to even in some cases provide you know, training
solutions for the customer and just end sure that they
understand what they what they want to go into. Yeah,
(11:12):
the default rates would significantly reduce if you have that
level of engagement. And what we're doing as well is
to engage you know, with companies that are willing to
provide those solutions with specific terms. So if the customer
defaults for some time, or the customer is not a
serious business you know person and it's not willing to be,
(11:33):
then whatever system or services provided can be can be withdrawn,
you know. And these things should be you know, pure
business engagement.
Speaker 3 (11:47):
Sure right.
Speaker 4 (11:48):
Customers need to also understand that they need to you know,
rule up their sleeves. They need to focus on the
business and deliver value to their own customers. And that's
the pathway the pain off you know the cost of
a system or service and that's provided to you.
Speaker 3 (12:06):
So those are the levels of engagements that need to happen. Okay,
thank you very much. Can we be more granular?
Speaker 2 (12:12):
Let's see because I'm interested that know, so many people are,
our viewers are. Let's say I want to you know,
use renewable from product power. Do go about do you
have money for it? Let's say I don't have money
and I want to access this line of credit. Is
its ABC or have to go through hoops getting it?
Speaker 4 (12:29):
It's very simple, okay, you know, so reach out to
our team. So we have a marketing team. First of all,
they engage with you, they pass you on to you know,
internal credit team and they would carry out and a preaser.
So come to your business premises, you know, look at
you know what you have in place. They will carry
(12:50):
out an energy or edit on you know how much
you consume. So basically what that entails is, you know,
connecting a data logout to your primary load load load
path and then just evaluating what your consumption is over time.
After that is done, the system will be designed for
(13:11):
you to serve your needs, the energy needs. And when
that is done, you know, we speak to our financiers.
They finance the system. So once we're all happy with
your you know, your credit credit score. They finance the
system and then we delivered the system to you and
then yeah, set up the repayment process with you such
(13:34):
that the payments are done you know, automatically over time.
Speaker 3 (13:37):
Okay.
Speaker 2 (13:38):
So the repayment will do is relative, it's not fixed,
it's depending on the credit history.
Speaker 4 (13:42):
And it's flexible, can be up to five years. We
pay back gradually over time.
Speaker 2 (13:47):
Okay.
Speaker 4 (13:47):
So that way we make it very easy and you know,
for you to pay, we make it very flexible. For
businesses and individual has to pay back. You know, the
cost of the system.
Speaker 3 (14:00):
Is a good one.
Speaker 2 (14:00):
So we obviously they are the options to key into
this process and it's an opportunity to explode most definitely.
Speaker 3 (14:08):
Okay.
Speaker 2 (14:09):
Now I want to look at the incentives for you
because you are what the renewable companies are doing this revolutionary.
So we know there's carbon credit for instance, you know,
another finance incentives, But what are the incentives would help
renewable and well drive investment we ramp up investment in
renewables that actualities, what what can the government do to encourage.
Speaker 4 (14:30):
Yes, so that's a very very important question, right, So
we're looking across the value team to see where we want,
you know, solutions that will support you know, what we're doing.
One of the areas that I see is import tariffs
and renewable energy products.
Speaker 3 (14:49):
I feel like, because of the state.
Speaker 4 (14:51):
We are in in the country where you know, there's
a huge electricity deficits and we see renewables as very
important solution, we need to have tires wipe off those products. Unfortunately,
our internal production of those products hasn't gotten to the
point where we can sustainably deploy systems that we manufacture
(15:15):
in Nigeria. So in the short term, it wo be
to kind of wipe off those tariffs to allow us
meet you know, meet you know, our clin energy targets
in the country and then also to facilitate the business
of developers like myself. What I say that doing is
(15:35):
that it would ensure that you deploy this critical infrastructure
and what the infrastructure would do because of course we
understand that electricity catalyzes you know, economic activity, right, so
what you would do is to leave the country's GDP
and then obviously taxes can come from there. But then
(15:57):
we need to allow this happening for for the infrastructure
to be built So I read a report recently where
there was a delayed report where they mentioned that a
dollar investment in infrastructure creates twenty cents GDP groups, So
it's like percent every year, you know. So it's important
(16:21):
that we deployed this infrastructure to ensure that our GDP
can grow significantly, and as a part way to sustainability
that the party too. So social sustainability where people can
have access to electricity, which I feel is a basic
in I right. And then also the country can achieve
financial sustainability where there is production, there's industrialization, and then
(16:46):
as well for us there's business.
Speaker 3 (16:49):
True. Okay, thank you.
Speaker 2 (16:52):
Now, in a few days time, I'm going to be
having international idea of clean energy now universal energy access
by twenty thirty. Is it too ambitious to say? Because
it's a value chain issue to just consensulization to the
policy level, institutionalizing this and maybe making lines of FREDIITA
(17:13):
affordable and accessible. So is it ambitious to say in
four years time or in five years time we kind
of have achieved universal energy access.
Speaker 4 (17:22):
So it's a very difficult task because you know, currently
even people who have access to electricity in the country
do not get it on a you know, on a
regular like it's not consistent, you know. So to achieve this,
(17:43):
I mean we kind of need our hands on deck.
It's achievable, nothing is impossible of us, you know, but
we need all hands on deck. We need lawmakers to
enact the right laws. We need developers to you know,
roll up their sleeves and deploy projects that are sustainable,
that are.
Speaker 3 (18:06):
Are able to serve people.
Speaker 4 (18:07):
Will need even the distribution companies to so we need
all of the stakeholders to come together. We have the target,
So how do we work towards achieving the target. One
of the things that we're doing in part of our
is to is to try to solve the skills gap.
So we've just recently partnered with the Royal Education Agency
(18:29):
and APTAINS, so that's the training institute to develop skills
training for graduates from the universities across the country.
Speaker 3 (18:41):
So what that does is it develops.
Speaker 4 (18:42):
Capacity that will go into the sector and ensure that
whatever is being deployed, so whether it's minigrids, you know,
we have properly trained people to man the systems, to
ensure that the systems are well maintained. People who would
grow to become leaders in the sector. Sometimes it's not
(19:04):
good to focus on only the infrastructure to think about, yes,
devel of human habitat actually you know, grow and support
the path sector. Right, So that's that's some of some
of the things to see so personally for me in
terms of that missions, one that we hold very very
important to the company because once somebody emerge from that,
(19:29):
you know, that training and you know, eventually become.
Speaker 3 (19:33):
The mini staff.
Speaker 4 (19:35):
So once I way to go through that and emerge
as one of the key you know leaders in the
past sector.
Speaker 2 (19:41):
So it is accessible to all the yearly thing we
will just laborate money. So so yes, it's yearly.
Speaker 4 (19:49):
We have a requirement for interested you know students, right,
there's an application that they'll be able to fill out
and would review it and that will take the best
candidates to go through that training.
Speaker 3 (20:05):
Okay, So it's very important.
Speaker 4 (20:07):
And another thing that we hold very day is the
fact that we want there to be adequate inclusion in
the in the past sector. Right, So we see power
as an enabler business enabler. We want you know, we
want to see that the female leaders in the past
sector who would also you know, emerge from whatever product
(20:31):
service we provide, if it's the capacity building, if it's
like nigred development maintenance, and we want them to be
able to empower you know that we meen and just
people see them as room models and people they want
to aspire to. So those are some of the kind
of things that we're doing that we feel like it's
very very important for the sector and.
Speaker 3 (20:52):
For renewables as a whole.
Speaker 4 (20:53):
You know, we we understand that the world tin energty
is fast approaching, sorry, and so we want to you know,
ensure that renewables wouldn't just represent, wouldn't just represent like
itself where you know, it can transform so many things.
(21:15):
It can transform, you know, the way businesses operate where
they want to be, you know, cleaner, more sustainable. They
can transform you know, how individuals see themselves. So so
that's the kind of mindset that we are, you know,
you know, using to approach this this.
Speaker 2 (21:33):
Challenge wide ranging approach exactly. But why do we say renewables?
I thought about this question level I missed it. Why
is there so much focus on solar when there's wind,
for instance, so your own offerings, we do you see
the cot across wind, hydro or is it just solar
like everybody else.
Speaker 4 (21:53):
So the reason solar is more prominent is that it
is very modular. So solar system we can build a
one mega up plant and in the next five years
it can.
Speaker 3 (22:01):
Ramp up to ten.
Speaker 4 (22:03):
Other systems there's some there's some challenges compatibility, yeah, there's
some other things that you need to take into consideration.
So we do solar, we do you know, small hydro,
and we've we've also done some wind. But one thing
I can say for for sure is that wind energy
(22:23):
isn't very sufficient in the country. So wind hasn't quite
taken off. And then for wind as well, you need
very massive wind turbines. Sometimes the tobin could be Yeah,
they are really really massive, you know systems, and so
even the logistics of getting them down in the country
(22:45):
maintaining them, you know. So I feel it's best for
us to focus on, you know, something that is modular,
some that's easy to maintain, some that's cost effective. So
sol that's one of the cheapest source of power now.
So yeah, so that's that's pretty much why we are
focused there.
Speaker 3 (23:04):
Okay, thank you very much.
Speaker 2 (23:05):
So world they clean energy, what's your what are your
what are your last words for for consumers out there,
I can you encourage there? Because this all perfect or
electricity supply challenges they're way heavily on the amounts of
consumers and even even government. So how can we be
encouraged that the hope at least in the optwenty thirty.
Speaker 3 (23:24):
Yeah, so, yeah, so there's a lot of hope.
Speaker 4 (23:27):
Consumers shouldn't be scared about upfront costs their financing options,
and it's not as expensive as you think. You know,
there's a system for everybody. There's a system category for everybody.
And you know, one thing that I think as well
we should focus on is sometimes when you practice energy efficiency,
(23:48):
you would realize that you don't need a very big
and expensive system. Sometimes you know, you need something small,
modular that you can use and then what you spend
monthly would probably be less than what to spend full
in your generators. Yes, so reach out to us. We're open,
we are happy to educate to you. We're happy to
(24:09):
support your journey into transition to clean, clean our sources
of energy, and yeah, we'll provide a solution that works
perfectly for you.
Speaker 2 (24:18):
Awesome, Thank you very much for a single dous We've
had a very insightful discussion on the role of renewables
in economic development. Discussion with mister Washima Medey is the
shield of proud of power. As we've all learned, renewables
of our alternatives and apprentive source of power that can
compliment degree systems. They already have to. We just have
(24:40):
to shift our mindset and key into this to ensure
that path apply not just affordable but also reliable. Don't
forget to subscribe, like and share, assass
Despite its wealth in natural resources, Nigeria struggles with unreliable
and insufficient power, limiting industrial growth, entrepreneurship, and job creation,
particularly in rural areas. As energy demand increases with the
rapidly grained population, there is an urgent need for innovative
and sustainable solutions. Renewable energy offers a viable pathway to
(00:23):
addressing Nigeria's energy deficits, providing a reliable, scalable, and eco
friendly alternative to traditional power sources. Beyond environmental benefits, clean
energy has the potential to stimulate economic growth, create jobs,
and connect underserved communities to the modern economy. How can
(00:45):
we leverage this opportunity to achieve universal energy access in
Nigeria by twenty thirty.
Speaker 2 (00:53):
Hi, I'm Francis Jacko, your host of today's episode of
any Jectivity. Today we'll be discussing the role of renewables
and economic developments. Of course, we all understand the prospect
or challenges that jury is currently grappling with. Okay, not
many people have accessed for about seventy one percent of
ourse who do not have access to power, and the
conversation does not cascades all the way to the opportunities
(01:17):
in the renewable industry. Good enough, in a few days
we are going to be marking this year's International Clean
and DGD. So there's no better time than now to
have this conversation. And you know, these still ideas that
can support degree system that we already have now with
us in this radio to do justice to the subject
is mister Washima made is the CEO of Product Power.
(01:41):
He has vast experience in minigrees and of with power
solutions and if we're doing justice to the subjects, welcome sir, thank.
Speaker 3 (01:48):
You very much.
Speaker 2 (01:49):
All right, So we're just going to kick off with
what are renewables and this so significant in the prospect
of urduction for the benefit of our viewers who might
not know.
Speaker 4 (01:57):
So, renewables are any resource that can be replenished, a
resources that exists in nature. So whether it's a solar
so apart from the sun, hydro so that's water ways
and water, geothermal energy so from the depths of the
(02:20):
at core and the wind energy as well exists in nature.
And so basically you know, those are the sources of renewables. Now,
the interesting part is how we as engineers and entrepreneurs
can tap those resources to provide power solutions to people. So,
(02:44):
as I mentioned, these resources are abundant, they exist in nature,
they were created by you know, nature God, and you know,
we need to see how to tap them efficiently provide
solutions to ourselves and future generations. So unlike traditional energy
(03:08):
sources like petroleum, they would never you know, finish they are.
They have abundant their presence, and you know, we need
to think about ways to design systems that can harness them,
you know, for our benefits and the benefit the benefit
of future generations.
Speaker 3 (03:26):
Thank you very much.
Speaker 2 (03:28):
Now, the question is universal access to power for all
these just twenty just a few years a week and
a company like yours you are trying to sell the
renewable man trust so to speak. So what chiges have
you encountered in the process and how do you see
Nigerians keen into this since twenty firsts after all, and
angels I used to post a few based power.
Speaker 4 (03:52):
So one interesting thing is Nigerians have become very open
to other sources of power, and I think that's the
correct mindset, you know, in trying to solve our electrification challenges.
Speaker 3 (04:04):
We need to be open.
Speaker 4 (04:05):
So if there's a resource that's abundant in the north,
we can't tap it in the north and provide solutions
to people in the north. If it's abondant in the south,
then we need to see how to Harnsto's resources in
the south provide power to the people in the south.
So what we've seen over the course of the last
five years is there's been an evolution in you know,
(04:27):
in policy where our lawmakers have created policies that will
favor the introduction of new energy sources to the energy mix.
And so you see how microgrids have thrived in the
last five years where you know, through the leadership in
the area, developers such as product Paer have deployed you know,
(04:49):
over one hundred miny grids across the country and more
still coming on stream. Another thing we've seen as well
in the last five years is the distribution companies are
open to partnering with distributed renewable energy companies such as
Product Path to provide solutions that will add to their
own energy mix.
Speaker 3 (05:09):
So I can provide a power plant and.
Speaker 4 (05:11):
Embed it within the distribution network of a distribution company
and under the NECK you know, under the NECK rules
and guidelines they've been able to clearly elaborate on how
that can be done and how we can design tarifts
to customers. What this does now is that it's ensures
(05:33):
that customers get energy reliably. Customers get you know, their
dedicated meters where they can see how much energy they consume.
Speaker 3 (05:44):
So there's a very.
Speaker 4 (05:45):
Very clear transparency in you know, electricity sector. And for us,
what it does, it's placed a lot of responsibility on
our side to see how to deliver these solutions in
a cost effective way, right, you know, by ensuring that
we bring in all the stakeholders in the conversation and
(06:08):
you know, we show them how you know, they can
do different things, how they can be conservative with the
energy consumption, how they can practice things like energy efficiency,
and you know, how they can see our monitor what
they spend. So it has so, I mean, the conversations
we're having in Nigeria currently it's quite advanced where you
(06:28):
compare with other African countries.
Speaker 3 (06:30):
So I'd say we are We're having.
Speaker 4 (06:33):
Reasonable conversations that you would see in you know a
lot of the developed countries.
Speaker 3 (06:37):
So I think we're in a good place.
Speaker 4 (06:38):
We're in a good trajectory and in the next couple
of years, I think we'll be very advanced. We'll have
a very advanced energy mix, would be very advanced in
terms of the number of met out connections we have,
and you know, the customers will start to understand how
to use energy efficiently, consume energy properly, and then also
(07:02):
you know, plan for energy spending. So I imagine that well,
I would say it's sort of like a prediction from
my side, I see cost I see us moving away
from you know, subsidies in the energy sector, where we
can now charge cost reflective tiers to the customers, and
because they can see what they consume, they will be
(07:23):
open to you know, paying for their energy.
Speaker 2 (07:25):
I see, thank you, very very desrightful that it throws
up two questions. First, most consumers are scared with the
upfront costs associated with alternative power such as solar.
Speaker 3 (07:37):
How do you do that? Then?
Speaker 2 (07:37):
Secondly, our traditional infrastructure for greed electricity, there's a lot
of talk that ista development. So can they take embedded power,
especially from niables like yours?
Speaker 3 (07:50):
Yeah, great question.
Speaker 4 (07:51):
So in terms of our bron cost, one of the
things we started to do in the sector is to
engage you know, financial partners so that's where the banks
come in to, you know, to sort of finance.
Speaker 3 (08:06):
Solar home systems, you.
Speaker 4 (08:07):
Know, minigrades upfront where the customer will pay payments over time,
so that way customers will not have to procure the
system up front and their payments can sort of mirror
how much they end and make it sustainable. So we're
having those conversations now were financiers, the traditional banks, some
(08:28):
of the FinTechs in the in the in the country
and as well, you know people who you know are
interested in delivering these solutions to customers. And yeah, so
so looking at that, we we know that the sector
is beginning to open up. People are becoming aware of
how distribute distributoryneable energy systems can provide lasting solutions, eliminate,
(08:55):
can eliminate things like you know, handful emissions that you
would get from diesel generators and can provide customers with
a solution that would save them, whether as an industrial customer,
residential customer, a commercial customer, solutions that would work for them.
With regards to embedding generation within the distribution network, you
(09:19):
know system, one of the things that we as developers
is to evaluate the network, look at this is where
the network requires trendy. So we do that in collaboration
with the distribution companies, and then we build out the
costs and make the investments, you know, so all of
that is factored into the tariff calculations that the customer
(09:41):
will pay over time.
Speaker 3 (09:42):
So, like I mentioned, a very clear, transparent process.
Speaker 4 (09:46):
Everybody knows what they what, you know, what they need
to do, and yeah, so it works out perfectly.
Speaker 2 (09:53):
Okay, But the challenge I see is that for underserved areas, soily,
for those who don't have formal employment, for instance, how
do you deal with that? Because obviously lines of credit
only open to people who have thriving businesses so to speak,
and can pay back. So how do you deal with that?
Speaker 4 (10:09):
Yes, so I think that's where we need to develop
a more robust credit appraise our system, where people who
are interested in starting businesses or doing businesses.
Speaker 3 (10:23):
Can have access to credit. And I think the.
Speaker 4 (10:27):
Consumer Credit Organization started to look at something like that
right where they are able to, you know, look at
customers who are interested in a business or interested in
you know, doing something within those areas, are praising them
ensuring that they understand what it means to pay back
when you get you know, financing for something, and then
(10:50):
also looking at properly appraising like their business plans and
business models. It has to be done collaboratively with the customer.
You need to engage the cost them are properly. You
need to even in some cases provide you know, training
solutions for the customer and just end sure that they
understand what they what they want to go into. Yeah,
(11:12):
the default rates would significantly reduce if you have that
level of engagement. And what we're doing as well is
to engage you know, with companies that are willing to
provide those solutions with specific terms. So if the customer
defaults for some time, or the customer is not a
serious business you know person and it's not willing to be,
(11:33):
then whatever system or services provided can be can be withdrawn,
you know. And these things should be you know, pure
business engagement.
Speaker 3 (11:47):
Sure right.
Speaker 4 (11:48):
Customers need to also understand that they need to you know,
rule up their sleeves. They need to focus on the
business and deliver value to their own customers. And that's
the pathway the pain off you know the cost of
a system or service and that's provided to you.
Speaker 3 (12:06):
So those are the levels of engagements that need to happen. Okay,
thank you very much. Can we be more granular?
Speaker 2 (12:12):
Let's see because I'm interested that know, so many people are,
our viewers are. Let's say I want to you know,
use renewable from product power. Do go about do you
have money for it? Let's say I don't have money
and I want to access this line of credit. Is
its ABC or have to go through hoops getting it?
Speaker 4 (12:29):
It's very simple, okay, you know, so reach out to
our team. So we have a marketing team. First of all,
they engage with you, they pass you on to you know,
internal credit team and they would carry out and a preaser.
So come to your business premises, you know, look at
you know what you have in place. They will carry
(12:50):
out an energy or edit on you know how much
you consume. So basically what that entails is, you know,
connecting a data logout to your primary load load load
path and then just evaluating what your consumption is over time.
After that is done, the system will be designed for
(13:11):
you to serve your needs, the energy needs. And when
that is done, you know, we speak to our financiers.
They finance the system. So once we're all happy with
your you know, your credit credit score. They finance the
system and then we delivered the system to you and
then yeah, set up the repayment process with you such
(13:34):
that the payments are done you know, automatically over time.
Speaker 3 (13:37):
Okay.
Speaker 2 (13:38):
So the repayment will do is relative, it's not fixed,
it's depending on the credit history.
Speaker 4 (13:42):
And it's flexible, can be up to five years. We
pay back gradually over time.
Speaker 2 (13:47):
Okay.
Speaker 4 (13:47):
So that way we make it very easy and you know,
for you to pay, we make it very flexible. For
businesses and individual has to pay back. You know, the
cost of the system.
Speaker 3 (14:00):
Is a good one.
Speaker 2 (14:00):
So we obviously they are the options to key into
this process and it's an opportunity to explode most definitely.
Speaker 3 (14:08):
Okay.
Speaker 2 (14:09):
Now I want to look at the incentives for you
because you are what the renewable companies are doing this revolutionary.
So we know there's carbon credit for instance, you know,
another finance incentives, But what are the incentives would help
renewable and well drive investment we ramp up investment in
renewables that actualities, what what can the government do to encourage.
Speaker 4 (14:30):
Yes, so that's a very very important question, right, So
we're looking across the value team to see where we want,
you know, solutions that will support you know, what we're doing.
One of the areas that I see is import tariffs
and renewable energy products.
Speaker 3 (14:49):
I feel like, because of the state.
Speaker 4 (14:51):
We are in in the country where you know, there's
a huge electricity deficits and we see renewables as very
important solution, we need to have tires wipe off those products. Unfortunately,
our internal production of those products hasn't gotten to the
point where we can sustainably deploy systems that we manufacture
(15:15):
in Nigeria. So in the short term, it wo be
to kind of wipe off those tariffs to allow us
meet you know, meet you know, our clin energy targets
in the country and then also to facilitate the business
of developers like myself. What I say that doing is
(15:35):
that it would ensure that you deploy this critical infrastructure
and what the infrastructure would do because of course we
understand that electricity catalyzes you know, economic activity, right, so
what you would do is to leave the country's GDP
and then obviously taxes can come from there. But then
(15:57):
we need to allow this happening for for the infrastructure
to be built So I read a report recently where
there was a delayed report where they mentioned that a
dollar investment in infrastructure creates twenty cents GDP groups, So
it's like percent every year, you know. So it's important
(16:21):
that we deployed this infrastructure to ensure that our GDP
can grow significantly, and as a part way to sustainability
that the party too. So social sustainability where people can
have access to electricity, which I feel is a basic
in I right. And then also the country can achieve
financial sustainability where there is production, there's industrialization, and then
(16:46):
as well for us there's business.
Speaker 3 (16:49):
True. Okay, thank you.
Speaker 2 (16:52):
Now, in a few days time, I'm going to be
having international idea of clean energy now universal energy access
by twenty thirty. Is it too ambitious to say? Because
it's a value chain issue to just consensulization to the
policy level, institutionalizing this and maybe making lines of FREDIITA
(17:13):
affordable and accessible. So is it ambitious to say in
four years time or in five years time we kind
of have achieved universal energy access.
Speaker 4 (17:22):
So it's a very difficult task because you know, currently
even people who have access to electricity in the country
do not get it on a you know, on a
regular like it's not consistent, you know. So to achieve this,
(17:43):
I mean we kind of need our hands on deck.
It's achievable, nothing is impossible of us, you know, but
we need all hands on deck. We need lawmakers to
enact the right laws. We need developers to you know,
roll up their sleeves and deploy projects that are sustainable,
that are.
Speaker 3 (18:06):
Are able to serve people.
Speaker 4 (18:07):
Will need even the distribution companies to so we need
all of the stakeholders to come together. We have the target,
So how do we work towards achieving the target. One
of the things that we're doing in part of our
is to is to try to solve the skills gap.
So we've just recently partnered with the Royal Education Agency
(18:29):
and APTAINS, so that's the training institute to develop skills
training for graduates from the universities across the country.
Speaker 3 (18:41):
So what that does is it develops.
Speaker 4 (18:42):
Capacity that will go into the sector and ensure that
whatever is being deployed, so whether it's minigrids, you know,
we have properly trained people to man the systems, to
ensure that the systems are well maintained. People who would
grow to become leaders in the sector. Sometimes it's not
(19:04):
good to focus on only the infrastructure to think about, yes,
devel of human habitat actually you know, grow and support
the path sector. Right, So that's that's some of some
of the things to see so personally for me in
terms of that missions, one that we hold very very
important to the company because once somebody emerge from that,
(19:29):
you know, that training and you know, eventually become.
Speaker 3 (19:33):
The mini staff.
Speaker 4 (19:35):
So once I way to go through that and emerge
as one of the key you know leaders in the
past sector.
Speaker 2 (19:41):
So it is accessible to all the yearly thing we
will just laborate money. So so yes, it's yearly.
Speaker 4 (19:49):
We have a requirement for interested you know students, right,
there's an application that they'll be able to fill out
and would review it and that will take the best
candidates to go through that training.
Speaker 3 (20:05):
Okay, So it's very important.
Speaker 4 (20:07):
And another thing that we hold very day is the
fact that we want there to be adequate inclusion in
the in the past sector. Right, So we see power
as an enabler business enabler. We want you know, we
want to see that the female leaders in the past
sector who would also you know, emerge from whatever product
(20:31):
service we provide, if it's the capacity building, if it's
like nigred development maintenance, and we want them to be
able to empower you know that we meen and just
people see them as room models and people they want
to aspire to. So those are some of the kind
of things that we're doing that we feel like it's
very very important for the sector and.
Speaker 3 (20:52):
For renewables as a whole.
Speaker 4 (20:53):
You know, we we understand that the world tin energty
is fast approaching, sorry, and so we want to you know,
ensure that renewables wouldn't just represent, wouldn't just represent like
itself where you know, it can transform so many things.
(21:15):
It can transform, you know, the way businesses operate where
they want to be, you know, cleaner, more sustainable. They
can transform you know, how individuals see themselves. So so
that's the kind of mindset that we are, you know,
you know, using to approach this this.
Speaker 2 (21:33):
Challenge wide ranging approach exactly. But why do we say renewables?
I thought about this question level I missed it. Why
is there so much focus on solar when there's wind,
for instance, so your own offerings, we do you see
the cot across wind, hydro or is it just solar
like everybody else.
Speaker 4 (21:53):
So the reason solar is more prominent is that it
is very modular. So solar system we can build a
one mega up plant and in the next five years
it can.
Speaker 3 (22:01):
Ramp up to ten.
Speaker 4 (22:03):
Other systems there's some there's some challenges compatibility, yeah, there's
some other things that you need to take into consideration.
So we do solar, we do you know, small hydro,
and we've we've also done some wind. But one thing
I can say for for sure is that wind energy
(22:23):
isn't very sufficient in the country. So wind hasn't quite
taken off. And then for wind as well, you need
very massive wind turbines. Sometimes the tobin could be Yeah,
they are really really massive, you know systems, and so
even the logistics of getting them down in the country
(22:45):
maintaining them, you know. So I feel it's best for
us to focus on, you know, something that is modular,
some that's easy to maintain, some that's cost effective. So
sol that's one of the cheapest source of power now.
So yeah, so that's that's pretty much why we are
focused there.
Speaker 3 (23:04):
Okay, thank you very much.
Speaker 2 (23:05):
So world they clean energy, what's your what are your
what are your last words for for consumers out there,
I can you encourage there? Because this all perfect or
electricity supply challenges they're way heavily on the amounts of
consumers and even even government. So how can we be
encouraged that the hope at least in the optwenty thirty.
Speaker 3 (23:24):
Yeah, so, yeah, so there's a lot of hope.
Speaker 4 (23:27):
Consumers shouldn't be scared about upfront costs their financing options,
and it's not as expensive as you think. You know,
there's a system for everybody. There's a system category for everybody.
And you know, one thing that I think as well
we should focus on is sometimes when you practice energy efficiency,
(23:48):
you would realize that you don't need a very big
and expensive system. Sometimes you know, you need something small,
modular that you can use and then what you spend
monthly would probably be less than what to spend full
in your generators. Yes, so reach out to us. We're open,
we are happy to educate to you. We're happy to
(24:09):
support your journey into transition to clean, clean our sources
of energy, and yeah, we'll provide a solution that works
perfectly for you.
Speaker 2 (24:18):
Awesome, Thank you very much for a single dous We've
had a very insightful discussion on the role of renewables
in economic development. Discussion with mister Washima Medey is the
shield of proud of power. As we've all learned, renewables
of our alternatives and apprentive source of power that can
compliment degree systems. They already have to. We just have
(24:40):
to shift our mindset and key into this to ensure
that path apply not just affordable but also reliable. Don't
forget to subscribe, like and share, assass
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