The epileptic or inconsistent power supply in Nigeria has made the cost of business operation in very expensive.
This situation has opened up opportunities in renewable energy solutions. Indeed, this can be an alternative source of energy for homes and businesses alike.
Unfortunately, the cost of achieving this beautifully crafted ideas in a clime like Nigeria, could be extra-ordinarily high.
In view of the aforementioned, the Renewable Energy Association of Nigeria (REAN) signed a $100 million cost-effective solar equipment procurement agreement with Odyssey Energy Solutions.
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Odyssey Energy Solutions is a company based in the United States Of America and it deals in distributed renewable energy solutions projects.
The Agreement
As one of the fastest-growing economies in Africa, Nigeria has a significant demand for renewable energy solutions.
Unfortunately, many solar companies have challenges when it comes to sourcing equipment and materials.
Also, they face long lead times, high costs and lack of access to quality products.
The agreement Between REAN and Odyssey Energy Solutions, will make a $100 million worth of equipment finance available to REAN members on terms that are very favourable.
This includes a small down payment for the equipment and a 60-day window for solar companies to pay the balance once equipment arrives in Nigeria.
The partnership will address procurement process challenges and provide a better access to high-quality solar products for REAN members.
Odyssey Energy Solutions and REAN will streamline equipment procurement for REAN members by helping them access financing, better payment terms and supply chain support.
REAN Committed To Renewable Energy Growth
REAN President, Ayo Ademilua, said “REAN is committed to supporting the growth and development of the renewable energy sector in Nigeria.
“We look forward to working with Odyssey Energy Solutions to provide better access to quality solar products and solutions for our members.”
The partnership details were officially announced at the REAN Town Hall Meeting, held virtually and in Edo State on May 16.
Interestingly, with the official announcement of this partnership agreement, Odyssey Energy Solutions and REAN will make it easier, faster and cheaper to procure high-quality solar products.
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Also, the VP of Procurement Solutions at Odyssey, Justin Tinsey, expressed satisfaction with the partnership.
“We are delighted to be partnering with REAN to help improve the efficiency and cost-effectiveness of solar equipment procurement in Nigeria.
“Our combined expertise and resources will enable us to provide better solutions to solar companies in Nigeria, helping them to grow their businesses and contribute to the development of a sustainable energy future for the country.”
The event gathered key stakeholders in Nigeria’s renewable energy sector. Together, they discussed industry trends, opportunities and challenges.
Generating Clean Energy
Businesses and individuals who can afford the solar equipment will soon begin to generate clean energy in Nigeria.
This will lead to a shift in the regular power generation system.
Also, it will reduce the load on power generation companies and power distribution companies (Genco’s and Disco).
It will reduce the cost of doing business or bad debt often incurred for power supply that was never supplied even in this days of prepaid metering.
Whether subsidy is removed or not, or whether the price of petrol goes as high as a ₦1000, businesses can continue to thrive without the regular power headache.