Nigeria has an abundance of various renewable energy resources of which solar, wind, biomass and small hydro power (SHP) are the most ubiquitous.
The Nigerian Electricity Regulatory Commission (NERC) is committed to stimulating investment in renewable energy generation in Nigeria. With a vast and mostly untapped potential in renewable energy resources, the Commission has set a target of generating a minimum of 2,000MW of electricity from renewables by the year 2020.
Guaranteed price & access to grid
Feed-In – Tariff for Solar, Wind, Biomass & Small Hydro
Power Purchase Agreement (PPA) based on plant life cycle of 20 years
Electricity distribution companies (DisCos) to procure minimum of 1000MW (50 per cent of the total projected renewable sourced electricity)
Nigerian Bulk Electricity Trading Company (NBET) to procure minimum of 1000MW (50 per cent of the total projected renewable sourced electricity)
In line with the National Policy on Renewable Energy and Energy Efficiency, the Commission has approved three windows for grid connected renewable energy projects.
1. Net-metering for very small capacities (typically below 1MW)
2. Feed-in tariff for capacities up to
a. 5 MW of solar,
b. 10 MW of wind,
c. 10 MW of Biomass and
d. 30MW of small hydro.
3. Competitive tender for capacities above these thresholds to be procured through NBET.
Pursuant to its regulatory mandates, NERC established in 2015, a feed-in tariff for renewable energy based power generation in Nigeria.
Click here to download the NERC Regulation on Renewable Energy Generation