SOVENTIX, a German solar developer, is partnering Cummins gas generators distributor, Gentec EPC and key Nigerian energy industry player to deliver solar energy solutions to Nigerians.
The marriage which led to the birth of SOVENTIX Hybrid Limited is set to develop solar projects across Nigeria to the benefits of homes and businesses.
A meagre of 4000MW grid power and a soaring population of about 180 million has lead to high demand for cost effective, reliable energy and competitive alternative energy supply solutions, thus, Nigerian market is viewed as one of the key solar growth markets across Africa.
“We are very excited about this partnership with SOVENTIX. Gentec is continually seeking to bring innovative and diversified energy offerings to the Nigerian market and we believe solar energy meets the customer requirements: Reliable, affordable and emission free power,” said Deepak Khilnani, founder of Gentec EPC, during the partnership signing ceremony held in Germany.
“The credibility, expertise and proven track record of the Soventix management team gave us a lot of confidence that SOVENTIX is the correct solar partner,” he added.
SOVENTIX Hybrid will focus on industrial rooftop solar applications that synchronise with the existing generators or grid power systems. This is to enable the industries to have an additional source of power generation at a lower price than diesel power, as well as significantly reducing emissions.
Phase II of the joint venture will also aim to develop national solar parks that feed clean energy into the Nigerian grid.
Even though there is no fuel input and very low maintenance costs, solar energy will have fixed tariffs over a 20 year period enabling industries to effectively plan their long term energy costs. Besides, solar energy is already more competitive against fossil fuels with regard to pricing per kWh.
Minister of Power, Works and Housing, Mr. Babatunde Fashola, has canvassed for investments in solar energy to meet the nation’s plans of increased renewable power generation, in regards to a significant shortfall of reliable power across Nigeria, at a residential, industrial and national grid level.
Though Nigeria has 12.5GW of installed generation capacity, only 3500-5000MW is typically available making Nigeria a country one of the countries with the lowest electricity per capita consumption levels globally.
According to USAID, the lack of a reliable and affordable supply of electricity impacts every facet of life in Nigeria. Businesses routinely cite the cost of electricity as the principal drain on profitability and competitiveness. Schools and clinics often go without electricity or rely on costly diesel generators.
“A reliable energy supply from renewable energy sources is becoming more important for African countries, particularly Nigeria. Since Africa in particular suffers deeply from the effects of climate change, ecological energy solutions gain importance,” said Thorsten Preugschas, CEO of SOVENTIX.
“Combining cost savings with the ecological advantage; we see great potential for solar energy in Nigeria. We believe this will be a successful partnership combining Gentec’s established market presence and strong local service team in Nigeria with SOVENTIX’s comprehensive solar capabilities,” he added.