CarbonAI has signed an MOU with the Rural Electrification Agency (REA) of Nigeria to develop solar mini-grid projects across the country. According to CarbonAI, the carbon credits produced by its gas flare capture projects, which it has set up all over Nigeria, would be used to pay for the solar mini-grid installations.
The initiatives will concentrate on underprivileged neighborhoods close to CarbonAI’s technologies that are harmed by gas flares. While CarbonAI will be in charge of financing, designing, and building, the REA will locate prospective project areas and communicate with locals.
Remarks on the solar mini-grids projects
CarbonAI chief carbon officer, Yvan Champagne, said, “We are strong believers in win-win outcomes. we believe our climate dividend initiative embodies the essence of the energy transition. By utilizing immediate reductions in the current energy system to create the energy system of the future in Nigeria.”
According to CarbonAI, this MOU would help reduce greenhouse gas emissions in communities close to gas and oil installations. As well as give these areas a steady and secure energy supply. Nigeria has vowed to end gas flaring by the year 2025. The REA is a government of Nigeria implementation organization whose main responsibility is to improve rural areas’ access to electricity.
Managing director and CEO of the REA, Ahmad Salihijo Ahmad said, “Nigeria’s off-grid community is expanding commendably. As a result, key stakeholders must assume responsibility for utilizing the resulting opportunities to accelerate sustained impact nationally. This is just another smart and creative approach to financing Nigeria’s climate-resilient infrastructure and reducing energy poverty.”
Furthermore, Cross-boundary Energy Access and Engie Energy Access teamed together in September to construct mini-grids worth $60m in Nigeria. In the same month, the Nigerian government inked an MOU for 961MWp of solar mini-grids projects with Sterling & Wilson. Which has its headquarters in India.