UNDP, GEF’s $5.91m cash to boost electricity

With a grant of $5.91million, the Africa Mini-grids Programme (AMP) that is an initiative of the Global Environment Facility (GEF), with the support United Nations Development Programme (UNDP), the Rural Electrification Agency (REA) subsidize electricity for rural agricultural activities in Nigeria.

According to the AMP Project Regional Manager, Mr. Nasiru Ibrahim, the fund is a four-year pilot project to develop rural agricultural value chain across the 36 states of the federation and the Federal Capital Territory.

Speaking with The Nation on the sideline of the GEF-UNDP AMP Inception Workshop in Abuja , he noted that the project will impact on the livelihoods of rural communities.

He explained that the “beneficiaries are captured by the simple fact that you have a mini-grid on ground there will be a communities of different numbers: 300; 500; 2,000 people be provided electricity in addition to their productive businesses: rice milling, maize grating, irrigation and other activities will also be provided with this electricity at a subsidized rate.”

Ibrahim said the program is financed by the Global Environment Facility. It is multilateral environmental fund which is global.

“Of course, Nigeria is part of the UN so it is also a beneficiary of such fund. It has provided Nigeria through the REA with $5.91million to develop pilot projects to demonstrate the electrification of rural communities and rural agricultural value chain.”

Earlier, the REA Managing Director, Engr. Ahmad Salhijo, disclosed that the agency’s projects have been very impactful on the communities to the extent that delivery street lights could place a smile on their faces.

He said: “I just I find it amazing that just because you have been able to deliver one street lights you know, to a community, you realize that has so much impact and enjoy. You see in their eyes. I mean, it’s invaluable and for me.”

He said owing to his belief in team work, he has always sought the inputs of seasoned experts from the Federal Ministry of Environment, Federal Ministry of Agriculture, and the Federal Ministry of Power to design programmes that will endure even after his term in office.

The REA boss said the Africa Mini-grid Programme is actually designed to increase the financial viability of these projects while promoting a scaled up commercial investment in mini grids in Nigeria. He added that “it has also been designed deliberately to collaborate with one of our other programs, which is the energizing agricultural program.

In his presentation titled “Management Structure of the Programme,” The Rural Electrification Fund Executive Director, Dr. Sanusi Ohiare said

“Another objective would be to revise and appraise project plans while addressing any project level grievances.”

He said it will ensure highest levels of transparency and take all measures to avoid perceived conflicts of interest.

In her virtual presentation titled “Energy and Climate Change Specialist,” AMP Regional Manager, Christelle Odongo, said for Nigeria, mini grid is not only about solar but the programme considers money delivery models, ownership and subsidizes.

She said: “So not necessarily solar one for Nigeria, but we look at money delivery model. We speak of who owns the money really, who maintains it, who operates it, how is the finance how much subsidy do you need these kind of questions.”

She added that there are also questions around tariff and electricity for non-productive use, which is very relevant to Nigeria.