Tanzanian-based renewable energy company, Zola Electric has announced the company is planning on entering the Nigerian market, after its successful growth and expansion in Tanzania, Rwanda, Côte d’Ivoire, and Ghana.
Zola Electric said it intends to bring clean, affordable, reliable 24-hour power to Nigeria at a time the country’s economy is recovering and growing steadily after Nigeria’s economy slide into recession from August 2016 to September 2017.
The Chief Executive Officer, Bill Lenihan said the inroad into the Nigerian market was in line with the mission of the company to use distributed renewable energy solutions to make clean, affordable reliable 24- hour accessible for anyone, anywhere.
“ZOLA Electric is a power solutions pioneer that is now one of the most trusted brands in Africa’s distributed renewable energy market.
“We have successfully delivered our clean, affordable and reliable power solutions across Tanzania, Rwanda, Côte d’Ivoire, and Ghana. We’re super excited to make our clean, affordable and reliable 24 power solutions available to Nigerian homes, business and organisations,” he said.
Plans for the Nigerian market
Zola Electric currently manages 200,000 installations, with more than 1,000,000 daily users, and the company plans to increase the numbers by its expansion into Nigeria. It was disclosed that the company would expand its distributed smart storage + solar energy model and launch an affordable renewable energy alternative for Nigerians.
The company also deliver clean energy access to over one million households and businesses in Nigeria over the next three years. The expansion, according to the statement, was focused on improving environmental, health and economic outcomes while driving the transition to clean, renewable energy.
What makes Nigeria important to Zola Electric
Lenihan said Nigeria’s economy is fast growing into a powerhouse, and with the economy’s position as Africa’s largest and population size, Nigeria is the right market for Zola Electric to make its expansion.
“Nigeria is a rapidly expanding economic powerhouse, with population growth tipped to surpass the United States by 2050. It is Africa’s largest economy and its biggest oil producer. Despite this, the Nigerian electrical grid is unable to meet basic energy demands.
“Power from the grid is unreliable and expensive and this has driven more than 100 million Nigerians to rely on diesel generators to power their basic energy needs in their homes or apartments.
“With the current electricity access deficit in Nigeria affecting an estimated 80 million people each day, ZOLA’s expansion will help Nigerian homes and businesses to access reliable 24 hour, with smart storage + solar for a monthly price that is less than the average energy outlay on diesel generators.
“By combining our PAYGo micro-finance leasing and mobile money payments, ZOLA’s energy access model is financially inclusive and adaptable to energy need and income,” Lenihan said.
Side Effect: And with the lack of power supply to communities in both urban and rural areas, there are opportunities for Zola Electric to utilise, but renewable energy is not a common alternative to power supply in Nigeria.
Most households are running on generator set, especially in the rural area, which is more populated than the urban or highbrow areas that can afford renewable energy. The affordability of Zola Electric’s renewable energy will determine the company’s penetration rate in the Nigerian market.
Lenihan further revealed that the affordability of Zola’s systems allows customers to redirect their current energy spend on diesel and power bills towards smart storage and solar system that they will own in the long term resulting in significant cost savings for customers.
About Zola Electric
Zola Electric provides off-grid solar solutions for African markets. The company engages in leasing or selling solar home kits to individual households in Tanzania, Rwanda, Ghana, and the Ivory Coast. It offers solar systems to homes and businesses in rural communities through solar as a service model. ZOLA Electric was formerly known as Off-Grid Electric Tanzania Limited and changed its name to ZOLA Electric in July 2018. The company was founded in 2012 and is based in Arusha, Tanzania with an additional office in San Francisco, California.