The Federal Government of Nigeria, through the Rural Electrification Agency (REA), has signed an official grant agreement with Arnergy Solar Limited, The World Bank and others, on the Nigerian Electrification Project (NEP) – Output Based Fund (OBF) to deploy Solar Home Systems (SHS) to Nigerian Small and Medium Enterprises during the lifetime of the project.
The World Bank-funded Nigeria Electrification Project (NEP) has a mandate to expand energy access to millions of households in the country. The NEP grant agreement signed on Wednesday, 16th December 2020 in Abuja has pre-qualified Arnergy for the Central Bank of Nigeria (CBN) funded REA 5 million solar
Arnergy designs, manufactures and offers reliable commoditized solar systems with lithium storage systems for productive use in all one scalable Arnergy 5000 Blue Box. To close the energy gap in Nigeria, Arnergy provides reliable, affordable solar systems to homes, small and medium enterprises and work with distribution partners across Nigeria to end epileptic power supply, high fossil fuel operating expenses and high unemployment rate.
Speaking to journalists, Femi Adeyemo, the CEO of Arnergy, said, “Nigeria with a population of over 200 million people distributes an average of 4000MW of electricity; hence the country needed a different approach to energize her economy. Therefore, it is exciting that the Government is now supporting Arnergy’s mission of providing energy reliability to 20,000 businesses leveraging distributed off-grid solar. Unlike the legacy energy providers, Arnergy provides transparent and affordable pricing and billing, mobile app-based real-time monitoring and control of energy consumption, flexible payment acquisition model and consumer financing or through a growing list of financing and distribution partners.
Speaking on the Next Level agenda, The REA Managing Director, Ahmad Salihijo Ahmad, stated, “This is a testament to our dedication and commitment to scaling the off-grid solar market through the provision of long term low-interest credit facilities to the Nigeria Electrification Project (NEP) solar value chain players.”
This partnership is good news for Nigerians at large, as the intermittent power supply is one of the significant limitations to thriving entrepreneurial growth in the country. The development would empower businesses, create job opportunities, and reduce carbon emissions while ensuring a safer environment for our nation and, by extension, the world.
Since launch, Arnergy has delivered over 3MW of installed solar PV capacity andover 8MWh of storage capacity to businesses and homes across the country. The company’s $9 Million equity funding has fueled her business models, presented opportunities for partnerships, and added over 200 systems across business verticals including Healthcare, Education, Oil and Gas, Financial Services, Hospitality, and residential homes. This partnership with the Nigerian government comes off as no surprise, seeing as Arnergy has built capacity over the years and delivered on its promise.
Omobola Omofaiye, Commercial Director at Arnergy, noted that Arnergy has been consistent in innovation and value creation in the solar energy space and the agreement signed today is an attestation to that. She further outlined that, “we are open to working with both the private sector and the government to bring electricity to every home and business in Nigeria.
Arnergy is a venture-backed distributed utility and became the first African start-up with investment from Bill Gates and Jeff Bezos backed Breakthrough Energy Ventures.
Arnergy has been in the industry for about seven years, with an equity investment from top tier global investors – Breakthrough Energy Ventures, ElectriFi, Norfund,and All On. Arnergy’s mission is to deliver energy solutions for
productive use by deploying products, services, and systems to power homes, businesses and improve clients’ economic outcomes. For more information on products and services, visit www.arnergy.com.