Nigeria is Africa’s most populous nation with a population of over 170 million people. Of these, it is estimated that less than 50% currently have access to electricity supply. Where access to electricity is available, a full day of uninterrupted electricity is not guaranteed.
Despite the abundance of natural resources in Nigeria, the country faces significant electricity supply challenges, which continue to impede its development. In an attempt to resolve these issues, the Federal Government initiated the rehabilitation of power infrastructure through projects such as the National Integrated Power Project (“NIPP”) aimed at increasing electricity generation capacity and also initiated the liberalisation and privatisation of the power sector. Notwithstanding these initiatives, the demand for electricity in Nigeria far exceeds supply.
Presently, the primary energy sources utilised for power generation in Nigeria are gas and hydro. However, in order to meet the rising energy demand the country is currently witnessing, there is a pressing need to improve the electricity supply industry by developing the renewable energy sector.