NERC to review 2016 mini-grids regulations

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3 years ago

The Nigerian Electricity Regulatory Commission (NERC) has disclosed plans to review the 2016 Mini-grids regulations.

It said the review will, among other reasons, define what a portfolio of interconnected and isolated Mini-grids means.

In a consultation paper signed by NERC’s Chairman, Engr. Sanusi Garba, the Commission said engagements with the Nigerian Energy Support Programme (NESP) on ways to enhance the regulatory framework for Mini-grids in Nigeria, identified a need to shift towards a portfolio approach to Mini-grid applications whereby developers can simultaneously apply for permits for multiple isolated or Interconnected sites.

It added that the engagements also highlighted the need for proper monitoring and evaluation activities to track the development of the off-grid sector which is primed for major expansion and growth in the short-to-medium term.

In view of this, the Commission expressed its desire to;” review the regulation to allow for the submission of simultaneous applications for the portfolio of Mini-grid sites.

“define what portfolio of interconnected Mini-grids and isolated mini-grids shall
mean.

“To further allow for the submission of a single tariff application for a portfolio of Mini-
grid sites and improve the quality and frequency of Monitoring and Evaluation reporting for Mini-grid installations across Nigeria.”

The Commission further reminded that in line with its National Renewable Energy and Energy Efficiency Policy (NREEEP) and Sustainable Energy for All (“SE4ALL”) action plan, Nigeria had set a renewable penetration target of 10 per cent in the short term and 30 per cent by the year 2030, known as vision 30-30-30.

“The plan proposes electricity generation targets of 30GW by 2030 with a 30 per cent share of renewable energy,” it added.

On the purpose of the consultation paper, it said;” we are setting out here for a consultation on Inclusion of definition of Portfolio of Interconnected Mini-grids, and Portfolio of Isolated Mini-grids.

“Clarification that Mini-grid permit shall be issued for both Isolated and Interconnected Mini-grids, provision for allowing submission of a single tariff application for a portfolio of Interconnected or Isolated Mini-grids.

“Provision for allowing submission of combined report for the portfolio of Mini-
grids, update to the Exclusivity and Tripartite Agreement templates, and inclusion and enforcement of the Monitoring and Evaluation (M&E) mandate, including sample templates for feasibility studies and M&E reporting during operations.

“Amendments to relevant clauses/sections of the Mini-grid Regulations 2016 that will be needed to accommodate any changes to the overarching NESI framework.”

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