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REA targets N7bn tax revenue increase from Solar Power Naija Programme

The Solar Power Naija Program is expected the Rural Electrification Agency (REA) to generate an additional N7 billion increase in tax revenues per annum, the Rural Electrification Agency (REA) has said.

It also eyed an additional $10 million in annual import substitution.

The Managing Director of the Agency, Engr. Ahmad Salihijo made the disclosure at the first investors’ matchmaking event for the Solar Power Naija Programme organized in partnership with the Power Africa Nigeria Power Sector Program (PA-NPSP, USAID).

He said the programme is aimed at providing the opportunity for potential investors to pitch their financial offerings to developers, clearly stating the selection criteria and key terms.

He explained that the Solar Power Naija Programme was launched as part of the Economic Sustainability Plan (ESP) to achieve the roll-out of 5 million new solar connections in off-grid communities.

According to him, the programme’s objective is to Expand energy access to 25 million individuals (5 million new connections) through the provision of Solar Home Systems (SHS) or connection to a mini-grid.

This also includes: “Increase local content in the off-grid solar value chain and facilitate the growth of the local manufacturing and assembly industry and Incentivize the creation of 250,000 new jobs in the energy sector.”

Salihijo further explained that the event provides a networking and matchmaking forum that brings together key investors and high-performing developers (pre-evaluated by the SPN team) in the power sector.

“As the implementing agency for Nigeria’s off-grid strategy, the REA has been working to support private developers by creating an enabling environment to facilitate investments in various ways, including access to data, policy support, grants, capacity development, stakeholder management, and most importantly financing for Developers,” he added.

While giving his remarks, the Acting Deputy Missions Director, USAID Nigeria, Stephan Menard encouraged private developers to take advantage in accessing financing towards improving the lives of Nigerians by delivering sustainable energy access.

On his part, the Head, Solar Power Naija Programme, Barbara Izilien expressed hope that the approach will help build quick partnerships that would lead to new connections.

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