The United States Trade and Development Agency,USTDA has lent it support to Nigeria’s power sector by reaching out to Abuja Electricity Distribution Company, AEDC with a support of $1.06 million to facilitate a study on mini-grid solutions in under-served areas within its franchise areas.
The studies would specifically assist a technical studies in under-served areas within the Abuja Distribution Company’s areas of franchise in order to facilitate 100% electricity access to consumers.
This development,USTDA Acting Director Thomas Hardy said at the signing ceremony for the grant in Abuja on Friday would support energy projects in the country, which would in turn strengthen business ties between our countries and deliver important results for the Nigeria people.
Ernest Mupwaya,the Managing director of Abuja Electricity Distribution Company,informed at the signing ceremony for the issuance of the grant said that the company is prepared to expand the business of power Supply to the under served using the mini-grid energy solutions as an available option for areas that might not get connected to the grid.
According to Mupwaya,”There are also other areas of our network,where we can easily extend the grid and capture network for the under served. It is also a fact that other areas are far flung from our grid network and may not went for many years for the huge resources required to extend the grid.
In that case,and riding on this support,it made sense to develop mini-grids so that they can start having electricity”
Speaking further on the grant support,he said,”The grant would facilitate some feasibility studies to ensure that we package our off grid areas into an at tractable bank able project for interested investors.
“Bankable projects implies that we can partner other investors,to accelerate electrification by rolling out isolated grid to drive power supply in under served areas of our franchise.
Ijeoma Ikoku Okeke,the Chief Finance Officer of Abuja Disco told newsmen at the event that the agency is partnering alongside compementing the efforts of the the rural electrification agency in ensuring access of power supply tounder served areas,with mini grid solutions.
Earlier in his remarks,Ahmad Rufai Zakari,Special Adviser to the President on Infrastructure informed that the federal government is engaging the USTDA in order to enable it with technical support on closing the infrastructure gap in the country.
“Our partnership with them would enabe us ensure that our projects are better structured to attract investors”
The grant. It woud be noted woud enable, ” Identification of optimal locations for complimentary mini-grid deployments within the catchment area of AEDC
It woud further enable the development of an an integrated distribution framework that combines the central grid with decentralised off grid power solutions, which will, where appropriate include mini grids, off grid mini-grids, grid extension project and solar home systems.
Among other things would support the development of a strategic plan for 100% electrification and the provision of 24/7 power supply starting with Abuja.
