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Nigeria

Renewable Energy Potential

Renewable energy potential

The huge potential for renewable energy in the country is mostly untapped. Barriers to the development of renewables include: the large oil and gas production in the South together with government fuel subsidies, the lack of clarity/market information on private sector opportunities, and a general knowledge gap concerning financial support mechanisms available within the country.

 

Solar

Nigeria has enormous solar energy potential, with fairly distributed solar radiation averaging 19.8 MJm2/day and average sunshine hours of 6h/day. The assumed potential for concentrated solar power and photovoltaic generation is around 427,000 MW. . According to estimates, the designation of only 5% of suitable land in central and northern Nigeria for solar thermal would provide a theoretical generation capacity of 42,700 MW. In July 2016, 14 Greenfield Independent photovoltaic (PV) power projects with a capacity of 1,125MW had their PPAs signed by the Federal Government owned NBET.

 

 Yearly average of daily sums of global horizontal irradiation

Source: Solar Radiation: PVGIS © European Communities, 2001-2008 HelioClim-1 © MINES ParisTech, Centre Energetique et Procedes, 2001-2008

Hydro

Hydropower has been a cornerstone of grid-powered generation in Nigeria for decades. 15% of current power generation sources in the country are hydro based. The country is reasonably endowed with large rivers and some few natural falls. In all parts of Nigeria, potential sites for unexploited small hydropower exist, with an estimated total capacity of 3,500 MW. A multitude of river systems, providing a total of 70 micro dams, 126 mini dam and 86 small sites, supply a technically exploitable large hydropower potential estimated to be about 11,2500 MW. Under recent circumstances, only 17% is being tapped. Potential large investments in some significant hydropower sources and even some plans, such as the dam for the Mambilla plateau in northern Nigeria, have been struggling due to large investments cost required and lead times needed. The potential for small hydro power is about 3,500 MW, with just about 64.2 MW being exploited. By 2020, the Nigerian government aims to have increased the hydroelectricity generation capacity to 5,690 MW. This projection shall be met through an upgrade of old hydroelectricity plants and the installation of new hydro power plants.

Water

Source: Federal Ministry of Power Nigeria

Wind

The Wind energy potential in Nigeria is very modest, with annual average speeds of about 2.0 m/s at the coastal region and 4.0 m/s at heights of 30m in the far northern region of the country. Based on wind energy resource mapping carried out by the Ministry of Science and Technology. Wind speed of up to 5m/s were recorded in the most suitable locations, which reveals only a moderate and local potential for wind energy. The highest wind speeds can be expected in the Sokoto region, the Jos Plateau, Gembu and Kano / Funtua. From the study, Maiduguri, Lagos and Enugu also indicated fair wind speeds, sufficient for energy generation by wind farms. Apart from these sites, other promising regions with usable wind potential are located on the Nigeria western shoreline (Lagos Region) and partly on the Mambila Plateau. A 10MW wind farm projects is currently being built in Katsina, and expected to be completed in 2017.

 

Nigeria Wind

Source: NEW ERA ENERGY Nigeria Ltd.

Biomass

The biomass resources of Nigeria are mainly crops, forage grasses, shrubs, animal wastes and waste arising from forestry, agriculture and municipal and industrial activities. Crops such as sweet sorghum, maize, and sugarcane are the most promising feedstock for biofuel production. According to estimates, the daily production of animal waste in Nigeria is about 227,500 tons , which could lead to about 6.8 million m3 of biogas. Though the technology itself is not yet established in the country, a variety of research covering different aspects of biogas production in Nigeria, such as technical feasibility or policy recommendations, are ongoing.

 

Licenses granted RE projects

Name of LicenseeCapacity (MW)Fuel TypeStateGeopolitical Zone
JAP Energy Limited504BiomassLagosSouth-West
Premier Energy Limited50Hydrogen fuel cellAdamawaNorth-East
Rook Solar Investment Limited50SolarOsunSouth-West
Quaint Global Nigeria Limited50SolarKadunaNorth-West
Nigeria Solar Capital Partners100SolarBauchiNorth-East
Anjeed Kafanchan Solar Limited10SolarKadunaNorth-West
Lloyd and Baxter LP50SolarAbujaNorth-Central
KVK Power Pvt Limited50SolarSokotoNorth-West
Pan African Solar54SolarKatsinaNorth-West
Mabon Limited39HydroGombeNorth-East
JBS Wind100WindPlateauNorth-Central

Source: The Nigerian Energy Sector (GIZ, 2015)

Key figures

Available statistics:
Capital
Abuja
Official language
English
Population (2016 est.)
186.0m
Population growth (2016 est.), %
2.44
Median age (2016 est.), years
18.3
Urbanization rate (2010 - 2015), % p.a.
4.66
Urban population (2015), % of total
47.8
Rural population (2015), % of total
52
Population density (2015), per km2
200
HDI (2014)
152 of 188
National Currency
Naira, NGN
Exchange rate (April 2017), USD
1 USD = 305.75 NGN
GDP (2015), USD million current
481,066
GDP growth (2016), %
-1.51
GDP annual growth rate forecast (2020), %
3.7
GNI per capita (2015), PPP current intl USD
5,810
Inflation (Dec. 2016), % y-o-y
18.55
Inflation Rate Forecast (2020), %
8.4
Foreign Direct Investment, net inflows (2015), BOP current USD millions
3,129
Net official development assistance (2014), current USD millions
2,476
Budget deficit (2016), % of GDP
2.4
Ease of Doing Business (2016), rank of 190
169
TI Corruption Index (2016), rank of 176
136
Installed Generation Capacity (2016), MW
12,500
Installed Fossil Fuel Capacity (2016), % of total installed capacity
87.5
Hydro Capacity (2015), % of total installed capacity
12.5
Other RE Capacity (2015), % of total installed capacity
~0
Renewable electricity output as % of total electricity output excl. hydro (2015)
~0
Avg. distribution and transmission losses as % of output (2015)
~20
Net electricity imports (2012), %
7.6
Electrification rate, total (2014) %
45
Electrification rate, urban (2014) %
55
Electrification rate, rural (2014) %
36
Peak demand (2015), MW
~12,500
Per capita electricity consumption (2016), kWh
150
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