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Nigerian Governors Sign Landmark MoU with Energy China to Boost State-Level Renewable Energy Development

In an effort to strengthen energy planning at the state level across Nigeria, governors signed a significant memorandum of understanding (MoU) with Energy China on Thursday. Energy China, a prominent Chinese company, is well-known for its work in renewable energy and gas production.

The Governor of Gombe State, Alhaji Inuwa Yahaya, who also chairs the Northern Governors’ Forum, represented the Nigeria Governors Forum (NGF). He stated that this MoU, and the partnership it signifies, marks a vital step toward reinforcing the institutional framework for sub-national energy governance. Yahaya noted that the collaboration would contribute to energy security, efficiency, and overall economic development in Nigeria’s states.

Governor Yahaya explained, “It is crucial to acknowledge the transformative journey that Nigeria is embarking upon in the area of access to sustainable electricity which includes renewable energy, particularly in the wake of the recently passed Electricity Act of 2023.” He emphasised the significance of this legislation, saying, “This groundbreaking legislation marked a pivotal moment for our energy landscape, introducing innovative structures that aim to boost investments and enhance the reliability of power supply across the country.” Since the passage of the Electricity Act, the country has seen a surge in innovative reforms designed to revitalise the energy sector.

Yahaya also pointed out a shift toward decentralised energy solutions. He remarked, “We are moving towards more decentralized energy solutions, encouraging the integration of renewable energy solutions that can provide sustainable and affordable electricity to our communities.” He stated that the Electricity Act also laid the foundation for improving regulatory frameworks, which would help attract private sector investment and encourage public-private partnerships. He added, “The Act has also laid the groundwork for improving regulatory frameworks, enabling private sector investments, and fostering public-private partnerships, a vital component for the successful implementation of our renewable energy goals.”

However, he acknowledged that these advancements come with challenges. “We must acknowledge that these advances come with their own set of challenges. Shortfalls in infrastructure, financing, and regulatory hurdles continue to impede progress. We must address these issues collaboratively,” he said. Yahaya called for partnerships between governments, private investors, and international stakeholders to address these obstacles. “By fostering partnerships between the government, private investors, and international stakeholders, we can develop innovative financing models, improve capacity building, and enhance grid infrastructure to accommodate renewable energy sources effectively.”

He also highlighted the ongoing reforms in various states. “In this context, I want to highlight some of the ongoing reforms within states in Nigeria as they pursue ambitious but worthwhile and achievable energy initiatives. States are crafting tailored policies that align with national objectives while addressing local needs. They are also establishing frameworks and instituting regulatory bodies to drive the electricity markets within their localities. These reforms are crucial as they leverage our unique resources and provide flexibility to implement localized solar solutions.”

Yahaya stressed that coordination between state and federal initiatives is essential for the success of the country’s renewable energy goals. “The synergy between state and federal initiatives will be key to driving effective change and achieving our collective renewable energy targets. The NGF has a vibrant Power Desk which has played and continues to play a coordinating role in the efforts of the States as they strive to implement the Electricity Act. The Forum offers a one-stop platform in providing support to the States as they grapple with the enormous responsibility placed on their shoulders by the Electricity Act.”

He concluded by reaffirming NGF’s commitment to the partnership with Energy China, stating, “We believe that this relationship with the China Energy International Group will foster a robust development in the acceleration of energy access in the country and the NGF would use its best endeavours in supporting these efforts.”

Chief Uche Nnaji, the Minister of Innovation, Science, and Technology, further explained the MoU, noting that it aligns with President Bola Ahmed Tinubu’s Renewed Hope Agenda. “This collaboration supports the Renewed Hope Agenda of President Bola Ahmed Tinubu. This partnership reflects our shared ambition to expand access to clean energy, strengthen energy planning at the state level, and promote sustainable technologies all in alignment with our National Energy Masterplan and national development goals,” Nnaji stated.

The Minister outlined the scope of the MoU, which includes deploying renewable energy infrastructure such as solar, wind, and hydro energy, as well as establishing a Nigeria-China Renewable Energy Research Centre to foster innovation, technology transfer, and capacity building. He said, “This initiative will not only improve energy access, especially in off-grid communities, but also support job creation, investment, and our climate commitments. To the Governors’ Forum, I commend your proactive involvement. Your citizens will benefit directly from this long-term vision.”

Nnaji also assured that the Federal Ministry of Innovation, Science, and Technology fully supports the initiative and will ensure its swift and transparent implementation. “The Federal Ministry of Innovation, Science and Technology stands fully behind this initiative and will ensure its swift and transparent implementation,” he stated, adding, “Together, we are building a cleaner, smarter, and more resilient energy future for Nigeria.”

Dr. Song Liang, Chairman of the China Energy Commission, also pledged to fully implement the MoU and facilitate strong cooperation between Nigeria and China. He emphasised the importance of prioritising energy sector development and sharing intelligence related to renewable energy. He noted, “We must prioritise the development of the energy sector as well as support sharing of intelligence on issues relating to renewable energy promotion.”

Dr. Liang also promised to enhance energy storage capabilities across all sectors, including green energy, and expressed his commitment to transforming the Nigeria-China energy relationship. “We will improve energy storage in all sectors, including green energy, and we will elevate the Nigeria-China relationship to a new phase of cooperation,” he promised.

Dr. Abdullateef Shittu, Director General of the Nigeria Governors’ Forum, reflected on the pivotal role the NGF has played since the passage of the Electricity Act. He said, “Since the passing of the Electricity Act, the NGF has been playing a pivotal role supporting and coordinating the efforts of States in their implementation of the Act.” Shittu explained that the NGF has also established a Power Desk responsible for coordinating state efforts in implementing the Electricity Act. He added, “The NGF has established a robust Power Desk which is saddled with the critical role of coordinating the efforts of the States as they strive to implement the Electricity Act.”

The NGF Secretariat facilitated the creation of a platform for commissioners of power and energy from all 36 states. This initiative, according to Shittu, aims to promote best practices and enhance the country’s energy ecosystem. He noted, “The NGF Secretariat also facilitated the establishment of a Forum of Commissioners of Power and Energy, a platform for all the 36 States energy actors. This platform is designed to institute a community of best practices in the energy ecosystem as a means of advancing our journey to universal energy access.”

Shittu concluded by reiterating the NGF’s commitment to supporting states in their efforts to implement the Electricity Act. “The NGF offers a one-stop platform in providing support to the States as they grapple with the enormous responsibility placed on their shoulders by the Electricity Act. We have opened up strategic partnerships with relevant stakeholders and donor organisations in the energy space all in our bid to develop and sustain the growth of electricity in the country.”

He added, “There is no doubt that this relationship with the China Energy International Group and Energy Commission of Nigeria will further a robust development in the acceleration of energy access in the country, and we assure you that the NGF would work with you in supporting these efforts.”

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