Olam Agri, Husk Power launch 1.3 MWp solar system in Nasarawa rice farm

Olam Agri has partnered with Husk Power, a renewable energy firm, to deploy a 1.3 megawatt-peak (MWp) hybrid solar system for its rice farming operations in Rukubi, Nasarawa State.

The project aims to replace diesel generators in the farm with a solar system paired with an 860-kilowatt-hour battery storage unit. This would mark one of Nigeria’s largest commercial solar power deployments for agriculture. The setup is expected to supply uninterrupted power to Olam Agri’s rice mill under a 10-year power purchase agreement.

Nigeria’s rice sector is one of the most energy-intensive within the agricultural space. With increasing volatility in diesel prices and rising climate concerns, industry players are now under pressure to pivot toward more sustainable energy models.

“This project will stabilize power supply and reduce costs for our operations,” said Anil Nair, Country Head for Olam Agri in Nigeria. “But more importantly, it’s about aligning with national renewable energy ambitions.”

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This marks Olam Agri’s second major solar deployment in Nigeria. In 2024, the company rolled out a solar farm at the same facility to partially power milling operations.

The partnership also underscores Husk Power’s growing footprint in Nigeria’s commercial and industrial (C&I) solar market, which is projected to add more than 550MW of new capacity between 2025 and 2029, according to industry forecasts.

“Husk has led Nigeria’s mini-grid market, but the C&I sector offers even greater scale and impact,” said Olu Aruike, Husk’s Country Director. “We plan to install hundreds of megawatts of solar capacity across key sectors like agriculture over the next five years.”

Beyond environmental benefits, the project could strengthen Nigeria’s food security by reducing energy costs for farmers. Diesel-powered generators, widely used due to grid instability, consume up to 40% of smallholder farmers’ profits, according to World Bank data. Reliable solar energy may also curb post-harvest losses—a critical issue in a country where 40% of food spoils before reaching markets.

If successful, the Olam-Husk model may inspire similar partnerships across Africa, where over 60% of farmland relies on rain-fed irrigation and fossil fuels. For now, stakeholders are watching Rukubi closely. As Nair put it, “This isn’t just our project—it’s a test case for transforming African agriculture.”