The Federal Government will need to spend over $27.21 billion in achieving universal clean energy access by 2030, an estimate by the newly launched Integrated Energy Planning Tool has indicated.
The tool which analyses and spotlights the funds and investment that would be required for the country to roll out electrification and clean cooking options was recently unveiled by the government.
According to the estimates, the least-cost strategy for supplying universal electrification would be done through the grid, mini-grid, and solar home systems which are expected to cost about $25.8 billion.
Meanwhile, it was predicted that clean cooking solutions will cost $478 million for Liquefied Petroleum Gas (LPG), $83 million for e-cooking, and $847 million for biogas.
However, the cost of these technologies is split between stoves, accessories, and the infrastructure required to deliver fuel or electricity.
Electric cooking is cost-effective, safer, more energy-efficient, requires less maintenance than conventional cooking methods, and is free of emissions. It is the practical and desirable solution to the twin global challenges of clean cooking and electrification.
Meanwhile, the tool projects that 19.3 million new connections will be required across Nigeria by 2030 to attain universal access, excluding 11.3 million additional grid densification connections from population increase in settlements that presently have access to electricity.
Mini-grids, on the other hand, is the most cost-effective solution for the vast majority of these connections because when agricultural productive use demand is included in the analysis, the number of mini-grids grows by 200,000.
Read also: Nigeria committed to new global energy reforms- Osinbajo
Furthermore, the tool also estimates that the potential for clean cooking solutions is 3.7 million households for LPG, 3.5 million for e-cooking, and 4.3 million for biogas.
According to Yemi Osinbajo, the Vice President of Nigeria, at the Global Launch of the Tool which he attended virtually on Tuesday, said that the Integrated Energy Planning tool would be essential in government achieving its stated goals, as the various levels and arms of government promote it and use it as broadly as possible.
“While we put forward a comprehensive emissions reduction pathway with near-term and long-term actions and milestones, our task is for a fair exchange in terms of commitments from development partners,” he said.
Meanwhile, the vice president, in terms of financing, called on the “international community to support Nigeria’s transition efforts through realistic and much-needed climate finance commitments.
The energy planning tool is powered by extensive geospatial modeling and layers of data, and for the first time covers electrification, clean cooking, and productive use.
It was developed by the Federal Government in collaboration with Sustainable Energy for All (SEforALL), a United Nations initiative, with support from The Rockefeller Foundation to provide actionable intelligence for the Government and private sector stakeholders to deliver the least-cost access to electricity and clean cooking in Nigeria.
Join BusinessDay whatsapp Channel, to stay up to date
Open In Whatsapp
