• Wednesday, July 17, 2024
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NSIA, GIB partner to launch assembly plant in Nigeria for renewable energy

AGIS calls for urgent reform of Africa’s energy landscape

The Nigerian Sovereign Investment Authority (NSIA) through its vertically-integrated renewable energy investment platform (RIPLE) has signed a Memorandum of Understanding with GIB EnergyX Slovakia to co-develop a state-of-the-art Assembly Plant in Nigeria to supply Battery Energy Storage Systems (BESS).

According to the parties, the partnership will support RIPLE’s renewable energy investments to supply commercial and industrial demand for 24/7 electricity.

Commenting on the deal, Yusuf Umar, Chief Executive Officer of RIPLE, said that the partnership is pivotal in advancing Nigeria’s clean energy infrastructure and fostering long-term environmental stewardship.

According to Umar in a statement issued to journalists in Abuja on Thursday, the initiative has the potential to transform Nigeria’s energy landscape and propel the nation’s journey towards economic prosperity, fuelled by responsible renewable energy practices utilising solar generation and Distributed Smart Grid.

Launched in November 2023, RIPLE is a US$500 million vertically-integrated renewable energy investment platform aimed to drive the development, financing, and operation of projects across the renewables value chain – from upstream renewable technology manufacturing to energy generation, and downstream distribution through sub-franchising in partnership with distribution companies.

“At RIPLE, we are excited to partner with GIB on this initiative which is a major leap forward in our commitments to sustainable energy. Our goal is to help build Nigeria’s industrial base commencing with this comprehensive battery manufacturing.

“We are committed to ensuring that our operations are efficient and sustainable. We believe this partnership will be pivotal in advancing Nigeria’s clean energy infrastructure and fostering long-term environmental stewardship,” Umar said.

The project is expected to catalyse the development of a localised battery BESS ecosystem, facilitating the widespread deployment of renewable energy technologies and expanding access to energy.

According to the parties, the plant will look to export to other regional markets, positioning Nigeria as a key player in the renewable energy supply chain and providing a vital source of foreign exchange.

He explained that Nigeria’s Energy Transition Plan emphasises expansion of the nation’s generation capacity and the ramping up of renewables-backed electrification to facilitate decarbonisation across various sectors of the economy.

“This has resulted in increasing demand for renewable energy solutions and complementary battery storage systems as efficient alternatives to address the country’s energy deficit,” he said,

“Presently, this demand for battery storage systems is largely met through imports from Europe and China.”

Also commenting, Steven Cai, Chairman, GIB EnergyX and Director, Gotion HighTech Co said that RIPLE’s strategy is key in meeting Nigeria’s increasing energy demand and overcoming the inadequacy of the traditional energy networks and infrastructure through firm renewable energy solutions, complemented by energy storage.

He said, “Nigeria is an exciting and fast-growing market hungry for electricity. GIB will partner with RIPLE in the quest for BESS localisation assembly in Nigeria. Gotion is the majority owner of GIB, with a top-tier competitive position in BESS and EV battery technology and Giga factory manufacturing and localisation expertise.

“We are excited to explore this co-development with RIPLE to create the local assembly value-chain delivering a range of BESS with our LFP technology which should significantly benefit Nigeria’s economic growth and energy transition journey towards net zero through access to 24/7 renewable electricity.”