REA, Oando sign deal to boost renewable energy access in Nigeria

The Rural Electrification Agency (REA) says it has signed a memorandum of understanding (MoU) with Oando Clean Energy Limited (OCEL) to boost renewable energy access in the country.

In a statement on Wednesday, Mukhtar Ibrahim, acting director of promotions at REA, said the MoU was aimed at accelerating collaboration between the private sector and government agencies.

Ibrahim said the signing of the MoU was an offshoot of the recently held ‘Solar Power Naija’ (SPN) investors’ matchmaking event.

He said the collaboration between the two agencies marked the beginning of another timely and strategic partnership targeted at exploring new approaches to clean energy development for socio-economic impact in the post-subsidy era.

“A key player in the energy space, the Oando brand activated its clean energy subsidiary, Oando Clean Energy Limited (OCEL) in 2021,” he said.

“As the agency continues to play a key role in the nation’s off-grid, renewable energy space, it has maintained a strong history of drawing in private sector investment.

“Facilitating inter-sectorial collaboration and ultimately, aiding the implementation and delivery of fit-for-purpose off-grid solutions nationwide.” 

Speaking at the signing ceremony, Salihijo Ahmad, managing director of the agency, said the best way to mitigate the effects of subsidy removal was through the exploitation of opportunities to optimise the critical role of renewable energy.

Ahmad said the REA-Oando partnership would bring about mutually beneficial collaboration, knowledge exchange, and experiences — all targeted at achieving the common goal of optimising renewable energy.

“REA has the history of ensuring that whatever kind of financing is available, there are programmes and initiatives it implements that can be used to deliver impact across the nation,” he said.

Ahmad commended REA for its commitment to understanding and leveraging the role of the private sector players to deliver on the task of sustainable energy access across the country. 

On his part, Alex Irune, president of Oando Clean Energy Limited, said the company was keen on renewable energy and excited about the opportunity to create value that the country needs.

Irune also expressed confidence in the collaboration with REA.

“I would not be signing this MoU today if there wasn’t the enabling environment provided by the REA,” he said.

“I commend the REA on its approaches, programmes, and achievements over the years and these approaches are sustainable.”