How Grid Modernization Can Transform Nigeria’s Power Infrastructure for the Future

May 10, 2024

Nigeria generates most of its power through thermal and hydro energy, with an installed capacity of about 12,522 MW. Experts predict that Nigeria would need to make large investments in order to establish a stable power supply. It is a common occurrence for the National Grid to collapse. In the previous nine years, Nigeria’s national energy infrastructure has failed more than 200 times, frequently leading to extensive blackouts.

The Nigerian grid system needs to be modernized, as the Rural Electrification Agency, estimates that over 80 million Nigerians are not linked to the national grid. Two critical problems characterize Nigeria’s power grid system: a persistent supply shortage and the lack of scalable clean energy.

The term “grid modernisation” refers to a broad range of programs designed to improve the electrical grid infrastructure’s sustainability, efficiency, and usability. It entails the deliberate integration of cutting-edge technologies, and legislative changes to meet the changing opportunities and difficulties facing the energy industry. Given the rising national need for energy, grid modernization is crucial.

What Can Grid Modernization Do For The Nigerian Energy Industry?

Improved Efficiency and Power Stability: Grid modernization reduces operating expenses and eliminates waste of energy, it also ensures a more steady supply of energy.

Reduced Losses/Improved Monitoring and Control: By giving energy consumers access to useful information and control over their energy use, grid modernization empowers energy users.  With the use of real-time data and smart meters, energy users can keep an eye on how much energy is spent, and modify their usage where necessary.

Integration of Renewable Energy Sources: Grid modernisation also leads to wider adoption of clean energy sources like solar, biomass, hydro and wind, which has a significant positive impact on the environment and people

Enhanced Economic Growth: Businesses and industries need stable power to keep their business activities afloat. Modernizing the grid has a big impact on socio economic progress in addition to increasing energy efficiency and dependability.

The Role of SAO Energy in Transforming Nigeria’s Power Infrastructure 

Leading the charge in revolutionizing Nigeria’s grid system is SAO Energy, our core focus lies in developing and implementing renewable energy solutions, mainly for rural and off-grid areas. We specialize in providing last-mile energy access through solar power, mini-grids, and other decentralized solutions. 

Our goal is to close the energy gap and eliminate clean power source shortages as well as energy poverty in Sub-Saharan Africa. Over 195 families in Owo Local Government Area, Ondo State, are already benefiting from our recently finished Omolege Solar Electrification Project, which is expected to supply 2.5 million watt hours of electricity to 1000 people. This project is just the start; we plan to expand to 4MWh in other villages.

The Omolege Electrification project executed by SAO Energy in partnership with Okra Solar

In January 2023 in partnership with the Akeredolu foundation, we launched an innovative initiative as part of our effort to provide healthcare facilities with sustainable energy solutions. This hybrid solar system, which is both off-grid and on the grid, allows the teaching hospital to get continuous power supply. 

In addition to providing solar energy, SAO Energy is paving the way for better healthcare in one of Nigeria’s most difficult regions. This project boldly ventures into 17 remote local governments within Ondo State, tackling the crucial task of electrifying isolated Primary Health Centers (PHCs).

Finally, our solar solutions have been crucial in improving operating efficiency, resilience, and also had a positive impact in the lives of over 40,000 patients’ in the last year. The implications of this project are profound.
Want to know more about how SAO Energy is partnering to address key challenges in Nigeria’s power sector? Click here.