There are opportunities in renewable energy — AllOn

By Ebunoluwa Sessou

Janet Babalola, is a nursing mother.On Monday, she woke up to experience an empty cooking cylinder. Her hope was dashed as she couldn’t even boil some water  to bath her baby.

She was devastated. What would she do? She rushed to the gas station to fill her cylinder, and then another level of frustration set in.

The 6kg of cooking gas she bought two weeks ago at  N3, 600 now goes for N4, 200.

She was still confused about the baby food that just got finished.  Now, cooking gas trouble.

READ ALSO: Why price of cooking gas’ll keep going up

Rather than buy 6kg, she opted to buy 5kg at N3, 500.
This is the story of average Nigerian women in the country currently.

The sad story is that kerosene is even costlier than cooking gas. One litre of kerosene is N380 against the initial price of N200.

Victoria Nwaogu,  a resident of Kirikiri town area of Lagos lamented that with the increase in prices of cooking gas, things have been difficult.

She objected to resorting to alternative sources of cooking but said that should this situation persist in the country, there would be adverse effects in every home.

Also, speaking, a proprietor in the Jakande area of Lagos, Mrs. Chinelo Udekwe told WO that since the increase in prices of cooking gas, she has found it very difficult to cook for her children.

“My sister, I hardly cook now because of the price of cooking gas. And to worsen the situation, the prices of foodstuffs have skyrocketed.

These are hard times in Nigeria and I do not know how we can come out of these things.

“The politicians have succeeded in inflicting hardship on us and we are all helpless”, she lamented.
Research carried out by WO indicates that most parents no longer cook for their children at home but rather patronize roadside food sellers especially for their children to be able to eat on a daily basis at school.

The high cost of foodstuffs in the markets as well as the hike in prices of cooking gas constitutes a daily frustration going on in every home especially for workers and traders whose minimum wage is not up to N30,000.

Cooking gas is widely used in many households and has a large consumer base mostly because of its cooking speed, and has become an acceptable appliance but due to its ever increasing price, most consumers are considering other alternatives in the bid to save cost.

In Abuja, the story is not the same as most people in the area now buy cooking gas for N800 per kg.

A corps member, Emeghara Chinwemeri, lamented that she cooks once or twice a week in large quantities and refrigerates in order to save gas.

Alternatives

The story is changing as many people who spoke with WO lamented that the traditional source of cooking food is gaining ground in earnest.

“We’d rather go back to the traditional way of burning firewood, charcoal rather than kerosene powered stoves.

We thought the technology has taken over the system but, it seems we have to go back to our old way of cooking.

This byproduct of natural gas was cheaper, lasts longer and its usage does not stain the cooking pots.

It is fast, odourless and can efficiently be used indoors thereby conforming to its modern-day use. But, the story has changed.

In Lagos, The average price of cooking gas per kg is between ¦ 650 and N750 per kg depending on the area.

Hike in foodstuffs
Speaking with Mrs. Nosimo Rauf, a trader in Daleko market, it was revealed that a bag of 50kg rice is sold between ¦ 25,500 – 29,500 depending on the type of rice. Other foodstuffs including beans cost N95, 000 per 100 kilo.

In Mile 12, potato, yam, plantain, banana, pepper, tomatoes, vegetables, onions, egusi, Ogbono, salt and other condiments are now on the increase.

Right now, a kilo of Titus fish is sold for N1,600, as chicken, turkey, prawns, crayfish and other sea foods are now for the rich.

A bag of 5kg Semovita now costs N3000 while 10kg is sold for N5, 600. A cartoon of indomie noodles goes for N4, 500.
Surprisingly, a tuber of yam now costs N2, 800. Many Nigerians are now buying yam in halves.

Price of Yam in Nigeria as at 2021

According to a Food and Agricultural Organization report, Nigeria produced 18.3 million tonnes of yam from 1.5 million hectares in 1985, accounting for 73.8 percent of Africa’s total yam production.

Yams are abundant in the western part of the country from August to October. In contrast, yams are abundant in the North-central states of Benue, Nasarawa, and Niger from September to November.

Yet, the country is experiencing hardship.
Pepper is one of the commonly used spices in Nigerian kitchens.

There isn’t a complete meal that doesn’t include at least one type of pepper.

As a result, pepper production is a significant part of Nigeria’s crop production.

Dried chilies have a different taste than fresh chilies; thus, they’re used differently.

The dried and fresh versions of the same species frequently have different names and flavors, making it difficult to tell that they were once the same.

However, the recent virtual AllOn Media Engagement meeting organized by AllOn addressed many of the pressing issues, especially renewable energy.

Speaking during the session, CEO, Dr. Boer Wiebe, disclosed that in order to overcome the ordeal of cooking gas and benefit from the opportunities  renewable energy offers, it is important to understand the culture of the sector and the investment it places on the industry as well as the major objective to solve energy problems in Nigeria.

According to him, “The significant energy access gap in Nigeria means the biggest opportunities for  economy and social impact.

“There are challenges between 30 GW to 195 GW size of energy gap which would cost $40 to 200 billion to address.

“75 per cent of households and SMEs are either on off- grid or bad grid which results in people using light for four hours per day.

Despite our claims of being rich, there is still a massive power gap.

“120 million people affected in Nigeria now have the largest off-grid population in the world, with a negative impact on Nigerian socio-economic performance.

“20 million generators on diesel or petrol solutions still fill the gap, emitting 5-7 million WT of Co2 annually.

“If Nigeria would grow in the renewable system we have highlighted, we cannot continue to import everything into the country over the next 10 and 20 years. 

The chances and the opportunities are enormous.

The opportunities
He explained that, “Nigerians already spent on alternative energy solutions  about $15 to 20 billion which is 10 times the grid itself.

Investment opportunity of $10million in the mini grids for Nigerians. 10million SHs units estimated market size for Nigerians.

High willingness to pay 2.5 times India and 2 times East Africa. Mini grid, eligible customer and franchise regulations $500 million NEP, mobile banking regulatory charges.

Regional market for solar components. There is a massive energy gap. Essentially, we should have our national grid.

“Supporting the development of a pipeline of investible, scalable and sustainable off-grid energy businesses.

Investing debts and equity directly in existing energy forms to help grow and achieve scale.

Investing in enabling finance facilities that leverage additional capital for off-grid companies.

Facilitating an enabling environment to accelerate scaling of the off-grid energy sector.

“All On has a dynamic approach that combines investment, incubation and market development activities with strategic partners to deliver on its mission.

“Accelerating the closing of the access to energy gap in Nigeria with a special focus on the Niger Delta by increasing access to commercial energy products and services for all-grid.

“All these policies offered by the management of All On are an opportunity to engage with the media and provide answers to questions about our business approach, investments, short and long-term commitments, and the impact we are making in the sector, within Nigeria and particularly the Niger Delta.

Speaking on the Sustainable Energy for All (SEforALL) and Allon’s partnership, Wiebe stated that the collaboration is aimed at working to grow Nigeria’s market for sustainable off-grid energy solutions.

“The Federal Government of Nigeria requested the support of SEforALL and All On in analysing the potential to increase local content in the off-grid solar value chain and growing the local solar manufacturing industry.

Solar Value Chain Economic Model, he also explained that, the SEforALL, is to illustrate the potential for localizing the assembly or manufacturing of solar home systems and mini-grids in Nigeria.

It does this by helping companies and governments identify opportunities for efficiencies and economies of scale along the solar value chain.

Users can simulate the impact of key private and public sector levers on socio-economic indicators, such as product price, jobs created, GHG emissions, among others.

Also, the Investment Manager, Afolabi Akinrogunde reiterates that, the investment opportunities in renewable energy would have grown to 70 per cent mini grid space, solar energy systems, solar home systems, cold storage space in the next few years if women fully take advantage.

Vanguard News Nigeria

Subscribe for latest Videos

Disclaimer

Comments expressed here do not reflect the opinions of vanguard newspapers or any employee thereof.