Scaling Utility-Enabled Distributed Energy Resources in Nigeria

Reports Nigeria
14.06.2024
RMI, GEAPP

Scaling Utility-Enabled Distributed Energy Resources in Nigeria: A Roadmap to Boost Distribution Company Revenues and Improve Power Availability and Reliability for Customers

The roadmap outlines a significant investment opportunity of over $8 billion in deploying Distributed Energy Resources (DER) across five Nigerian DisCos over the next 10 years, scaling to nearly $14 billion nationwide. Solar PV is projected to be the dominant DER technology outside Lagos, while gas will play a larger role within Lagos due to space constraints. DisCos, by collaborating closely with developers, can strategically deploy DER solutions to enhance revenue and financial performance, benefiting customers with reduced energy costs and developers with cost-reflective tariffs. DER implementation can significantly reduce carbon emissions, contributing to 8% of Nigeria’s total 2022 emissions reduction. The Roadmap provides guidance for strategic goals, calls for collaboration among stakeholders, outlines utility-enabled DER business models, and offers action-oriented recommendations in four priority areas to achieve DER potential.