ECONOMY

Solar Power program, will generate N7bn tax revenue every year_FG!!

The roll out of five million new solar power connections in off-grid communities is to generate an additional N7bn in tax revenues annually to Nigeria, the Federal Government has said.

According to the government, the programme was also expected to generate $10m in annual import substitution for the country.

The Managing Director, Federal Government-Owned Rural Electrification Agency, Ahmad Salihijo, told journalists on Tuesday that the solar connection scheme would expand energy access to 25 million individuals through the provision of Solar Home Systems or connection to a mini-grid. Salihijo, who disclosed this at a press briefing on the Solar Power Nigeria Programme in Abuja, said the initiative would also help to address the challenge of access to affordable finance through a Central Bank of Nigeria facility.

He said the facility would make low-cost local currency debt available to qualified companies, adding that the programme would increase local content in the off-grid solar value chain and facilitate the growth of the local manufacturing and assembly industry. He said, “Private companies will be supported to employ more Nigerians to be able to provide services in the area of manufacturing, distribution, installation and other project management and after-sales services.

“The programme also supports manufacturers and assemblers of solar technology to set up production facilities in Nigeria, in order to support the off-grid energy sector with about 250,000 new jobs.”

Salihijo said companies involved in the assembly/manufacturing of components of off-grid solar solutions must be 70 per cent Nigerian owned as the programme was meant to facilitate and spur local productivity.

He said, “Private companies will be supported to employ more Nigerians to be able to provide services in the area of manufacturing, distribution, installation and other project management and after-sales services.

“The programme also supports manufacturers and assemblers of solar technology to set up production facilities in Nigeria, in order to support the off-grid energy sector with about 250,000 new jobs.”

Salihijo said companies involved in the assembly/manufacturing of components of off-grid solar solutions must be 70 per cent Nigerian owned as the programme was meant to facilitate and spur local productivity.

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