‘Nigeria needs tax waiver, subsidies to transition to renewable energy’

The Marketing Manager at Jubaili Bros Solar, George Kai, in this interview with WALIAT MUSA, discusses the roadmap for transitioning sustainable and green energy, delving into the challenges, opportunities, and actionable steps that can propel Nigeria towards achieving its renewable energy goals.

Nigeria has relied on generators for many years in the face of poor electricity supply. How can we change the narrative and transition to renewable energy? 
Nigeria has immense potential for renewable energy, but there are several hurdles to overcome. First, we need to modernise and expand our electricity grid. Without a solid infrastructure, integrating renewable sources like solar and wind is tough. Imagine trying to drive cars on non-existent roads; the grid is like those roads for electricity.

Policies are crucial. The government needs to offer incentives like tax breaks and subsidies to attract investments. For instance, if a company knows it will get significant tax breaks for installing solar panels, it is more likely to invest. Public awareness is another key element. People need to understand the benefits of renewable energy, not just for the environment but also for their wallets. If more people knew that solar panels could significantly cut their electricity bills over time, adoption rates would soar.

Also, investing in research and development to improve the efficiency and reduce costs of renewable technologies is essential. The more we innovate, the cheaper and more efficient renewable energy becomes, making it an attractive option for everyone. Supporting universities and tech startups working on the next big breakthrough in energy tech will be key.

Don’t we have sufficient policies to support the transition to renewable energy?
The Nigerian government has made some progress. Policies like the National Renewable Energy and Energy Efficiency Policy (NREEEP) aim to boost renewables in our energy mix. The Renewable Energy Master Plan (REMP) sets targets and strategies, acting as a roadmap for coordinated efforts across sectors. The Feed-in Tariff (FiT) system guarantees prices for renewable electricity, giving investors’ confidence to fund new projects.

As for us, we align our strategies by partnering with government agencies and stakeholders. These partnerships ensure we are all working towards the same goals, pooling resources for a bigger impact. We comply with policies and actively participate in advocacy to create a favorable regulatory environment. We’re constantly innovating to offer solutions that meet local needs and support national goals, developing technologies and business models that work well in the Nigerian context.

What are the anticipated economic benefits of transitioning to renewable energy for Nigerian businesses and communities?
The economic benefits are huge! For starters, businesses and communities can save a lot by reducing their reliance on expensive generators and imported fuel. There is also the aspect of energy security, having a reliable energy supply boosts productivity and economic activities. Plus, there are health and environmental benefits from reduced air pollution. On the job front, the renewable energy sector is set to create a tonne of new jobs in manufacturing, installation, maintenance and R&D. We are also looking at developing a skilled workforce through training programs. All of this can lead to significant economic diversification, opening up new industries and opportunities.

How do you think the issues relating to intermittency and storage of renewable energy problems can be addressed?
This is one of the biggest challenges with renewables. To tackle intermittency, investing in advanced energy storage systems like batteries is crucial. These can store excess energy generated during peak production times for use when production is low. Hybrid systems that combine different energy sources can also help balance things out. Improving grid infrastructure to better integrate renewables and manage supply and demand fluctuations is another key strategy. And implementing demand response programs can help adjust energy consumption patterns based on availability.

Jubaili Bros Solar was established in 2017. Can you share successes and challenges?
We have had some great successes since 2017. We have completed several solar energy projects across Nigeria, making a significant impact on electricity access and reducing carbon emissions. We’ve also established a strong presence and reputation in the market. However, it hasn’t been all smooth sailing. Navigating the regulatory environment can be tough, and securing financing for large projects is always a challenge. We’ve also faced technical issues related to system design and installation in diverse environments. But each challenge has been a learning experience that has helped us grow and improve.

What roles should the public and private sectors play in accelerating Nigeria’s transition to renewable energy and how crucial are public-private partnerships (PPPs) in achieving Nigeria’s targets?
Both sectors have vital roles to play. The public sector needs to develop and enforce supportive policies, provide financial incentives and invest in infrastructure improvements. The private sector should focus on investing in projects, innovating to overcome challenges and partnering with the government and other stakeholders. PPPs are crucial. They allow us to pool resources, share risks, and leverage the expertise of both sectors. We’ve seen successful models of these partnerships in other countries, and we can replicate that success here.

What do you think are the key enablers to triple renewable utilisation by 2030?
That is a huge goal, but doable with the right approach. First off, having strong policies and regulations in place is a must. Governments need to set clear, long-term renewable energy targets and make it easier for projects to get off the ground. Financial incentives like subsidies and tax breaks can make a big difference too.

Investments are another big piece of the puzzle. We need both public and private sectors to invest heavily in renewable infrastructure. Green bonds and low-interest loans can help attract private investors.

Technological advancements are crucial as well. We need continuous innovation in solar, wind and energy storage technologies to make them more efficient and cost-effective.

And of course, we need to upgrade our grid infrastructure to handle more renewable sources. Smart grid technologies can help manage the flow of electricity better.