UK-based Konexa has finalized a deal that can see Local weather Fund Managers and Microsoft’s Local weather Innovation Fund make investments $18 million to ascertain Nigeria’s inaugural personal renewable buying and selling platform and supply renewable power to Nigeria Breweries.
Konexa, a UK-based built-in power improvement and funding platform, has achieved monetary shut on a $18 million funding to arrange Nigeria’s first personal renewable buying and selling platform.
The $18 million comes from Local weather Fund Managers and Microsoft’s Local weather Innovation Fund. With the funding, Konexa will set up the buying and selling platform and join its inaugural shopper, Nigeria Breweries PLC, to the grid with a 100% inexperienced power provide for 2 of its breweries.
Konexa is one in every of few corporations to have secured a personal power buying and selling license in Nigeria. Awarded by the Nigerian Vitality Regulatory Fee in June 2022, Konexa’s license permits it to supply renewable energy from impartial energy producers, transport it throughout the nationwide grid, and promote it to personal purchasers.
Its future transactions will likely be facilitated through its electrical energy buying and selling platform, which is predicted to boost power reliability and sustainability for offtakers, whereas contributing to the general resilience and effectivity of the nationwide grid. Konexa CEO Pradeep Pursnani mentioned the buying and selling platform “will allow us to combine sustainable power sources into the grid whereas serving to decarbonize the hard-to-abate business and industrial sector.”
Beneath the phrases of its settlement with Nigeria Breweries, Konexa will facilitate power transmission from the 30MW Gurara Hydro Energy Plant in Kaduna State, Northern Nigeria, to 2 of Nigerian Breweries’ Kaduna amenities, that are each presently off-grid and powered solely by fossil fuels. The venture may even see the deployment of a battery power storage answer to attach Nigerian Breweries to the grid.
With an annual provide of 20.5 GWh, the venture is predicted to stop 8,104 tons of CO2 equal emissions per 12 months, the equal of taking 1,800 automobiles off the highway.
“Traditionally, Nigeria has suffered from under-investment in its grid infrastructure, significantly relating to the distribution grid,” mentioned Darron Johnson, regional head of investments Africa at Local weather Fund Managers. “Konexa’s buying and selling platform will play a pivotal position in bridging this hole by effectively connecting third celebration, and, in future, its personal renewable power technology to C&I clients, serving to them obtain dependable, cost-effective and sustainable power independence whereas strengthening and enhancing the sustainability of the nationwide grid.”
Regardless of its huge photo voltaic potential, power poverty stays an issue in Nigeria, largely on account of points with grid infrastructure. Final 12 months, Nigeria’s Rural Electrification Company spoke to pv journal about ongoing efforts to unravel electrical energy challenges in rural areas of the nation.
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