Norwegian company lands deal to build 100MW solar project in Nigeria

folarin okunola

August 17, 2016 1:12 PM

This follows the 20-year Power Purchase Agreement (PPA) which the Nova Scotia project company signed with the Nigerian Bulk Electricity Trading Plc (NBET) on July 21, 2016.

Solar panel

Scatec Solar, yesterday announced that it had signed an agreement with CDIL, a Canadian renewable energy development company focused on Africa, and BPS, a Nigerian strategic consulting firm, to build a 100 MW power plant that will be called the Nova Scotia Power Plant and will be located in Jigawa State, Nigeria.

Per the deal, Scatec Solar will develop, build, own, and operate the solar power plant in Jigawa. The whole thing is expected to reach financial close in 2017 and start commercial operations 12 months after that.

This follows the 20-year Power Purchase Agreement (PPA) which the Nova Scotia project company signed with the Nigerian Bulk Electricity Trading Plc (NBET) on July 21, 2016.

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"Solar power in Nigeria has significant long-term potential, and we want to take part in the development of this new market. This investment is the culmination of an extensive review during which the Nova Scotia Power project stood out thanks to its exceptional fundamentals. With the quality of its site, development standards and equity funded by Scatec Solar and its partners, the project is ideally positioned to progress rapidly to financial close," said Raymond Carlsen, CEO of Scatec Solar.

"We recognized the importance of partnering with a sponsor able to bring the project to financial close and with whom we share a long-term vision. We are proud of teaming up with Scatec Solar, who has demonstrated its unique ability to deliver similar projects in Africa," said Arif Mohiuddin, president of CDIL's parent company, CPCS.

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