A new approach aims to reconnect commercial and industrial (C&I) energy users to the grid, supplying daytime power from solar and batteries through grid infrastructure funded by PV installers, with diesel as a backup when needed. Contact online >>
A new approach aims to reconnect commercial and industrial (C&I) energy users to the grid, supplying daytime power from solar and batteries through grid infrastructure funded by PV installers, with diesel as a backup when needed.
As renewables represent a larger share in a region''s energy mix, managing the grid can become a challenge. With the right approach, though, solar and batteries can actually serve to support resilient electricity networks. That is the premise of a project led by US-based think tank the Rocky Mountain Institute (RMI).
With utilities in many sub-Saharan African nations crippled by debt and unable to fund vital infrastructure upgrades, conventional wisdom has it that cheap, on-site solar energy will sound the death knell for the big, centralized, often state-owned model of electricity generation and distribution.
The RMI and Lagos, Nigeria-based C&I solar installer Daystar Power, however, have formulated an approach they say can enable solar and electric companies to work together to deploy more PV while upgrading electricity networks.
The soaring cost of diesel in Nigeria, where the project is being piloted, will enable utilities to charge a sufficient premium to fund repayment of the solar company for those grid upgrades while still offering savings – and much more reliable supply – to customers. Solar energy will be generated and consumed by C&I clients on site, with the grid stepping in as supplier outside of solar generating hours, backed up by battery storage and diesel.
pv magazine spoke to Daystar Power and a representative of one of the three utilities that are on board to ask if the proposed "win-win-win" approach could offer hope for struggling electric companies.
On the question of how much new diesel generation capacity is envisaged under the scheme, the press release issued by Daystar and the RMI talked of "transitioning from diesel-fired generators to utility-enabled solar systems with backup battery storage," with only a brief mention at the end that backup diesel generators would continue to be used.
The full, 157-page study prepared by the RMI – and funded by the US Trade and Development Agency (USTDA), which promotes US business interests abroad – spells out just how much diesel capacity will be required to ensure sufficient electricity supply during non-solar-generation hours.
The first 20 companies targeted by the program would receive 14 MW of diesel generator capacity, with all but one of them deploying new equipment, perhaps from US-based Caterpillar and Cummins. That compares with 27.2 MW new solar and 20.2 MWh of lead-acid battery systems.
"In Nigeria – I won''t speak for [all of] Africa – we are very reliant on diesel," said Victor Ezenwoko, Daystar country head for Nigeria and Ghana. "The size of the generator needs to be big enough to step in if everything else fails. That doesn''t necessarily mean you''re always going to use it, versus solar which is going to be used every day as much as possible. For example, some businesses [under the new system] might use the generator six hours, or even two hours per day instead of 24 hours at the moment."
With Daystar acquired by oil major Shell in 2022, it''s easy to be cynical about diesel''s role in the proposed hybrid generation systems – especially since Shell refines its offshore crude oil into diesel in Nigeria, while trying to sell its onshore operations to local buyers, in a deal that could reach an estimated $2.4 billion.
Omosede Imohe, lead for distributed energy resources at Abuja Electricity Distribution Co. (AEDC), backed up Ezenwoko''s point by stating that the ratio of solar to battery storage to diesel envisaged is typical for fossil fuel-dependent Nigeria.
Diesel, she said, is "so expensive now that operators don''t even want to turn [generators] on The grid is too unstable not to have something [as backup]. If all goes well, that diesel generator should only come on for a few hours per month. The only reason there''s so much diesel in our project is because the grid is so unstable."
Suggesting people without access to reliable electricity should not continue to suffer because of concern about the genset element of the initiative, Imohe said, "With time, that diesel element of the project should be much less."
With Shell having had a long history of involvement as a major player in Nigeria''s oil industry, Imohe – whose role is part-funded by the RMI – was quick to point out the utility-led approach to C&I solar deployment would not solely benefit Daystar and that several smaller developers were also involved.
"It''s just an innovative way of funding [our operations]," she said. "The grid has been underinvested for decades, in part because the government did not want electricity tariffs to reflect market costs. Since privatization [of electric utilities], tariffs have not been cost-reflective."
Allaying concerns about the influence such a collaborative approach could give private companies over previously state-run utilities – the government still holds a 40% stake in AEDC – Daystar''s Ezenwoko said, "The key is advancing development. The grid companies want to expand and to raise their revenues and this partnership helps us get there. Because we are providing a service with one tariff to the customer, repayment becomes much more straightforward."
The RMI study estimated that 17 of the first 20 C&I customers targeted by the program could save an average 26% on their energy bills under the hybrid generation approach, even though the cost of energy would come at a premium to current grid costs. While many of the figures in the report are redacted, there is mention of a suggested blended tariff of NGN 169 ($0.11)/kWh.
The project is open about the fact that premium was required to bring utilities on board and to incentivize them to prioritize C&I customers benefiting from hybrid generation. With grids such as AEDC''s network already struggling, it may seem that customers outside the RMI plan could suffer even more but, as Imohe explained, Daystar-funded refurbishment of electricity lines will benefit all grid-connected clients.
Imohe said the utility could have funded operations such as replacing parts on poles, cutting back brush, and replacing customer transformers itself. "The regulator requires us to invest in infrastructure every year," she added. The AEDC representative said the attraction of the RMI''s approach was not the grid infrastructure investment but the more reliable nature of supply offered by the solar and storage systems.
About Yeti solar generator ghana
As the photovoltaic (PV) industry continues to evolve, advancements in Yeti solar generator ghana have become critical to optimizing the utilization of renewable energy sources. From innovative battery technologies to intelligent energy management systems, these solutions are transforming the way we store and distribute solar-generated electricity.
When you're looking for the latest and most efficient Yeti solar generator ghana for your PV project, our website offers a comprehensive selection of cutting-edge products designed to meet your specific requirements. Whether you're a renewable energy developer, utility company, or commercial enterprise looking to reduce your carbon footprint, we have the solutions to help you harness the full potential of solar energy.
By interacting with our online customer service, you'll gain a deep understanding of the various Yeti solar generator ghana featured in our extensive catalog, such as high-efficiency storage batteries and intelligent energy management systems, and how they work together to provide a stable and reliable power supply for your PV projects.
