As Nigeria’s renewable energy sector gears up for an influx of projects in the short to medium term, experience shows that the real measure of success isn’t the project’s activation but the achievement of its long-term objectives. We believe every new project promoter should consider how their initiative will be perceived five years after its inception. The following questions can guide the pre-project planning phase:
- Has my project achieved its objectives?
- Did it progress beyond the first phase?
- Was momentum maintained throughout the project’s lifecycle?
- What was the overall stakeholder perception regarding publicity, transparency, and access to information?
Experience demonstrates that the answer to these questions is often negative for most public-private partnerships. To address this, we present four key lessons derived from the case studies in Series I and II.
1. Find a Local Implementing Partner
A strong local implementing partner is essential not only for navigating the local landscape but also for sustaining the momentum beyond the initial phase. For example, the Rural Electrification Agency (REA) played a pivotal role in the successful coordination of the Nigerian Electrification Project, which included multiple funding phases. Similarly, Commercium Africa’s involvement in the Dutch government’s RenewableTechNigeria (RTN) initiative enhanced transparency and facilitated the project’s smooth execution.
2. Anchor the Project to a Thematic Area
In a vast country like Nigeria, with its immense renewable energy potential, stakeholders may struggle to identify where to start. While a local implementing partner can provide essential context, anchoring the project to a thematic area allows stakeholders to easily rally around it. For instance, the RTN project gained traction among companies due to the need for cold storage across various industries in Nigeria.
A thematic focus also makes it easier to assess the long-term impact of a project. For example, GIZ’s university electrification project remains easily identifiable and verifiable years after its completion due to its clear thematic focus. In contrast, projects like the Nigeria Electrification Project and the Solar Power Naija Programme lack this focus, making it harder to pinpoint their long-term beneficiaries.
3. Adopt Outcome-Based Metrics that Resonate Locally
A thematic focus simplifies the identification of long-term project outcomes, but it’s crucial to define how success will be measured from the start. In today’s world, dominated by energy transition discussions, many projects emphasize carbon emissions reduction. However, while this resonates with financiers, it may not engage local stakeholders.
Instead, proponents should consider metrics that reflect local priorities. In Nigeria’s commercial and industrial sectors, where energy costs are a major concern, cost-saving impacts from renewable energy alternatives may have broader appeal. Some direct, outcome-based metrics we recommend include:
- Cost savings in monetary terms
- Increased revenue
- Improved system uptime
- Reduction in lost productivity hours
4. Stay Ahead with Flexible Models to Address Affordability
Affordability remains a significant challenge for many projects. For instance, in the Nigeria Electrification Project, innovative models such as minimum subsidy tenders and performance-based grants facilitated the selection of private partners, accelerating solar adoption in rural areas that might otherwise have been overlooked. We recommend similar models for scaling up future rural initiatives.
However, project proponents must also consider the end user. For initiatives like RenewableTechNigeria that rely on third-party commercial partners, flexible payment models can help mitigate resistance to change. Freemium models, which allow stakeholders to experience value before committing to full payment, can also prove effective.
Conclusion
To ensure the long-term success of renewable energy projects in Nigeria, project proponents must focus on more than just activation—they must strive to achieve sustained impact. This begins with thoughtful pre-project planning, aligning initiatives with long-term public perception, and delivering measurable, meaningful outcomes. Lessons from previous case studies underscore the importance of local implementing partners, thematic focus, outcome-based metrics, and flexible models to address affordability concerns. By adopting these strategies, Nigeria’s renewable energy projects can overcome challenges and deliver lasting value to both stakeholders and communities.
