Identifying Different Beliefs in Promoting Use of Renewable Energy in Nigeria

Research sponsored by
Social Responsibility Managers (SRM)
September 2015

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Introduction
This document is aimed at identifying the existence of different beliefs within the policy subsystem,
on how renewable energy should be promoted and applied within Nigeria. To do this, some of the
major policy actors from society, state, and international community were identified based on their
active involvement in renewable energy policy development. With reference to the activities of the
diverse policy actors, and assessment of draft policy documents, reports, and statements made
in press releases and other communication materials, an attempt was made to decipher the belief
held by the policy actors in promotion and use of renewable energy in Nigeria.

Solar Energy Society of Nigeria (SESN): SESN was created by a group of academics in 1980
(SESN 2010). Its time of creation is also around the period the international community began to
earnestly seek for alternative forms of energy to substitute the use of crude oil (Simon 2007;
Brachert & Hornych 2011). This quest for an alternative energy source was as a result of shocks
in price of crude oil in 1973 and 1979 which is often referred to as 1970s oil-price shocks (Simon
2007; Brachert & Hornych 2011). SESNs activities of Solar Energy Society of Nigeria were more
geared towards academic interests, including organization of academic conferences and
publication of scientific papers. However, the society from its early days (and also before its formal
establishment), had made attempts to reach out to government and influence policymaking in
support of renewable energy. The societys engagement with government was focused on
diversification of the nations energy mix to realize an increase in the share new renewables,
particularly solar energy.
At its formal inauguration, the then vice president of the country made a commitment to the cause
of the society and promised that the government will establish research institutes focused on
renewable energies (SESN 2010). As a sign of the societys strong influence on energy policy in
Nigeria, this commitment was materialized and four energy research centres were setup in
universities across the country in 1982, with two of them dedicated to renewable energy (SESN
2010).
Prior to the formal inauguration of the SESN, some members of the society had advocated for the
creation of an Energy Commission to serve as the primary policymaking body with respect to
energy issues and this had led to the enactment of an Act, the 1979 Energy Commissions Act,
which provided for creation of the Energy Commission of Nigeria (Ilenikhena & Ezemonye 2010).
The act was also amended in 1983 to include SESN as a member of the Technical Advisory
Committee (SESN 2010).
In addition to advocating for the creation of an Energy Commission in Nigeria, it is also likely that
the SESN took their cause beyond the geographical boundary of Nigeria and reached out to
influence other West African countries through the Economic Commission of West Africa
(ECOWAS). In 1982, at a Head of States meeting of ECOWAS, the member states adopted a
Declaration which mandated each country to setup an Energy Commission for coordination of
energy issues (ECN 2012). In expressing this injunction, special significance was given to the use
of solar energy. Given the level of Nigerias influence on ECOWAS at the time i.e. being the
highest financial contributor and country with largest population (Ojo 1980; Bach 1983), and the
progress being made in the country in coordination of energy policy issues, it is likely that the
decision by ECOWAS was based on SESNs influence.
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It can be said also that SESN may have aligned with the international communitys response to
addressing the issue of energy security in light of the oil shocks. This can be seen from the
resolution released from a UN conference on use of new and renewable sources of energy, which
held in Nairobi, in 1981. Based on the outcome of the conference, countries were urged to setup
national focal points to serve as the central coordinating body for use of new and renewable
energy (UN 1981). Addressing this coordinating body as a focal point can also been seen in the
description of the Energy Commission of Nigeria (ECN 2012), which is a likely indication that the
setup of the energy commission is in fulfilment of the decision made at the level of the United
Nations. Although SESN had successfully lobbied for the enactment of an act in support of
establishment of the energy commission before the UN conference held in 1981, it may be that
the recommendation was the consensus from an international expert community on energy
issues. As such, this recommendation, which can be said was aimed at addressing energy
security concerns was consistently reflected in decisions made in international forums on energy
issues. SESNs lobbying for establishment of a focal point for energy issues in Nigeria, can
therefore be said to be an evidence of its alignment with the belief of promoting renewable energy
for the purpose of ensuring energy security.
At the time of keen international attention on energy security and the need to develop alternative
energy sources, the efforts made at finding plausible solutions in poor countries were also aimed
at poverty alleviation (UN 1981). This is exemplified in linking the UN Nairobi declaration with the
Programme of Action on the Establishment of a New International Economic Order (UN 1974),
which stipulates the desirable conditions for developing countries, including self-reliance and
economic prosperity. SESN can be said to have aligned with this dual objective, as the projects
engineered by the organisations it influenced their creation i.e. the energy commission and
research centres were concentrated in rural areas and focused on solving challenges in poorer
communities within the country. As such, one might say that SESNs position on use of renewable
energy was on energy security and poverty alleviation.

International Centre for Energy, Environment & Development (ICEED): ICEED is a nongovernmental organisation working on energy and environment issues in Nigeria. The
organisation was established in the late 90s (ICEEED 2015) and it has played pivotal roles in
development of major renewable energy draft policy papers in Nigeria.
ICEED worked in partnership with the Energy Commission of Nigeria and the United Nations
Development Programme (UNDP) to develop a Renewable Energy Masterplan (REMP), which
was released in 2005 and was expected to serve as the policy implementation guide to the
renewable energy goals featured in Nigerias National Energy Policy (ECN & UNDP 2005). REMP
includes short, medium and long term projections for generation of energy from major renewable
energy sources namely - solar, wind, biomass and hydro. It also presents a framework for
promotion of the renewable energy sources, and proposed the use of other less popular
renewable energy sources namely - hydrogen cell, marine, ocean and geothermal energy. A
consideration of the projections presented in the document shows that the projects intended for
delivering the projections will likely be focused on rural/semi-urban areas but not targeted at urban
energy demands. For example, there was limited mention of on-grid renewable energy provisions
in the featured projects and the document clearly states that renewables are particularly suited
to meet the decentralized energy needs of poor rural remote community institutions such as
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hospitals, dispensaries, schools, and farmer training centers (ECN & UNDP 2005, p.25). In a
way, this stated position may be said to show ICEEDs standpoint on use of renewable energy
which is for the purpose of poverty alleviation.
In 2006, ICEED also partnered with another government agency, the Ministry of Power, to author
the Renewable Electricity Policy Guideline and the Renewable Electricity Action Program. In
contrast to the initial document developed in partnership with UNDP and ECN, these documents
were focused solely on the electricity sub-sector and they gave significant attention to on-grid
renewable energy consumption. However, the theme of poverty alleviation can be said to still
resonate in the document. This can be perceived in the proposal for establishment of the
Renewable Electricity Trust, which was intended to provide the funds needed to achieve the
proposed plans outlined in the policy guideline document. According to the document, a major
part of the fund is expected to be sourced from the rural electrification fund. This shows that most
likely than not, the projects evolving from the program will be directed at rural areas to address
challenges of poorer people within the country. This focus in a way, emphasizes the belief of
ICEED, which is more inclined to use of renewable energy for poverty alleviation.
The projects developed and implemented by the organisation in its own individual capacity also
sheds light on its stance with respect to use of renewable energy. Aside its policy-focused
activities, many of the projects implemented by ICEED are mainly designed to meet the needs of
people who are less well-to-do and are targeted at rural communities. A major example of such
projects include the promotion of efficient woodstoves, a dominant method of cooking for people
living in rural areas (Miah et al. 2009).
In addition to showing a belief in use of renewable energy for poverty alleviation, ICEEEDs
activities are also linked to environmental concerns, particularly climate change. ICEED leads the
Nigerian Climate Action Network and it facilitated the development and passage of a bill for
creation of a National Climate Change Commission (ICEEED 2015). In addition, even though its
woodstove project is a renewable energy project, it is also stated to be directed at mitigating the
destruction of forests and achieving total elimination of smoke (ICEEED 2015). The major
features of the organisations full name i.e. energy, environment and development, can also be
said to be an indication of the summary of what the organisation is focused on and what drives
its activities. Based on this, one may say that ICEEDs position on use of renewable energy is on
addressing environmental and development concerns.

Energy Commission of Nigeria (ECN): The Energy Commission was established through the
enactment of the 1979 Energy Commissions Act and began operations in 1988 (ECN 2012). The
eventual commencement of operations after about nine years of its formal establishment can be
linked to the signing of the Nairobi Declaration by the Nigerian government in 1982, which notes
that all member states should setup energy commissions to coordinate energy issues in the
countries (ECN 2012).
Upon assumption of its mandate, the commission took charge of the energy research centres
which had been established through the efforts of the Solar Energy Society of Nigeria. It also
developed an energy policy document in 1993 which overrode an initial energy policy-related
document, the Energy Policy Guideline, developed by another state agency, the Federal Ministry
of Science and Technology (Federal Republic of Nigeria 2003). The document developed by the
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Energy Commission, the National Energy Policy (NEP), was submitted to the Federal
Government for its approval and after the policy had gone through two inter-ministerial committee
review processes in 1996 and 2002, it was eventually approved by the Presidency in 2003
(Federal Republic of Nigeria 2003).
The perceived viewpoint of ECN with regards to use of renewable energy can be said to be related
to that of its founding organisation, the Solar Energy Society of Nigeria (SESN). It is interesting to
note that since its inception, the commission has been headed by persons affiliated to SESN and
one of them had also served as the president of SESN. Also, despite the mandate of ECN
covering all energy subsectors including oil and gas, coal and tar sands, ECN seems to
concentrate more on renewable energy and it is one of the prominent public organisations
advocating for use of renewable energy in Nigeria (Ikemea & Ebohonb 2005; Ajayi 2009). The
seeming concentration on renewable energy may have been the design of ECNs founding
organisation, with the expectation that renewable energy will dominate energy demand and
consumption in Nigeria, and this new alternative will be given due consideration in making energy
investment decisions (Efurumibe 2013). ECN has continued to reflect SESNs ideals and has
remained outspoken on the need to increase share of renewable energy in the nations energy
mix.
As discussed earlier, SESN promoted the use of renewable energy with the perceived objective
of energy security and poverty alleviation, and championed the inclusion of renewable energy,
particularly solar energy, in Nigerias energy mix. As a result, the Energy Commission domiciled
the issue of renewable energy in the national energy policy. Many of the projects implemented by
ECN also portray this intent (ECN 2012). The projects are implemented in rural areas and are
targeted at meeting energy demands of the poor. For example, of a list of fifty-eight renewable
energy projects listed by the ECN on its website, more than fifty of them were described as solarbased rural electrification and solar-based rural street lightning.
In 2005, ECN collaborated with United Nations Development Programme (UNDP) to develop the
Renewable Energy Masterplan (REMP) (ECN & UNDP 2005). The document was submitted to
the Federal Government for its approval, but this is yet to be granted. As highlighted in an earlier
section discussing the International Centre for Energy, Environment & Development (ICEED),
REMP document is primarily targeted at a development objective, whereby renewables are
intended to be utilized by the countrys poor. This can also be said to reflect the identity of its
sponsor, i.e. the United Nations Development Programme (UNDP), whose sole aim is to drive
development programs in poor countries (UNDP 2015b).
REMP can be said to reflect in ECNs major activities than its first developed document, the
National Energy Policy (NEP). Within the NEP document, bold goals were set for non-renewable
energy sources such as coal. According to the document, the nation intends to pursue vigorously
a comprehensive programme of resuscitation of the coal industry (Federal Republic of Nigeria
2003, p.18). However, based on information provided on its website, ECN is yet to implement a
pilot project on use of coal, but its portfolio of renewable energy projects is large. The contrast in
the dedicated ambitions for renewable energy stated in REMP and the diverse interests put
forward in the National Energy Policy, may be explained by considering the reviewers of the final
version of the Energy Policy. In doing this, what one would observe is the obvious absence of the
Solar Energy Society of Nigeria as member of the inter-ministerial committee. Therefore in
reflecting SESNs objective, REMP document highlights promoting use of renewable energy for
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poverty alleviation, while in the energy policy document which did not have an input from SESN,
this was not the case. Another explanation for this can also be gleaned from the circumstances
which led to the setup of the 2002 inter-ministerial committee and final approval of the policy. As
clearly stated in the final document, the draft energy policy was brought forward for review in order
to ensure appropriate governance structure was put in place, to support the privatization exercise
being pursued by the then government, to ensure provision of electricity across the country
(Federal Republic of Nigeria 2003). This analysis helps to ascertain the energy commissions
likely belief on promotion and use of renewable energy, which is synonymous with SESNs i.e.
promotion of renewable energy security to achieve energy security and poverty alleviation.

Federal Ministry of Power: The Federal Ministry of Power, which used to be named Federal
Ministry of Power and Steel, is a federal government agency dedicated to managing the electrical
power subsector (FMP 2013a). It has the responsibility of making policies for the sub-sector and
coordinating its activities.
In 2006, the ministry produced two documents on renewable energy electricity namely - the
renewable electricity action programme and the renewable energy electricity policy guidelines
(ICEEED 2015). The two documents were developed in partnership with a non-governmental
organisation, the International Centre for Energy, Environment & Development. As noted earlier,
on-grid connections featured significantly in the two documents, but the source of funding for
implementing the plans outlined in the documents, was intended to be the rural electrification fund
(ICEEED 2006). This would have likely implied that the projects will be carried out in the rural
areas. This supposed intent may be said to be affirmed by the structure of the ministry, as the
department saddled with managing renewable energy decisions is the department of renewable
and rural power access (FMP 2013a). This in a way shows that the ministry is aligned with
promoting renewable energy to address poverty alleviation, just as SESN, ICEED and ECN.
Recently, the ministry had been the focus of some international development partners in
facilitating the development of a concise renewable energy policy for the country. The European
Union (EU), German Agency for International Development (GIZ), and United States Agency for
International Development have provided financial support to the ministry to develop the National
Renewable Energy Plan, Energy Efficiency Action Plan and the Sustainable Energy for All
(SE4ALL), and then consolidate these into a renewable energy and efficiency policy (FMP 2015).
The final consolidated document was presented at an occasion in August 2015 (FMP 2015).
Although the content of the policy document is yet to be available on the internet, but based on a
news publication officially released by the ministry, it seems the focus of the policy is on rural
electrification (FMP 2015). As against the funding option stated in the 2006 renewable energy
policy guidelines document, it seems the new policy recommends a private sector-led funding
option, which is in line with the federal governments intended privatization of electric power
provision.
The privatization exercise embarked upon for the power sector in a way highlights another belief
of some policy actors for use of renewable energy in the country. In Nigeria, provision of electricity
has remained a major recurring issue on public and governments agenda for over two decades
(Idris et al. 2013; Ramli et al. 2013). Newly sworn-in governments often declare an electrical
power generation target for its administration and develop varying policies and programs to
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accomplish the set target (Ewanfoh 2010). Unfortunately, many of the governments record poor
performance and do not meet the target, thereby leaving the issue of electrical power provision
unsolved and a critical issue on the public agenda (Idris et al. 2013; Ramli et al. 2013; Echewofun
2014). Based on recommendation from the IMF and World Bank, the government in 2005 made
the decision to privatise the electrical power sector through the enactment of the ESPRA Act
(Bacon & Besant-Jones 2001; Turkson & Wohlgemuth 2001). Also, it was on the premise of
privatization of the sub-sector that the draft National Energy Policy was finalized and approved in
2003 (Federal Republic of Nigeria 2003). Although the privatization exercise was stalled between
2007 and 2010, it assumed an accelerated progress by end of 2010, during which it was decided
that government funds would not be committed to renewable energy projects but will be driven by
private funds in order to ensure assured provision of electricity (The Presidency 2013).
This privatization program highlights another intent to use of renewable energy in the country. It
shows that some policy actors consider renewable energy as a possible means to private sectorled provision of electricity. Being the leading policy-making body for the electrical power
subsector, the Ministry of Power aligned its function and objective with the privatization drive and
now, its function is categorically stated as to provide the nation with adequate and reliable power
supply by implementing generation, transmission and distribution projects in the sector and
facilitating the emergence of a private sector led competitive and efficient electric power industry
(FMP 2013b, p.1)

United Nations Development Programme: UNDP supports and funds promotion and use of
renewable energy in Nigeria (UNDP 2012). In 2005, it sponsored the development of the
Renewable Energy Masterplan and in 2012, it sponsored a review of the document (ECN & UNDP
2005; ECN & UNDP 2012). The masterplan document represents the pioneer renewable energy
draft policy but, it is yet to be approved by the Presidency (Sambo 2005). In addition to promoting
renewable energy as an energy sector component, UNDP also supports the Federal Ministry of
Environment in addressing environmental concerns through the use of renewable energy (UNDP
2013). The UN agency helped set up a Renewable Energy Programme domiciled with the Federal
Ministry of Environment. It also contributed funds to a public investment bank, the Bank of Industry
(BOI), to provide small loans to businesses so that they can access renewable energy solutions
(UNDP 2012).
UNDPs efforts at driving the use of renewable energy in the country is situated under its
sustainable development portfolio (UNDP 2012). As such and based on information on the
organisations website, its activities related to renewable energy have been geared more at
addressing climate change concerns and concentrated in rural locations (UNDP 2012). UNDP
also supported the development of the National Policy on Climate Change and was able to secure
its approval in 2013 (UNDP 2013; LSE 2015). According to an analysis of the policy by the London
School of Economic and Political Science, the policy includes concrete targets in the area of
energy supply (LSE 2015, p.1). Based on these, UNDPs intent on promotion of renewable
energy can be said to be poverty alleviation and addressing environmental concerns.
Recently however, UNDP has been involved in activities that can be linked to the electrical power
sub-sector privatization. In April 2015, the UN agency secured funding from the Global
Environment Fund (GEF), to facilitate on-grid renewable energy investment and active private
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sector participation in the industry (UNDP 2015a). UNDP also hopes that the project will yield the
construction of a 100MW grid-connected solar power plant. These plans are in contrast and likely,
a deviation from the public-led and rural-based initiatives which the agency had hitherto promoted
via the Renewable Energy Masterplan and Renewable Energy Programme. It also indicates an
alignment with the privatization drive position of the Ministry of Power and as a result, UNDP can
be said to share in the belief of use of renewable energy as a possible means to private sectorled provision of electricity.

European Union (EU), German Agency for International Development (GIZ), and United
States Agency for International Development (USAID): The EU, GIZ and USAID are partnering
with the Ministry of Power to develop a holistic renewable energy policy for Nigeria (FMP 2015).
In 2013, GIZ launched its Nigeria Energy Support Programme with policy reform and on-grid
renewable energy as part of its aims (GIZ n.d.). In particular, GIZ links its program to the electrical
power sector reform, which is primarily dedicated to realising a private sector-led electrical power
sub-sector.
USAID drives its efforts on promoting use of renewable energy in Nigeria through its Power Africa
Initiative, which also began in 2013 (USAID 2014), while EU incorporates its efforts as part of its
agenda for change, which seeks to address most strategic and growth oriented issues in
developing countries (European Commission 2015). This coalition of development partners
tackles the issue of developing a renewable energy policy for Nigeria by focusing on the electrical
power sub-sector and aligning with the federal governments privatization exercise (GIZ n.d.). In
doing this, the coalition domiciled the development of the policy with the Federal Ministry of Power
(FMP 2015).
In developing a renewable energy policy for the country, there was consideration to ensure the
participation and contribution of other relevant government agencies with relations to promotion
and use of renewable energy. As a result, the ministry of power reached out to the different
agencies including the energy commission and the ministry of environment (FMP 2015). Also
following in the process which led to the approval of the National Energy Policy, the ministry of
power constituted an inter-ministerial committee in developing and reviewing the policy (FMP
2015).
Apart from funding the development of a renewable energy policy in Nigeria, some of the funding
bodies, namely the EU and GIZ, also work with the regional body, ECOWAS, in promotion of use
of renewable energy across the region (ECREEE 2013a). In 2008, ECOWAS setup the Centre
for Renewable Energy and Energy Efficiency (ECREEE) and through the work of the centre, a
renewable energy policy and an energy efficiency policy were developed (ECREEE 2013b).
These policies were approved by member states in 2012 and based on the provisions of the
policies, each country was under obligation to propose national action plans and measures for
achieving the approved policies (ECREEE 2013b).
Securing a buy-in from ECOWAS has seemed to work in favour of getting Nigeria on board an
internationally-promoted policy, specifically in relations to energy policies. This may be as a result
of its leadership image within the sub-continent (Ojo 1980; Bach 1983) and the strategy can be
said to have been fruitful in getting Nigeria to set up an energy commission in 1988 (ECN 2012).
Altogether, it seems the coalition took care in identifying with a pressing issue in the country i.e.
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provision of electricity (Ramli et al. 2013), aligning with the federal governments proposal for
addressing the challenge i.e. privatization of the electrical sub-sector (The Presidency 2010) and
adopting strategies that had led to successful policy adoption in the past, primarily, the setup of
an inter-ministerial committee (Federal Republic of Nigeria 2003).
The outcome of these was successful development of a draft policy document, the renewable
energy and energy efficiency policy. Also, upon its completion, the document was submitted to
the Federal Executive Council in 2014 (GOPA International Energy Consultants, 2014), and on 6
May 2015, the President assented to the document (Punch, 2015; Daily Times, 2015), making it
the officially approved policy on use of renewable energy in Nigeria.

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