PAS Solar Nigeria

Energy-as-a-service business in Nigeria providing affordable and sustainable long-term access to clean power for off-grid customers is expanding its in-country footprint.

A solar home system distributor that provides affordable and clean energy solutions to off-grid homes and businesses in northern Nigeria using a unique energy-as-a-service business model is expanding its customer base in the south of the country.

By offering energy-as-a-service, PAS Solar’s customers do not buy the kits but rather pay a fixed monthly fee for use of electricity generated. This allows the company to sell power at a lower cost than if it sold the kits, since payments are spread over a much longer duration. Further, customers are assured of power as the company assumes responsibility for permanent working of the system, including full life cycle service of the equipment and batteries.

The solar kits include a 50Wp solar PV panel and a 17Ah battery. Without them, most low-income families and micro-businesses across the regions have to rely on expensive diesel generation, kerosene lamps and drycell torches for home lighting and other electrical appliances – or simply go without electricity altogether.

To date, PAS Solar has established around 4,400 connections for households and micro-enterprises, providing first time clean electricity to over 21,800 people. The company currently employs 60 staff and over 100 agents and has eight distribution centres – or “hubs” – in the north of the country and one in the south, and is planning on opening a second southern hub imminently.

PAS Solar is participating in the National Electrification Program (NEP) administered by Nigeria’s Rural Electrification Agency (REA) funded by the World Bank. This programme serves to lower the cost of the connections to PAS Solar’s customers.

REPP has provided a loan of USD 2.2m and equity of USD 1.6m as it assists PAS Solar to solidify its position in the market.

Funding structure

Loan

Contracted date: 4 April 2019

Amount: USD 2.24m

Equity

Contracted date: 2 December 2019

Amount: USD 1.6m

 

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Since I installed PAS in my bakery I have noticed I make more profit because I spend less on energy and have more time for production.
- Annur, baker