Nigerian Breweries, Crossboundary Sign $10m Renewable Energy Contract
07 Nov 2022

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Nigerian Breweries Plc (NB) and CrossBoundary Energy has announced the commencement of two renewable energy (solar and battery storage hybrid) projects for NB Plc’s Ibadan and Ama breweries in Oyo and Enugu States.

Valued at the sum of $10 million, this will be one of the largest renewable energy projects for a business in Nigeria, the brewing company said in a statement, yesterday.

As part of this agreement, CrossBoundary Energy will expand the current renewable energy system at NB’s Ibadan Brewery from a 663 kWp solar PV plant to a hybrid solar-plus-storage facility consisting of a 3 MWp solar PV system and a 2 MW/2 MWh battery energy storage system (BESS). NB’s Ama brewery will receive a 4 MWp solar PV plant and a 2 MW/2 MWh BESS.

The solar plants combined will supply approximately 10 GWh annually to the Ibadan and Ama breweries at a significant discount to their current cost of power.

This project will reduce the site’s CO2 emissions by 100,000 tonnes over the lifespan of the plants.

Cross Boundary Energy will fully finance the development and construction of the Ibadan and Ama renewable energy facilities, and will operate both facilities as part of a 15-year solar services agreement with NB. Under the agreement, NB will only pay for solar power produced, receiving a single monthly bill that incorporates all maintenance, monitoring, insurance, and financing costs.

This milestone is another significant step in strengthening the five years partnership between Nigerian Breweries and CrossBoundary Energy. Recall that both companies had partnered to complete the first phase of NB Plc’s solar power project in its Ibadan brewery which was commissioned in 2021 – a first of its kind in Nigeria.

Managing director of Nigerian Breweries, Hans Essaadi, said: “We are delighted to be a pioneer in the adoption of solar energy in Nigeria. These additional solar plants will provide a significant portion of our electricity needs and put us well on our way to Carbon Neutrality. Expanding our renewable energy capabilities will ensure that Nigeria Breweries delivers on our environmental commitments under our Better A Better World (BABW) Sustainability initiative, and is in line with the global Net Zero targets set by our parent company HEINEKEN.”