NB Plc partners Konexa on renewable energy￼
Nigeria’s largest brewer, Nigerian Breweries Plc yesterday signed a historic power purchase agreement with Konexa, an integrated energy development and investment platform to deliver 100% renewable energy that will fully cover the electricity needs of its two breweries in Kaduna state.
Under the terms of the ten-year agreement, Nigerian Breweries Plc has outsourced the power supply for its critical loads for its breweries, converting from fossil fuels into a full-service renewable energy solution, using hydro-power sources. This project is co-funded by Climate Fund Managers and Konexa.
Speaking during the official contract signing ceremony held at the company’s head office in Iganmu, Lagos, on Tuesday, May 17, 2022, the Managing Director of Nigerian Breweries Plc., Mr. Hans Essaadi, described the agreement as another significant milestone for NB Plc, saying – “By 2030, we want to become a standard reference point in Nigeria when it comes to sustainability and efficient use of resources. Under our Brew a Better World agenda, we are taking several bold steps to become a carbon-neutral company. This agreement represents another significant step in our journey, and we are excited to partner with Konexa to reduce our energy costs and cost of production,” Hans said.
In his remarks during the signing ceremony, the Commercial Director at Konexa, Joel Abrams, explained that the agreement is part of Konexa’s commitment to supporting industry, national governments, and utilities to achieve clean and reliable 24/7 power in Nigeria and beyond. He added that the partnership anchors Konexa’s confidence in the Nigerian power sector and will bring long-term investment and world-class operations to support the sector’s sustainability by improving reliability, quality of service, and job creation.
“We are very pleased to be part of the energy transition that Nigerian Breweries Plc. is leading. This agreement is particularly significant in the current context of increasing energy costs from traditional fossil fuels. This type of solution can apply to many businesses across Nigeria, allowing them to obtain cost-effective power from a reliable partner while focusing on their core business,” he added.
The Chief Investment Officer, Climate Fund Managers Tarun Brahma, said: “We are proud to support Konexa and look forward to actively supporting Nigerian Breweries Plc as they demonstrate leadership in driving the decarbonization of their operations in Nigeria”.
It would be recalled that in 2021, Nigerian Breweries Plc commissioned its 663.6 KWP solar power plant at its Ibadan brewery, which supplies 1GWh yearly to the brewery while reducing its carbon emissions by 10,000 tonnes over a 15-year lifespan of the plant.