Nigeria: Arla Foods Nigeria To Build 750KVA Capacity Solar Power Plant

Maker of Dano milk, Arla Foods Nigeria has unveiled a four-year energy transition plan to build a solar power plant for its state-of-the-art dairy farm in Kaduna State, with a target of 750KVA installed capacity by 2027.

This was disclosed by the Managing Director of Arla Foods Nigeria, Peder Pedersen while speaking during the opening session of the 2023 Nordic Nigeria Connect held in Lagos.

According to Pederson, the energy transition plan aligns with the company’s sustainability strategy and vision to create a future of dairy that brings health and inspiration to the world by taking actions that support a stronger planet and improve the environment.

He noted that the farm located in Damau has been operating on diesel generators since its inauguration in May 2023, as it is not connected to the national grid.

Giving the breakdown of the company’s plan for the implementation of solar power, the Senior Manager, Corporate Affairs, Akalaka Obazei stated that phase one of the project would be a hybrid solution of 250kVA standard solar plus diesel that would lead to an annual diesel cost saving of about 143, 910 Euro while reducing carbon emissions by about 300 – 350 tons per year with a one-year payback period.

She said the power generation is expected to grow to 550kVA installed capacity between 2024 and 2025, while the full potential of up to 750kVA is to be achieved by 2027 when the farm reaches full operation.

On financing for the project, she noted that Arla’s 8500 farmer-owners would bankroll the project as the team strongly believes in the energy transition in line with their long-time commitment to sustainability.