JULY 2021 | VOLUME 27 - Sahel Consulting
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EDITORS’ NOTE We are excited to present the twenty-seventh issue of the Sahel Quarterly, focused on powering agriculture in Africa and the need to ensure access to adequate and affordable energy to improve food security across the continent and livelihoods of key actors in the sector. Energy poverty remains a severe challenge across Africa. Africa accounts for 17%1 of the global population, yet it only accounts for about 3%2 of the global energy consumption. According to the International Energy Agency, over 600 million3 people in sub-Saharan Africa have no access to electricity, and millions more experience unreliable electricity supply. In rural communities, which are primarily agrarian and produce most of the population's food requirements, only 28%4 of the population have access to electricity. The lack of access to adequate and affordable energy on the conti- nent currently hampers food production, impedes food security, Ifeoluwa Olorunipa and stalls the growth of the agriculture sector. The lack of adequate Consultant and affordable energy in the sector is evident in the high costs of Sahel Consulting engaging in large-scale mechanized farming, post-harvest losses arising from poor food storage and transportation conditions, and rising food costs due to high production costs. All of these exert pressure on food systems, rendering them vulnerable. To foster the development of the agriculture sector in Africa and produce sufficient food for its growing population, improving access to affordable energy across the nodes of the agricultural value chain is critical. Powering agriculture through improved ac- cess to adequate and affordable energy sources presents benefits such as reduced pressure on food production systems, reduced post-harvest losses, greater environmental benefits, and ultimately stronger food systems. This quarterly presents practical solutions for stakeholders to alleviate energy poverty and improve access and usage in the agriculture sector to achieve economic and environmental benefits. Ayodeji Ojo We hope that this quarterly will inform, educate, and spur action to ensure that the actors within the agriculture sector in Africa can Manager, leverage energy for sustainable food production and food security Monitoring, Evaluation and on the continent. Learning Sahel Consulting ———————————————— 1. Statista 2021, Distribution of the global population by continent 2020, Available at: (Accessed: 29 May 2021). 2. Global Energy Statistical Yearbook 2021, Electricity Domestic Consumption, Available at: May 2021, (Accessed: 29 May 2021). 3. International Energy Agency (2019). Africa Energy Outlook 2019. Available at: (Accessed: 29 May 2021). 4. World Bank (2019). World Bank Open Data. Available at: (Accessed: 29 May 2021). www.sahelcp.com | www.sahelconsult.com | www.nourishingafrica.com Sahel | Page 2
TABLE———— OF CONTENTS 04 ——————— Powering Agriculture in Africa 06 ——————— Making a Case for the Use of Renewable Energy in Agriculture in Africa 08 ——————---- Reducing Food Loss in Africa through Increased Energy Accessibility 10————-——— Leveraging Mini-grids in Powering Agriculture in Africa 11 ———————-The Need for Energy in The Urban and Peri-Urban Food Systems in Africa 13 ———————-Public Sector Support to Ensure Energy Access in the Agriculture Sector in Nigeria 15 ——————— Using Smart Markets to Tackle Energy Poverty in the Agriculture Sector in Africa SAHEL AND NOURISHING AFRICA UPDATES 19———————- Sahel Partners Receive Alumni Achievement Award from Harvard Business School 21 ———————- Nourishing Africa turns 1! 22 ———————- Sahel Partner Launches New Book on Scaling Resilient Agriculture Business 24 —-—————— Sahel Consulting, in Partnership with a Consortium Of Implementing Partners, Launches Programme on Behalf of the Nigeria-Netherlands Seed Partnership to Boost Food Security in Nigeria with Quality Seeds 26 ——————— Sahel Consulting Provides Capacity Support to the Federal Ministry of Agriculture And Rural Development In Nigeria 27 ——————— Sahel Consulting Speaks 29———————- Sahel Capital Speaks 30——————— Nourishing Africa Speaks www.sahelcp.com | www.sahelconsult.com | www.nourishingafrica.com Sahel | Page 3
POWERING AGRICULTURE IN AFRICA BY HAJARAT OKENLA T he agriculture sector in Africa has the potential to and food producers will involve efforts from stakeholders to: deliver significant economic benefits while supporting • Create an Enabling Environment for Private Sector livelihoods and improving food security. According to Participation: Governments must create an enabling the President of the African Development Bank (AfDB), environment for mobilizing resources and fostering Dr. Akinwumi Adesina, the continent is urbanizing so rapidly, private sector investment in the energy sector through and the agribusiness sector is projected to be worth $1 trillion their policies. Governments should implement policies by 20305. However, this projection is not guaranteed due to that will catalyse the development and promotion of the lack of robust energy services in the agriculture sector. modern energy techniques towards building sustainable businesses and creating economic opportunities. “~600 million people in Africa did not have access • Reform Public-Private Partnerships: Public sector actors to electricity in 2019”. must leverage partnerships with private companies while International Energy Agency (IEA) taking advantage of their economic tendencies and competitiveness. The government could also serve as a regulator in facilitating the generation, transmission, and According to the International Energy Agency (IEA), ~600 distribution of energy in various competitive forms and at million people in Africa did not have access to electricity in affordable prices. Private sector organizations and donor 2019. Additionally, about 69% of the population use biomass as fuel6. Currently, the agriculture sector is responsible for organizations should be encouraged through policies and incentives to crowd-in investments to the energy sector. about 2% of total energy use across the continent7. Large-scale investments in the sector can also ensure that Furthermore, the population in several African countries, the identified natural resources in African countries are especially in rural communities that are primarily agrarian, suffer from energy poverty - the lack of access to reliable processed into value-added energy sources. affordable, and modern energy sources8. Most farms in rural • Harness Opportunities Within Global Programs: In communities cannot adequately access modern and clean collaboration with private sector organizations and energy due to the difficulty in connecting to centralized non-governmental organizations (NGOs), governments power grids. Quite often, modern and clean energy is also could build on existing initiatives in the landscape to unavailable for food producers in remote communities. enhance the population's access to energy. An example is However, Africa has the potential to generate energy for use the Global Commission to End Energy Poverty, which in the agriculture sector. According to the African Energy supports actors across the private and public sectors, Commission (2018), countries in Africa possess exploitable such as investors and policymakers, by recommending hydroelectric energy potential, estimated at ~13% of the coordinated actions to provide energy to underserved world's total. More than 15 African countries have excellent homes and businesses. potential for wind energy, accounting for ~29% of the world's resources, and the Rift Valley, running from Jordan to Ethiopia, Kenya, Tanzania, Congo, Malawi, and Mozambique, ———————————————— contains enormous geothermal resources8. Unlocking 5. Seth S. & Tom C. (2020). The Nexus of Agriculture and Energy in Africa; Five Africa's potential to generate energy, ensuring the availability lessons for bridging the Agriculture Energy Gap. Available at:
The introduction of appropriate policies and interventions to and providing increased opportunities to support food support the expansion of clean technologies and modern production and agriculture activities on the continent. energy efficiency in Africa is crucial in reducing energy poverty Sahel | Page 5 www.sahelcp.com | www.sahelconsult.com | www.nourishingafrica.com
MAKING A CASE FOR THE USE OF RENEWABLE ENERGY IN AGRICULTURE IN AFRICA BY ABIMBOLA SCALE E nergy poverty is a critical challenge faced by many important to address the poor access to electricity in these countries across the world. Africa accounts for 17%9 of areas with a sense of urgency. Off-grid solutions powered by the global population, yet it accounts for only about renewable energy sources present tremendous opportunities 3%10 of global energy consumption. Energy poverty to increase rural access to electricity. Developing countries impedes food production as energy is required to operate often face high technical costs of connecting rural dwellers to machinery and equipment for agricultural activities, ranging the national grid due to distance and low installed generation from land preparation to irrigation, harvesting, storage, and transmission capacity. With falling technology costs, transportation, and processing. In rural areas, where only renewable energy solutions, particularly leveraging solar 28%12 of the population have access to electricity to power energy, can be deployed to such rural communities. farm equipment, about 65% of land is prepared manually, resulting in low crop yields11. In addition to the current gap in food production and availa- bility in Africa, the rapidly growing population in Africa further exerts pressure on its food systems. According to the United Nations (2019), sub-Saharan Africa would account for more than half of the world's population growth by 2050, with about 1.1 billion people added to its population12. This project- ed population growth implies that food systems need to be strengthened to close the current gap in food production and prepare for the rising demand necessitated by an increasing population. Improving access to energy is a critical factor that must be addressed to build strong food systems. Examples include decentralized systems such as mini-grids Renewable Energy – A Pathway to Increasing Access to and stand-alone systems - solar home systems. Critical Roles Electricity of Stakeholders in Improving Access to Energy. The African continent possesses enormous natural resources In agriculture, low-cost innovative technologies such as grain that could be exploited to increase access to electricity for dryers, solar water pumps, irrigation systems, and cold food production. These natural resources can produce solar storage for smallholder farmers are critical in improving food energy, wind energy, hydropower, geothermal energy, and security. biomass energy. The International Energy Agency estimates that the renewable energy capacity of Africa could potentially plug its current and future energy consumption. Africa's hydropower potential is about 12%13 of the world's ———————————————— hydropower potential and is three times more than the 9. Statista (2021). Distribution of the global population by continent 2020. current electricity consumption in sub-Saharan Africa. Africa, Available at: (Accessed: 29 May 2021). with the utilization ratio varying across regions, from a low of 10. Global Energy Statistical Yearbook (2021). Electricity Domestic Consump- 3%16 in Central Africa to a high of 19% in West Africa. The tion, Available at: (Accessed: 29 May 2021). potential for solar energy in Africa is high, with most 11. World Bank (2019). (Em)powering Farmers in Africa: Small-scale Solar countries receiving about 300 days of bright sunlight. The Lights a Path for Agricultural and Economic Impact. Available at:
Establishing extensive and reliable solar-powered cold chains electrification and a pathway to achieving 100% access to in off-grid environments could enable farmers to raise food electricity. Governments must also ensure an enabling policy supply by 15% due to reduced post-harvest losses14. Compa- and regulatory environment that eliminates barriers to entry nies such as ColdHubs in Nigeria and Solar Freeze in Kenya are into decentralized electricity production systems and already setting up accessible renewable energy technologies, encourages private sector investment. They could also consid- which will require scaling. er providing tax incentives to power sector investors and agriculture companies that adopt renewable energy. Recent accounts of flooding, droughts, desertification, and change in weather patterns across African countries have The Africa Case Scenario by the International Energy Agency brought to the forefront the issue of climate change. African estimates that achieving a reliable electricity supply would countries are significantly exposed to the impact of climate require an annual investment in power supply of about $120 change due to the heavy reliance on agriculture. African billion per year until 2040. Development Finance Institutions countries are also projected to consume a significant could strengthen the capacity of the local financial sector to percentage of global energy demand by 2050. As such, it is provide long-term loans to private sector actors by offering crucial to explore renewable energy sources in addressing guarantees or refinancing services. National governments energy poverty. Renewable energy is a clean source of energy may also allocate a specific percentage of their budgets or that produces zero greenhouse gas emissions as against fossil utilize sovereign wealth funds to finance power sector fuels and plays a vital role in mitigating climate change. investments. Critical Roles of Stakeholders in Improving Access to Energy The onus lies on the private sector actors to venture into renewable energy production and invest in developing Renewable energy presents benefits to the agriculture sector, low-cost technology solutions for the agri-food chain using such as increased productivity and engagement in renewable energy sources. It is also essential that private value-adding activities and reduced post-harvest losses and sector players such as processors, farmers, and input greenhouse gas emissions. As such, stakeholders including providers adopt climate-smart practices in their activities to governments, private sector actors, civil society reduce greenhouse gas emissions. With financial support organizations, development partners, and research institutes from non-governmental organizations and development must work cohesively to promote the use of renewable partners, research institutes can also develop new innovative energy for agriculture systems. technologies powered by renewable energy sources or new African governments, supported by private-sector think and affordable electricity production systems. tanks, must develop clear electrification strategies and targets, including an evaluation of the least-cost options for ———————————————— 14. World Bank (2019). (Em)powering Farmers in Africa: Small-scale Solar Lights a Path for Agricultural and Economic Impact. Available at: (Accessed: 29 May 2021). www.sahelcp.com | www.sahelconsult.com | www.nourishingafrica.com Sahel | Page 7
REDUCING FOOD LOSS IN AFRICA THROUGH INCREASED ENERGY ACCESSIBILITY BY IFEOLUWA OLORUNNIPA A ccording to the Food and Agriculture Organization of perishable food. Farmers (FAO) (2019), sub-Saharan Africa has one of the store their produce in clean highest percentages of post-harvest losses among plastic reusable crates, regions in the world. Currently, Africa does not supplied by the company produce sufficient food to feed its growing population, and and stacked inside the cold food loss occurs at various stages of the value chain, majorly room. Cold Hubs also offers before reaching the consumers. Of the total food lost in sub- a pay-as-you-store payment Saharan Africa, 36% of food is lost at the production stage, option where farmers pay a daily flat rate on each crate 36% at the storage and handling stage, 7% at processing, and of food stored, reducing the burden on farmers to pay 15% at distribution and markets, with 5% lost due to waste the entire storage amount up-front. after reaching the consumers15. • Jumeme, Tanzania:18 Jumeme is a rural mini-grid power While there are unique challenges across each stage of the supplier in islands of Lake Victoria. The company also runs value chain, some underlying drivers of food loss are energy- a model that involves purchasing tilapia fish from local related. These include the epileptic supply of electricity, high fishermen in Lake Victoria after capture, cleans, and cost, and poor access to energy to support agricultural activi- freezes them on-site using electricity from its mini-grid, ties, particularly in rural communities. Achieving food security reducing post-harvest losses for the farmers. The in Africa will remain elusive without increased access to ener- company then transports and sells the fish to distributors gy for the agriculture sector. in Tanzania's capital city, Dar Es Salaam, ensuring a sustained supply of fish and providing the fishermen with Improving access to energy and its productive use in the agri- greater market potential for their fish, due to access to culture sector to optimize processes along the value chain middle-class consumers in the capital. The company has presents an opportunity to enhance food security on the con- selected communities where its mini-grids can be tinent by reducing food loss. Improved access to energy can integrated into existing economic activities such as fish also provide additional benefits to the economy as food pro- farming to boost output. ducers can increase their income by selling food that would otherwise be lost to post-harvest losses. • Zambezi Pineapples, Zambia:20 Zambezi Pineapples is a pineapple processing factory that leverages excess How Companies Across Africa are Leveraging Energy electricity from the Zengamina hydropower station at the to Reduce Food Loss Zambezi River in Zambia for its operations. The company Several innovative business models that leverage energy to sources pineapples locally from smallholder farmers in reduce food loss are emerging in Africa. Some examples in- the region and processes them into dried fruit and juice clude: using energy from the hydropower station. • Solar Freeze, Kenya:16 Solar Freeze offers food storage options such as mobile solar-powered cooling units and refrigerated transport services for rural smallholder farmers to help reduce post-harvest loss. The off-grid ———————————————— portable solar cold units or stores help smallholder 15. Flanagan, K., Robertson, K. & Hanson, C., (2019). Reducing Food Loss and farmers avoid food losses caused by a lack of proper Waste: Setting a Global Action Agenda. World Resources Institute. Available storage for their produce. Its refrigerated transport at:
The drying machines at the factory then run overnight to sources for their operations. spread the demand for electricity between the community Public-private partnerships are also crucial in improving which the hydropower station serves and the factory. The access to energy and its use in the agriculture sector. company helps to offtake pineapple from farmers, serving as Government agencies can provide funding support for private a reliable buyer and limiting the post-harvest loss of pineap- sector organizations to implement these capacity support ples produced in the region. programs to agri-food entrepreneurs. Governments and Recommendations private sector organizations can also partner to commit investments and manage infrastructures and facilities that Improving access to energy and its productive use in the provide energy services for the agriculture sector and can agriculture sector presents a huge opportunity to reduce support the optimisation of processes across the value chain. food loss across Africa. These include investments in facilities such as shared Agri-food entrepreneurs must develop innovative business community storage and agro-processing spaces, managed by models that identify partnership opportunities with private the private sector, to help reduce post-harvest losses as sector organizations towards improving access to energy for agri-food entrepreneurs have increased access to affordable their operations. energy for their storage and processing needs. Private sector organizations, such as business development service providers, can offer capacity support training and workshops to support agri-food entrepreneurs in building their capacity to develop innovative business models that incorporate energy efficiency or leverage alternative energy www.sahelcp.com | www.sahelconsult.com | www.nourishingafrica.com Sahel | Page 9
LEVERAGING MINI-GRIDS IN POWERING AGRICULTURE IN AFRICA BY AYODEJI OJO T he agriculture sector in Africa is in dire need of costs by about 10% while increasing the yield of milled rice by innovative electrification more than ever, given the 20 - 30% and improving quality3. Investments in the fees for rate of food insecurity in the continent and its rising services model can help address some of the inefficiencies in population. Post-harvest losses, which account for 30 - the agriculture sector. 50% of food produced in sub-Saharan Africa19, contribute to An example of the innovative mini-grid model in Africa is the food insecurity and impact malnutrition rates across the con- Mokoloki22 Undergrid Nayo Tropical Technologies, Rocky tinent. This situation is expected to worsen due to the ad- Mountain Institute, and the Nigerian Rural Electrification verse impacts of COVID-19 and the rapidly increasing popula- Agency (REA). The project provides efficient and sustainable tion in Africa. services to the agricultural community by electrifying Globally, there has been increased advocacy for the adoption agribusinesses such as bakeries, green farms, factories, and of clean and renewable energy towards building climate- hotels within the peri-urban community23. There are resilient economies and achieving the seventh Sustainable seventeen similar mini-grid-based electrification initiatives Development Goal (SDG 7). Prioritizing clean and affordable currently providing services to the underserved population energy can significantly reduce post-harvest losses and im- across Africa24. prove the livelihoods of smallholder farmers and industrializa- In conclusion, stakeholders must increase and monitor tion. The adoption of innovative electrification models such investments in the electrification of the agriculture sector as mini-grids can improve the economic outcomes of African towards building resilient economic systems across Africa. farmers while creating sustainable businesses around value They can also leverage lessons from current initiatives to addition for agriculture products. strengthen the agriculture sector to promote food security According to a recent study on agricultural electrification20 21 , and livelihood improvements. electrifying activities in the agriculture sector such as cassava grating, grain milling, and rice milling using mini-grid technology would reduce tariffs by 8 - 14%. Therefore, increasing and monitoring investments in mini-grid technologies can potentially reduce energy poverty in the ———————————————— agriculture sector while addressing food insecurity. Given that 19. Deloitte (2015). Reducing Food Loss Along African Agricultural Value smallholder farmers who dominate the agriculture landscape Chains, pp1-32. Available at: < https://www2.deloitte.com/content/dam/ have limited resources and opportunities, there is the need Deloitte/za/Documents/consumer-business/ for investments in cost-efficient models such as mini-grids to ZA_FL1_ReducingFoodLossAlongAfricanAgriculturalValueChains.pdf > improve their production activities and efficiency. (Accessed: 29 May 2021). 20. Santana S. et al (2020). Agricultural Productive Use Stimulation in Nigeria: There are two models for electrifying agricultural production. Value Chain & Mini-Grid Feasibility Study. (Accessed: 29 May 2021). The models involve facilitation for value addition support and 21. Allee. A, J. Sherwood, F. Tidjani & A. Ojo. (2020). Electrifying Nigerian fees for services in processing or storage. The first model, Agriculture with Clean Minigrids to Improve Livelihoods. Available at;< which focuses on value addition, can be built around the ag- https://rmi.org/electrifying-nigerian-agriculture-with-clean-minigrids-to- gregation of agriculture produce, provision of value addition, improve-livelihoods/ > (Accessed: 31 May 2021). and the onward sale to final consumers or industries as raw 22. Graber S. and J. Sherwood (2020). Community Resilience through Ni- materials, which can help reduce post-harvest losses and geria’s First Undergrid. Available at: < https://rmi.org/community-resilience- enhance food security. The second model, fees for services, through-nigerias-first-undergrid-minigrid/> (Accessed: 31 May 2021). is popular in rural Africa as farmers patronize individuals 23. ESIAfrica (2020). Undergrid Minigrid Deployment in Nigeria a Success. Available at: (Accessed: 31 May processing of crops. However, the farmers and operators of 2021). such outfits have always relied on inefficient fossil fuel-driven 24. Philips, J., Attia, B., Plutshack. V., (2020). Lessons from the Proliferating machines. Asides from the environmental effect of fossil Mini-Grid Incentive Programs in Africa. Available at: < https:// fuel-driven processing equipment, these machines are www.brookings.edu/blog/future-development/2020/12/11/lessons-from-the- inefficient compared to the electric-powered options. For proliferating-mini-grid-incentive-programs-in-africa/> (Accessed: 31 May 2021). instance, a new two-stage electric mill could reduce operating www.sahelcp.com | www.sahelconsult.com | www.nourishingafrica.com Sahel | Page 10
THE NEED FOR ENERGY IN THE URBAN AND PERI-URBAN FOOD SYSTEMS IN AFRICA BY CHIZOBA EZEA W ith Africa's population expected to systems such as hydroponics and aquaponics to produce double by 2050, more than 80% of the food in urban areas. With increased access to energy, population growth is estimated to occur similar farming models that leverage automated systems in urban areas25. Disruptions such as the can be scaled across cities to ensure large scale food production and reduce dependence on food from rural impact of climate change in the form of droughts and areas, particularly for perishable produce such as floods, conflicts and crises in rural food-producing vegetables. regions, and the COVID 19 pandemic have exposed the vulnerability of food systems in Africa, particularly in • Access to Affordable Food: Four out of the nine countries urban areas. Also, the energy consumed by long food that spend over 40% of household income on food are in Africa26, and the urban poor is disproportionately affect- supply chains from the transportation of food from rural ed. Scaling urban food production by increasing energy food-producing regions to urban regions raises sustain use can reduce the household income spent on food. ability concerns. These issues necessitate the need for Increased energy to support and scale urban food resilient food systems that can ensure food production production can reduce the duration and costs of activities and availability in urban areas. It is crucial to increase along the value chain, such as storage and the accessibility and affordability of energy in the transportation, which currently drive up food prices. The agriculture sector in Africa to support urban agriculture resulting reduction in production costs due to increased and ensure the availability of food for its growing urban food production in urban areas can improve food population. affordability for the urban poor. Urban agriculture involves producing, processing, and • Environmental Protection: The increased use of energy in distributing food within or close to an urban or urban agriculture through greenhouses and automated systems such as hydroponics also presents an alternative peri-urban area. While the engagement in large scale for food production given depleted urban agriculture can address the demand for food by natural resources such as land and the growing urban population and reduce the water. Food production within and dependency on rural food-producing areas, this will around cities also reduces the miles require increased energy access and usage. Improving between transporting food from energy usage for urban agriculture presents several rural food-producing areas to benefits including, increased food supply, accessibility urban areas, reducing greenhouse gas emissions from to affordable food by the urban population, and trucks and activities involved in food transportation environmental protection. across distances. Benefits of Improving Energy Use in Urban Food Recommendations Systems An increase in energy availability for urban food production to build resilient food systems will require urgent action across • Increased Food Supply: Urban stakeholders in the public and private sectors. agriculture has the potential to record more crop yield/area Governments must develop and implement strong policies compared to conventional ———————————————— farms since climatic factors are 25. Muggah, R., & Hill, K., (2018). African cities will double in population by controlled, and food can be 2050. Here are 4 ways to make sure they thrive. Available at: (Accessed: 18 June 2021). urban areas. For instance, Fresh Direct Produce and 26. Alex Gray, (2016). Which countries spend the most on food? This map will Agro-Allied Services in Nigeria, an enterprise that grows show you. Available at: (Accessed: 18 June 2021). www.sahelcp.com | www.sahelconsult.com | www.nourishingafrica.com Sahel | Page 11
that ensure the creation of an enabling environment for assistance for food producers to develop their capacities to private sector participation and competition in energy provi- leverage energy for their food production, including sion for the sector to improve energy access. harnessing renewable energy. Private sector organizations can also engage in research and development efforts to iden- In partnership with government agencies, private sector tify alternative energy options to optimize food production organizations should champion energy interventions that activities. provide investment in infrastructure and technologies to harness renewable energy for food production to support the An efficient energy system in Africa for the agriculture sector, demand for energy in the sector. They can also partner with particularly for urban agriculture, presents opportunities for non-governmental organizations to provide technical the continent to achieve food security for its population. Sahel | Page 12 www.sahelcp.com | www.sahelconsult.com | www.nourishingafrica.com
PUBLIC SECTOR SUPPORT TO ENSURE ENERGY ACCESS IN THE AGRICULTURE SECTOR IN NIGERIA BY ISMAEL ADENIJI AND AYODEJI OJO Introduction As mandated by the Federal Government, the agency is implementing projects such as the "Solar Power Naija," Agricultural activities require sustainable and affordable "Energizing Health”, "Energizing Education Programme," sources of energy to ensure the production of food for "Energizing Economies Initiative," as well as the "Rural Elec- consumption and raw materials for agro-based industries and trification Fund." the development of rural communities. While stakeholders in the agriculture sector may leverage several sources of energy The "Solar Power Naija" (SPN) initiative, anchored on local for their activities, electricity is the most popular source of manufacturing and assemblage of equipment used in the energy in Nigeria, particularly for rural-based agro-processing electrifying unserved and underserved Nigerians, aims to companies, powering of farmhouses, milling, grating, and connect houses and generate job opportunities for Nigerians. smoking, among other activities. The programme is designed to achieve 5 million connections, impacting about 25 million Nigerians while helping to However, agricultural activities and food production in generate 250,000 job opportunities in the renewable energy Nigeria are primarily driven by rural communities that are sector. either underserved or unserved and have little access to energy which hinders the productivity of the sector. The Rural Through the "Energizing Education Programme", we have Electrification Agency (REA) is the agency of the Federal installed solar powered facilities in six universities, while work Government of Nigeria with the mandate to provide is ongoing in other universities across Nigeria. Also, the electricity to rural and underserved communities to catalyse "Energizing Economies Initiative" is geared towards working rural economic growth and improve the quality of lives of with economic clusters and private developers to provide Nigerians through the implementation of various renewable power for industrial areas. Under the Rural Electrification energy-focused programs. Fund, the "Research and Innovation Hub" was developed to explore the use of technology and innovation in rural Given the critical role of the REA electrification in the country. in the energy landscape in Nigeria, the Sahel team held an During the COVID-19 pandemic, four solar hybrid mini-grids interview with the Managing were installed at isolation and treatment centres across the Director/Chief Executive Officer country. The successes achieved through this intervention led of the agency, Engr. Ahmad the agency, through its Nigeria Electrification Project (NEP), Salihijo Ahmad, to gain insights to further expand on this intervention, in collaboration with Engr Ahmad Salihijo Ahmad on the impact of the agency's other key stakeholders such as the World Bank. activities in the rural sector, understand the challenges of Under the Rural Electrification Fund (REF), the agency rural electrification in the country, opportunities for commissioned grants to private companies to develop and partnerships to enhance access to electricity, and the roles of build mini-grids and to deploy solar home systems and stakeholders to ensure a lasting solution to the energy appliances across rural areas in the country. This has led to challenges in the country. the installation of twelve additional mini-grids and 19,000 Below are the highlights from the interview session: solar systems across the country. Fifty-one mini-grids are also currently in the pipeline for installation in the ongoing 2nd Call Q: The REA has the responsibility to ensure affordable of the Rural Electrification Fund. electricity to rural and underserved communities in Nigeria. What are some of the projects that the agency has The Solar Power Naija programme, through the provision of implemented that have targeted the rural agricultural low-interest loans and concessionaries, deployed the first sector? 100,000 units of solar home systems in Jigawa State, in partnership with the Niger Delta Power Holding company and A: The agency has positioned itself to stimulate opportunities A-Solar, a private sector player. The agency also acted as a by working closely with the private sector, investors, and guarantor to other private sector companies to access other relevant government agencies. To impact the lives of support from other sources. Another success of the agency is the Nigerians, the agency has instituted projects that address the Nigerian Electrification Project (NEP), a private different sectors of the economy. sector-driven programme being funded by World Bank and www.sahelcp.com | www.sahelconsult.com | www.nourishingafrica.com Sahel | Page 13
African Development Bank. sector, partnerships with other stakeholders are also crucial in ensuring the provision of a sustainable and affordable energy Presently, the agency is collaborating with the Federal source to the unserved and underserved demographics in the Ministry of Agriculture and Rural Development and other country. Private sectors can provide investments for the private sector players to develop solutions that will bring alive design and development of infrastructure to support the productive use appliances designed to power agricultural provision of electricity. Development partners can also activities in the rural areas. continue to offer grant funding and subsidies to achieve the Q: What are the challenges faced by the REA in achieving its Sustainable Development Goal 7 – universal access to a mandate of electrification for rural areas? carbon-free environment by substituting fossil fuels for renewable energy, thereby providing clean, reliable, and safe A: Apart from insufficient funding to actualize the planned power. Lastly, the communities, who are the beneficiaries, programmes designed to close the huge energy gap in must also ensure proper usage of the infrastructure provided Nigeria, the lack of awareness of best practices by end-users to ensure sustainability. Conclusively, to achieve the mandate in terms of appliance availability and economic opportunities of REA, partnerships, and collaborations with stakeholders of electrifying value chain activities continues to be a across various sectors is crucial. stumbling block to achieving the agency's mandate. For instance, not many people are aware of the productive use Conclusion equipment being promoted by the agency. Some of the appliances that could be powered with renewable energy Powering the underserved and unserved rural communities include milling machines, husking machines, oil press, grinding and their agricultural activities will require a multi-stakeholder machines, fermenting machines, packaging machines, etc. approach. Among other things, this will involve the Farmers and Nigerians need to embrace the use of these enactment of a policy framework that allows for research and appliances. innovation, promotion of renewable energy and its products, and investment into the sector both by indigenous and for- Q: What roles can additional stakeholders play in eign players. collaborating with the REA to achieve the mission of providing electricity for the agricultural and rural sector in Nigeria? A: While the government strives to provide an enabling environment and increase funding for the rural electrification www.sahelcp.com | www.sahelconsult.com | www.nourishingafrica.com Sahel | Page 14
USING SMART MARKETS TO TACKLE ENERGY POVERTY IN THE AGRICULTURE SECTOR IN AFRICA BY AISHA HADEJIA Sahel held an interview with Roy Steiner, sanitation lead to health and environmental hazards; and the Senior Vice President, Food Initiative unreliable power supplies, congestion in market spaces, and at The Rockefeller Foundation, to lack of security are persistent issues. understand how the Foundation is Smart Markets provide an opportunity to reimagine open-air utilizing smart markets to tackle energy food markets by harnessing renewable energy sources to poverty by building food systems that build safer and more efficient, and resilient markets. Through Roy Steiner account for human health, nutrition, and employing solar mini-grids, Smart Markets include cold the environment. storage and mini processing facilities and provide a reliable Q: Agriculture is one of Nigeria's key strategic areas. Lack of source of power to market vendors, households, and access to energy affects farmers' ability to produce and businesses at and near the market. process their produce efficiently and bring their products to Smart Markets have the potential to bring about climate, the market. How is the Rockefeller Foundation focusing on economic, social, and gender effects. Some expected impacts the needs of low-income farmers to solve their energy include: mitigated carbon emission, reduced volumes of problems? What are some of the challenges the Foundation waste ending up in landfills, job- and income-generation, is facing so far? nutritional and hygienic gains, improved accessibility to a A: The Rockefeller Foundation is working with partners and reliable power source, and additional economic and social grantees to dramatically accelerate the pace of electrification benefits for women, who make up a large proportion of in Nigeria and across the world by leveraging decentralized market vendors. renewable energy solutions to empower entrepreneurs, Adopting, scaling, and replicating smart markets that utilize including low-income farmers. Our goal is to build the renewable solar energy can significantly change the market climate-smart energy system of the future that can power landscape in Africa. Smart Markets will allow consumers to more efficient and resilient supply networks that deliver access safe, nutritious, and affordable foods in hygienic healthy foods to vulnerable populations, creating economic environments, with minimal chances for transmitting opportunity along the way. We recognize the importance of infectious diseases such as Covid-19. These new energy connecting smallholder farmers in sub-Saharan Africa, many sources will create new opportunities for increased economic of whom are women, to reliable and clean energy sources. activity, with extended business hours and reduced In Nigeria, we are working with private and public sector post-harvest losses, thus increasing efficiencies and earnings partners to build solar mini-grids and drive demand for the to value chain stakeholders, including farmers. Smart Markets reliable, renewable energy these mini-grids produce among will also include charging and swapping centers for electric smallholder farmers. We are developing new business models vehicles and bikes that can be utilized for passenger transport that incorporate mini-grids across different agricultural value and delivery of produce to consumers ordering through chains, such as cold storage, grain processing, and irrigation, newly established digital market platforms. in collaboration with the private sector. To ensure that Q: What role must stakeholders (government, financial insti- communities and entrepreneurs, especially women tutions, businesses, etc.) play to facilitate the scale-up and smallholder farmers, can access and consume energy, we plan continued progress made so far in this sector? to work at the village level with community organizations and authorities to engage these farmers. A: In recent years, there have been attempts to build new markets or transition old ones that have completely failed in Q: Smart market systems are vital towards driving the ener- East Africa, resulting in "ghost structures" with state-of-the- gy revolution; how do you foresee the changing market land- art facilities that vendors have rejected. One possible reason scape in Africa? for these failures is that authorities create structures in a A: Open-air food markets are a critical component of food vacuum without sufficient stakeholder involvement and market systems, serving as a nexus between producers and consultations, resulting in intimidating structures that consumers. However, most open-air food markets in Africa alienate vendors and consumers. face major challenges: poor handling of produce means large volumes of food losses; poor waste management and www.sahelcp.com | www.sahelconsult.com | www.nourishingafrica.com Sahel | Page 15
To ensure maximum relevance and uptake of the Smart Smart Markets, along with a dedicated website and a Markets, the Foundation has previously engaged experts in communication and engagement plan to help stakeholders to human-centered design to work with stakeholders and understand, adopt and use Smart Market Systems. market participants and develop various components to We are already seeing significant impact: The Government of provide safety, basic sanitation, and comfort to market Kenya has requested that the Smart Markets team develop participants, while promoting and amplifying economic the architectural designs for the Ruai Wholesale Market, a prosperity and sustainability. We have also mapped the policy flagship project to be constructed at the periphery of the City and regulatory environment needed to make Smart Markets of Nairobi with a national and regional catchment for agricul- successful. ture produce. In Kenya, a Smart Markets policy is under development with For more information on how smart markets are reshaping the State Department for Housing & Urban Development, and the food and agriculture landscape, visit covid-19-smart-food- a political economy analysis conducted by EAGC yielded markets-for-the-future. insights on the markets and the most ideal pathways for implementation through a close engagement and partnership with stakeholders. In addition, we are documenting this new knowledge and will develop guidelines for implementing www.sahelcp.com | www.sahelconsult.com | www.nourishingafrica.com Sahel | Page 16
REFERENCES 1. Statista 2021, Distribution of the global population by continent 2020, Available at: (Accessed: 29 May 2021). 2. Global Energy Statistical Yearbook 2021, Electricity Domestic Consumption, Available at: May 2021, (Accessed: 29 May 2021). 3. International Energy Agency (2019). Africa Energy Outlook 2019. Available at: (Accessed: 29 May 2021). 4. World Bank (2019). World Bank Open Data. Available at: (Accessed: 29 May 2021). 5. Seth S. & Tom C. (2020). The Nexus of Agriculture and Energy in Africa; Five lessons for bridging the Agriculture Energy Gap. Available at: (Accessed: 29 May 2021). 13. IRENA (2015). Africa 2030: Roadmap for a Renewable Energy Future, Available at: 14. Grand View Research (2021). Cold Chain Market Size & Growth Report, 2021-2028, Available at: 15. Flanagan, K., Robertson, K. & Hanson, C., (2019). Reducing Food Loss and Waste: Setting a Global Action Agenda. World Resources Institute. Available at: 20. Santana S. et al (2020). Agricultural Productive Use Stimulation in Nigeria: Value Chain & Mini-Grid Feasibility Study. (Accessed: 29 May 2021). 21. Allee. A, J. Sherwood, F. Tidjani & A. Ojo. (2020). Electrifying Nigerian Agriculture with Clean Minigrids to Improve Liveli- hoods. Available at;< https://rmi.org/electrifying-nigerian-agriculture-with-clean-minigrids-to-improve-livelihoods/ > (Accessed: 31 May 2021). 22. Graber S. and J. Sherwood (2020). Community Resilience through Nigeria’s First Undergrid. Available at: < https://rmi.org/ community-resilience-through-nigerias-first-undergrid-minigrid/> (Accessed: 31 May 2021). www.sahelcp.com | www.sahelconsult.com | www.nourishingafrica.com Sahel | Page 17
23. ESIAfrica (2020). Undergrid Minigrid Deployment in Nigeria a Success. Available at: (Accessed: 31 May 2021). 24. Philips, J., Attia, B., Plutshack. V., (2020). Lessons from the Proliferating Mini-Grid Incentive Programs in Africa. Available at: < https://www.brookings.edu/blog/future-development/2020/12/11/lessons-from-the-proliferating-mini-grid-incentive- programs-in-africa/> (Accessed: 31 May 2021). 25. Muggah, R., & Hill, K., (2018). African cities will double in population by 2050. Here are 4 ways to make sure they thrive. Available at: (Accessed: 18 June 2021). 26. Alex Gray, (2016). Which countries spend the most on food? This map will show you. Available at: (Accessed: 18 June 2021). www.sahelcp.com | www.sahelconsult.com | www.nourishingafrica.com Sahel | Page 18
SAHEL PARTNERS RECEIVE ALUMNI ACHIEVEMENT AWARD FROM HARVARD BUSINESS SCHOOL For 50 years, Harvard Business School (HBS) has were Ray Dalio, H. Naylor Fitzhugh, Terry Virts, and recognized several outstanding women and men by Deborah Winshel. conferring on them its highest honor, the Alumni On June 16, 2021, HBS celebrated the award recipients in Achievement Award. This year, Sahel's Co-Founders, a virtual event which also served as an opportunity for Mezuo Nwuneli and Ndidi Nwuneli, were two out of the recipients to share their insights and experience in six distinguished graduates of HBS who received the conversations with the Dean, Professor Srikant Datar, 2021 Alumni Achievement Award from the University in and former Dean, Professor Nitin Nohria. recognition of their significant contribution to their companies and communities while upholding the highest standards and values. Other award recipients www.sahelcp.com | www.sahelconsult.com | www.nourishingafrica.com Sahel | Page 19
Part of the Citation read by the Dean for Mezuo and Ndidi Nwuneli During the Virtual Event! Mezuo O. Nwuneli, MBA 2003 Ndidi Okonkwo Nwuneli, MBA 1999 With diligence, determination, and devotion, Spirited entrepreneur, You bring finesse to finance Social enterprise enthusiast, As you distribute food and fortitude You are a force for good, Throughout Africa. Nurturing nutrition and advancing agriculture in Africa – and beyond. When caught in the crossfire, Leading by example, You took time to consider You embolden people everywhere How to ensure that your next steps To set their sights higher, Led you down the right path. And leap beyond their aspirations To reach deeper, more meaningful levels With entrepreneurial know-how of success. And expert execution, Consummate Christian, You serve up passion, compassion, Your faith guides you and inspires others faith, and solutions As you spread your own brand of hope, To your community, country, and healing, and humility continent. Throughout the world. Ndidi, today we honor and celebrate your Mezuo, today we honor and celebrate extraordinary leadership as an the enormous impact you have had in advocate for others. Nigeria and across Africa. Congratulations to Mezuo and Ndidi Nwuneli! www.sahelcp.com | www.sahelconsult.com | www.nourishingafrica.com Sahel | Page 20
NOURISHING AFRICA TURNS 1! There are emerging groups of dynamic, visionary, and support, critical to their growth. Nourishing Africa has committed entrepreneurs driving Africa's agriculture facilitated over 50 strategic offline and virtual and food landscape. Yet, many of them struggle for convenings and training for agri-food entrepreneurs survival in challenging and often hostile environments. across Africa, partnering with relevant organizations to Agripreneurs, as we refer to them, struggle to access deliver tailored content in the entrepreneurs' areas of funding, advertising opportunities, data, information, focus. and markets when trying to scale their businesses. As a Nourishing Africa also partners with development direct response to their needs, Sahel Consulting institutions to develop and implement support Agriculture and Nutrition Limited launched Nourishing programs for agri-food businesses across Africa, Africa in July 2019. Eleven months later, Nourishing focusing on helping these businesses to build successful Africa was fully incorporated and became an models that ensure profitability, sustainability, social independent organization on June 18, 2020, with the and economic impact in their communities. In December mandate of equipping and connecting agri SMEs across 2020, Nourishing Africa, in partnership with The Africa. Mastercard Foundation and the United States African Nourishing Africa is a knowledge and membership Development Foundation (USADF), launched the platform aimed at helping agri-food entrepreneurs from Entrepreneurs Support Program (ESP). The ESP is farm to fork scale their agribusinesses across the designed to support over 2,000 Micro, Small, and continent. Currently supporting over 1000 African Medium enterprises across the Nigerian agriculture and agribusinesses across 35 countries, Nourishing Africa's food landscape, to rebuild and strengthen their mission is to "drive the profitable and sustainable businesses through training, small grants, and ongoing growth of the African agriculture and food landscapes support; a model we hope to replicate across the by attracting, empowering, equipping, connecting and continent. celebrating over 1 million dynamic and innovative young To our partners, our Board, our team, and most agri-food entrepreneurs". The virtual hub serves as a importantly, our incredible members, thank you for platform for these stakeholders to accelerate their believing in us, working with us, and continuing to serve work, connect, and celebrate their successes on the as inspiration and motivation to keep going and creating continent. a greater impact on our continent. Since its inception, Nourishing Africa has built a virtual We look forward to celebrating our 5th, 10th, and 50th community of agri-food entrepreneurs where they are anniversary with you all by our side, truly transforming able to connect directly with each other and gain access the African agriculture and food landscape. to opportunities including funding, data, learning resources, events, technology, talents, inputs, and other Ify Umunna & Rahmat Eyinfunjowo resources and tools that they need to scale their Co-Founders & Co-CEOs businesses. To date, the organization has successfully nominated over 60 agribusinesses for funding and other www.sahelcp.com | www.sahelconsult.com | www.nourishingafrica.com Sahel | Page 21
SAHEL PARTNER LAUNCHES NEW BOOK ON SCALING RESILIENT AGRICULTURE BUSINESSES Sahel Consulting and Nourishing Africa held a virtual absorb the teeming population of young people on the conference on March 22, 2021, to celebrate the launch continent. He commended the practical how-to of a new book by Ndidi Okonkwo Nwuneli titled: Food approach taken in the book and expressed delight at Entrepreneurs in Africa: Scaling Resilient Agriculture the inclusion of the much-needed chapters on Businesses and discuss the theme – "Preparing the Next leadership team management and technology to Generation of Entrepreneurs to Transform Africa's Food address the dearth of resources on these areas in the Ecosystem." Over 600 participants from across the landscape. globe joined this virtual event. Ify Umunna, Co-CEO of Rebecca Marsh representing the Routledge Publishing Nourishing Africa, served as the host of the event. team, also commended the practical, action-oriented, In her welcome address, the author, Mrs. Ndidi can-do approach taken by the book in addressing the Okonkwo Nwuneli, also the Co-Founder and Managing most pressing issues of sustainability and resilience Partner of Sahel Consulting and the Chair of Nourishing from multiple perspectives. Africa, highlighted the journey that led her to write the The distinguished panellists – Nathalie Akon Gabala, book, including her experiences as an entrepreneur in Regional Director – West, Central and Northern Africa of the food and agriculture sector and her engagement Mastercard Foundation, Professor Chris Ogbechie, Dean with entrepreneurs across Africa. She also shared the and Professor of Strategic Management of the Lagos critical ingredients for starting and scaling successful Business School (LBS), Dr. Eleni Gabre-Madhin, the Chief and resilient businesses. She underscored the need for Executive Officer of blueMoon Ethiopia, Mr. William Africans to own and drive the transformation of food Asiko, Managing Director of the Rockefeller Africa systems on the continent. Regional Office and Mrs. Mbali Nwoko, Founder and The keynote speaker, Dr. Shawn Baker, Chief CEO of Green Terrace, South Africa provided valuable Nutritionist of the United States Agency for insights on the theme – "Preparing the Next Generation International Development (USAID), emphasized the of Entrepreneurs to Transform Africa's Food immense potential of the food and agriculture sector to Ecosystem." www.sahelcp.com | www.sahelconsult.com | www.nourishingafrica.com Sahel | Page 22
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