One hundred Micro, Small and Medium Enterprises (MSMEs), on Tuesday, received training and financing pathways support to enable them adopt solar energy and reduce their dependence on petrol and diesel generators.

The programme combines solar energy awareness, business capacity building and structured financing pathways to accelerate clean energy adoption among MSMEs and improve their productivity and economic resilience.

The Country Director of Solar Sister Nigeria, Chioma Ome, disclosed this in Abuja, at the ZE-GEN MSME Solar Adoption Programme, saying the initiative was designed to address the energy challenges undermining the productivity and growth of small businesses.

Ome explained that the programme was targeting at least 70 per cent solar adoption among the participating MSMEs after the training, with businesses to be linked to microfinance institutions and other financial providers to enable them acquire solar systems and repay through installments.

She said the participating businesses comprised fashion and tailoring enterprises, hair salons, cold-storage businesses, as well as agricultural enterprises involved in grinding, milling and processing.

She said: “The training is being conducted in two batches over two days. The first batch has 50 MSMEs, while another 50 businesses will participate in the second batch, bringing the total number of businesses to 100.

“Solar energy provides a more reliable and less stressful alternative. The upfront cost can be a challenge, which is why we are connecting interested MSMEs with microfinance institutions and other credit facilities to enable them to acquire solar systems at affordable rates and repay over 18 months to two years.”

Ome said unreliable electricity supply remained a major factor limiting the productivity of MSMEs, adding that solar energy could provide a more reliable alternative while reducing the cost and stress associated with generator use.

She said the training was also exposing entrepreneurs to the actual cost of running businesses on fossil-fuel generators, including expenditure on fuel and maintenance, as well as health risks associated with generator emissions.

Ome called for stronger collaboration among government, private-sector organisations and development partners to ensure that clean energy solutions reached MSMEs at the grassroots.

In her remarks, Operations Manager of Anfani Energy Ltd, Eessy Adjoring, said the ZE-GEN training project was being implemented in partnership with Solar Sister Nigeria and facilitated by the Carbon Trust, with support from the Small and Medium Enterprises Development Agency of Nigeria (SMEDAN).

Adjoring said the programme was not only about sensitising MSMEs to solar energy but also about creating financing pathways to make adoption possible.

She said: “It is one thing to preach adoption and another to actually help businesses adopt these solutions. The main aim of this project is therefore to create financing pathways that will enable MSMEs to adopt solar energy.”

She identified poor finance readiness as one of the major barriers preventing MSMEs from accessing available funding, noting that many businesses lacked proper documentation, bookkeeping records and evidence of healthy cash flow.

Adjoring urged entrepreneurs to register their businesses with the Corporate Affairs Commission (CAC), maintain proper financial records, comply with tax obligations and demonstrate profitability to improve their chances of accessing credit.

She added, “Financiers want to see evidence that a business is profitable and capable of repaying the financing. They want to know that the solar solution will help the business improve its productivity and generate profit.”

Also speaking, Assistant Director at SMEDAN, Dr. Funto Babarude, urged MSMEs to “solarise” their businesses, saying the transition could reduce production costs, minimise losses and increase productivity.

Babarude said funding opportunities were available through SMEDAN’s growth fund, the Bank of Industry, microfinance banks and the Bank of Agriculture.

She said entrepreneurs must be able to account for funds received and provide evidence of turnover, cash flow, profitability and credible business plans.

He said: “It is not enough to build their capacity or teach them how to operate their businesses and use solar technology. They must also be connected to financial institutions where they can access the funds required to implement what they have learnt.”

A representative of LAPO Microfinance Bank, Atomi Segun Williams, said the bank was ready to finance solar solutions for businesses across different sectors, including agriculture, tailoring and other SMEs.

Williams said financing could be structured according to the needs and capacity of individual businesses, with facilities ranging from smaller amounts to N100 million or N150 million, depending on the enterprise and its requirements.

He added that LAPO had branches across several states, enabling entrepreneurs outside Abuja to access its services, while special programmes were also available for young entrepreneurs.

One of the beneficiaries and Chairman of the National Union of Textile, Garment and Tailoring Workers of Nigeria, FCT Council, Comrade Ali Paul, described the training as timely, saying inadequate electricity supply had caused many businesses to lose opportunities and delay the delivery of services.

He said the rising cost of petrol, coupled with the cost of operating and maintaining generators, had made solar energy an increasingly attractive alternative.

Paul said: “With the high cost of PMS in Nigeria, coupled with the cost of operating and maintaining generators, solar provides an opportunity for us to operate our businesses at a lower cost and deliver our services more efficiently.”

He commended the organisers for what he described as a practical and interactive training programme.