Over 20 Million Nigerians to Enjoy REA’s Solar Project

Nigeria’s Rural Electrification Agency (REA) has unveiled a landmark partnership with Husk Power Systems, setting in motion a plan to deliver clean electricity to more than 20 million Nigerians. This collaboration, formalized through a memorandum of understanding (MoU), aims to deploy up to 250 megawatts (MW) of decentralized renewable energy projects across the country, significantly advancing Nigeria’s energy access and transition objectives.

$750 Million DARES Initiative to Anchor Electrification Drive for Over 20 Million Nigerians to Enjoy REA’s Solar Project

At the heart of this massive undertaking is the Distributed Access through Renewable Energy Scale-up (DARES) initiative. Backed by a $750 million loan from the World Bank’s International Development Association (IDA), the DARES project is described as the largest publicly funded off-grid energy project of its kind globally. Managed by the REA, this fund will act as a crucial capital subsidy to de-risk investments and catalyze private sector participation in electrifying rural and peri-urban communities where 23% of the population still lacks power.

Speaking at the ARE Energy Access Investment Forum (EAIF) 2024, REA’s Acting Director and Chief Executive, Abba Aliyu, confirmed the agency’s strategy. “The federal government, under President Bola Tinubu’s leadership, has approved this groundbreaking $750 million off-grid initiative,” he noted, highlighting its role in attracting private sector involvement.

A Multi-Technology Approach to Ensure Over 20 Million Nigerians to Enjoy REA’s Solar Project

The strategy involves a comprehensive mix of technologies to reach its ambitious goals. The plan aims to connect approximately 1.5 million people through interconnected mini-grids, three million via isolated mini-grids, and an additional 15.6 million with solar home systems and mesh grids. The 250 MW partnership with Husk Power will encompass a range of solutions, including solar mini-grids, rooftop solar installations, and other commercial solar projects, alongside programs promoting the productive use of energy (PUE) to foster local economic growth.

Building on a Foundation of Success and Future Investment for Over 20 Million Nigerians to Enjoy REA’s Solar Project

This initiative builds upon existing government efforts to close the nation’s electricity gap. The REA is also leveraging the Rural Electrification Fund (REF) to partner with state governments through a co-investment model. This effort is complemented by a separate $550 million rural electrification project supported by the World Bank and the African Development Bank (AfDB). Through these programs, the REA has already successfully deployed over 150 mini-grids nationwide, with approximately 100 of them powering critical healthcare facilities. Looking ahead, the government is set to commission projects that will benefit over 350,000 students across 15 universities, demonstrating a firm commitment to enhancing energy access in critical public sectors.

Sources for Over 20 Million Nigerians to Enjoy REA’s Solar Project

1. Productive Use of Solar Energy in Rural Nigeria – energypedia
2. NEP – Rural Electrification Agency (REA)
3. Press Release – NIGERIA DARES HITS MILESTONE AS REA … – NEP
4. The Role of Policy and Energy Management in Rural Electrification
5. Rural Electrification Agency (REA) of Nigeria and Husk Power …
6. Nigeria to build 1GW solar module manufacturing facility – PV Tech
7. [PDF] NIGERIAN MARKET REPORT – MAY 2024
8. Developing E-mobility Infrastructure in Existing Microgrid Projects …
9. Expanding Nigeria’s mini grid market – World Bank