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Tuesday, April 29, 2025

REA signs grants with nine companies to expand energy access

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The Rural Electrification Agency (REA) on Monday, April 28, 2025, signed grant agreements with nine renewable energy companies to provide electricity access to 17.5 million Nigerians.

Solar mini-grid
A solar mini-grid system

The companies are Privida Power Limited, Baobab Plus, Salpha Energy, Asolar, NTA-StarTimes, A4&T Power Solutions, Sunking Greenlight Planet, Bboxx, and D.Light.

The development marks the first signing under the World Bank-funded Distributed Access through Renewable Energy Scale-Up (DARES) project, following its official launch in 2024.

“This initiative also contributes to the broader Mission 300, a global effort to deliver energy access to 300 million people in Sub-Saharan Africa by 2030, as Nigeria advances toward achieving universal electricity access,” REA said.

Speaking at the signing ceremony in Abuja, the Managing Director of REA, Abba Aliyu, said the project aimed to electrify 17.5 million Nigerians by deploying 1,350 mini-grids.

He explained that the interconnected mini-grids being deployed were intended to enhance the reliability of electricity supply to Bands D and E customers, while also expanding access to underserved communities.

Aliyu said the project’s implementation was divided into two components: “Deployment of mini-grids (both isolated and interconnected), and deployment of solar home systems.”

He stated that 198 sites had already been submitted under the project, projecting an estimated 340,000 new connections and the addition of 47 megawatts of clean, reliable electricity to the national grid.

“The 11 sites we are signing with Privida Power Limited alone will add over 2.5 megawatts of reliable energy, resulting in an additional 11,000 connections,” he said.

“Meanwhile, eight companies will deploy 1.6 million solar home systems across rural areas.”

According to him, this effort demonstrates REA’s commitment to scaling up access to electricity and tackling the challenges in Nigeria’s power sector.

He noted that the government, under President Bola Tinubu’s Renewed Hope Agenda, was aggressively addressing the nation’s electricity challenges.

“The issue of 18 million Nigerians without access to electricity will soon be a thing of the past, thanks to interventions like DARES and other REA projects,” Aliyu added.

“Today’s signing is not just a contract; it is a commitment to communities long underserved by conventional infrastructure.”

Also speaking, Mr Olufemi Akinyelure, Head of the Nigeria Electrification Programme (NEP), emphasised the broader impact of the initiative.

“Every connection made under DARES represents a doorway to education, healthcare, commerce, and inclusion,” he said.

“The over 11,027 new connections to be delivered under this project symbolise lives transformed, futures energised, and a Nigeria that leaves no one behind.”

He noted that partnerships like these served as a blueprint for achieving Nigeria’s national energy access goals.

Akinyelure explained that DARES, a key initiative under NEP, was structured to catalyse the off-grid energy market through targeted grant support for mini-grid and standalone solar projects.

“These renewable energy solutions are crucial for providing reliable and affordable electricity to off-grid communities, unlocking their potential for social and economic advancement,” he said.

Under the Performance-Based Grant sub-component for isolated mini-grids, Privida Power Limited secured a grant to deploy solar mini-grids across 11 communities in Kogi, providing over 11,027 new connections.

In addition, the eight other companies under the Standalone Solar Systems (SAS) component signed agreements to roll out Tier 1 and Tier 2 plug-and-play solar solutions for households and MSMEs to expand energy access across rural Nigeria.

Speaking on behalf of the companies, Mr William Akalume, Group Chief Executive Officer (CEO) of Privida Power Limited, expressed commitment to the project.

“We are committed to the success of this project and appreciate the REA for the impactful work they are doing to improve the lives of Nigerians,” he said.

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