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REA signs agreement with 9 energy firms to provide electricity to 17.5 million Nigerians

Chike Olisah by Chike Olisah
April 29, 2025
in Corporate deals, Energy, Sectors, Spotlight
Power line

Power lines. (Image credit: African Energy Portal)

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The Rural Electrification Agency (REA) has signed grant agreements with nine renewable energy companies to provide electricity access to 17.5 million Nigerians.

This appears to be the first collaboration under the World Bank-funded Distributed Access through Renewable Energy Scale-Up (DARES) project, following its official launch in 2024.

The Managing Director of REA, Abba Aliyu, who spoke at the signing ceremony in Abuja on Monday, April 29, 2025, said the project aimed to electrify 17.5 million Nigerians by deploying 1,350 mini-grids.

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This initiative involves the firms Privida Power Limited, Baobab Plus, Salpha Energy, Asolar, NTA-StarTimes, A4&T Power Solutions, Sunking Greenlight Planet, Bboxx, and D.Light.

The REA said, “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.’’

Improving energy access across the country

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

Aliyu said the project’s implementation was divided into two components namely, 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.

Aliyu said, “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.

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

He noted that this effort demonstrates REA’s commitment to scaling up access to electricity and tackling the challenges in Nigeria’s power sector, adding that this administration under President Bola Tinubu’s Renewed Hope Agenda was aggressively addressing the nation’s electricity challenges.

He said, “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.

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

Partnerships key to energy access

Speaking at the event, the Head of the Nigeria Electrification Programme (NEP), Mr Olufemi Akinyelure, highlighted the broader impact of the initiative.

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

“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.

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

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 success of the project.


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Tags: Abba AliyuDARES projectNational Electrification Project (NEP)Rural Electrification Agency
Chike Olisah

Chike Olisah

Chike was a banker with over 11 years experience in retail and commercial banking, risk management, treasury portfolio management and relationship management. He also acquired some experience in financial management and do have some special interest in investment analysis and personal finance. He had stints with financial institutions like the former Intercontinental Bank and Fidelity Bank.

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