The Rural Electrification Agency (REA) has disbursed about N9 billion to support the deployment of solar mini-grid projects across Taraba State, Kogi State, Kwara State, and Niger State.
The agency made this known through a statement released on Sunday.
The REA added that the funding is backed by its Distributed Access through Renewable Energy Scale-up Programme’s performance-based grant framework, supported by a recently signed N100 billion Memorandum of Understanding with Lotus Bank.
What they are saying
The agency explained that the projects span multiple states, with mini-grid deployments planned across Taraba, Kogi, and Kwara, as well as additional sites in Niger State, aimed at improving electricity access in underserved communities.
Commenting on the development, the Managing Director of REA, Abba Aliyu, said the steady flow of funding reflects growing confidence in Nigeria’s renewable energy space.
- “What is particularly encouraging here is the consistency; this is not a one-off thing; it is a pattern of capital being deployed, projects moving forward, and confidence in the system continuing to grow,” he said.
He further noted that the funding would ease access to critical resources for developers while accelerating electricity delivery to communities.
- “For developers, this means access to the equipment and financing needed to deliver. For communities, it means faster timelines for reliable power. And for the market, it reinforces the point that local financing is stepping up in a significant way,” Aliyu added.
More insights
A breakdown of the disbursement shows that N7.95 billion was released to Havenhill to finance key equipment for four mini-grid projects across Taraba, Kogi, and Kwara states.
In addition, N1.056 billion was disbursed to Faraday & Otstred Limited for mini-grid deployments across three sites in Niger State.
The agency also referenced earlier financing approvals, including N7.4 billion allocated to Ventura Logistics Services and N3.2 billion to Zanoplus, underscoring sustained financial commitments to renewable energy infrastructure.
What you should know
The latest disbursement comes shortly after President Bola Tinubu approved a N3.3 trillion payment plan to settle longstanding debts in Nigeria’s power sector under the Presidential Power Sector Financial Reforms Programme.
Under the plan, a total of N3.3 trillion has been agreed as the full and final settlement of verified legacy debts, with about 15 power plants already signing settlement agreements valued at N2.3 trillion.
The Federal Government has raised N501 billion to fund the payments, out of which N223 billion has already been disbursed, while further payments are ongoing.
The latest REA disbursement is seen as part of broader efforts to diversify Nigeria’s power supply away from the national grid, alongside the agency’s plan to deploy N100 billion in 2026 for hybrid mini-grid projects targeting government institutions within and outside Abuja.
