In a significant move towards expanding electricity access across Nigeria, the Rural Electrification Agency (REA) has signed Memoranda of Understanding (MoUs) with five leading renewable energy companies. This partnership aims to deliver a combined 1,265 MW capacity of distributed renewable energy projects, including interconnected minigrids, isolated minigrids, commercial and industrial (C&I), and public utility enterprises (PUE) projects.
According to a press release issued by the REA, the MoUs were signed with A4&T Power Solutions, Privida Power, Skipper Nigeria Limited, Eauxwell Nigeria Limited, and Havenhill Synergy Limited. This landmark event took place on July 4, 2024, in Abuja, Nigeria.
The projects under the Distributed Access through Renewable Energy Scale-up (DARES) initiative will electrify peri-urban and rural communities, including markets, businesses, households, public institutions, health clinics, and schools in both weak grid and off-grid areas. This partnership will also introduce new energy service models, enable the mass adoption of energy-efficient appliances and PUE devices, and bring about the introduction of a range of value-added services, including e-mobility, agricultural processing, cold storage, and e-cooking.
“This is a landmark event under the DARES programme and the introduction of the Renewable Energy Service Companies (RESCOs) model,” said Abba Abubakar Aliyu, the Managing Director/CEO of REA. “The RESCO model aims to provide developers with a platform to become utility companies where they can attract investment to deploy mini grids.”
The breakdown of the MoUs, which will provide a combined capacity of 1,265 MW, is as follows:
The signing ceremony was attended by various stakeholders, who expressed their enthusiasm for the partnership:
“It is a pleasure and honour for me to be part of this MoU signing ceremony. India and Nigeria have had a beneficial relationship in manufacturing and service industry since the 1960s. This signing will improve the bilateral cooperation between India and Nigeria,” said G. Balasubramanian, High Commissioner of India.
Chibuzo Enwegbara, a representative of the Managing Director of Eauxwell, stated, “We are very pleased to sign this MoU and hope to meet all our targets.”
Omo Williams, the CEO of Privida, said, “Thank you very much for this opportunity. We are solidly behind REA. We have worked in several countries, but Nigeria stands out, and the vision and targets set by REA is unique.”
Ankit Kumar, the Managing Director of Skipper Energy, commented, “We want to partner with leading policymakers like the REA to make an impact on the lives of Nigerians. We are delighted with this opportunity.”
Olusegun Odunaya, the Managing Director of Havenhill Synergy, expressed, “We are an indigenous company who has had several partnerships with REA in the past, and we are delighted for this opportunity to continue working together.”
Ayo Ademilua, the CEO of A4&T Power Solutions, said, “I sincerely appreciate the Management of REA under the leadership of Abba Abubakar Aliyu. The REA has always been ambitious and supportive. The Federal Government and REA have always provided the enabling environment for companies to thrive.”
The Rural Electrification Agency is the Implementing Agency of the Federal Government of Nigeria under the Federal Ministry of Power. It is responsible for the electrification of unserved and underserved communities to catalyze economic growth and improve the quality of life for Nigerians.
The Agency is currently implementing various projects, including the Rural Electrification Fund (REF), Capital Projects, Nigeria Electrification Project (NEP), Solar Power Naija (SPN), Energizing Education Programme (EEP), Energizing Economies Initiative (EEI), Energizing Agriculture Programme (EAP), Energy for All – Mass Rural Electrification, and Research and Innovation Hub.
This latest partnership with the five renewable energy companies is a significant step forward in the REA’s mission to expand electricity access and drive Nigeria’s transition towards sustainable, efficient, and economically viable energy solutions.
This landmark partnership between the REA and leading renewable energy companies represents a significant step forward in Nigeria’s quest to provide universal electricity access. By leveraging distributed renewable energy solutions and innovative service models, these projects have the potential to transform the lives of millions of Nigerians, particularly in rural and underserved communities. The strengthening of electricity cooperatives further ensures the long-term sustainability of these initiatives. This collaborative effort showcases Nigeria’s commitment to a sustainable energy future and serves as a model for other African nations to emulate.
