The Federal Government of Nigeria has secured a combined N9 billion financing for mini-grid deployment in four states, the Rural Electrification Agency (REA) announced on Sunday.
According to REA, the financing was awarded to two companies, with one receiving N7.95 billion and the other N1.056 billion for mini-grid projects across Taraba, Kwara, Kogi, and Niger states.
The allocations follow earlier approvals of N7.4 billion and N3.2 billion in funding for two other power firms. The facility is part of the Federal Government’s Distributed Access through Renewable Energy Scale-up (DARES) program, backed by a Performance-Based Grant (PBG) of N100 billion in partnership with a Nigerian bank.
REA Managing Director, Dr. Abba Aliyu, hailed the development as a demonstration of growing confidence in Nigeria’s renewable energy sector.
“What is particularly encouraging is the consistency; this is not a one-off. It is a pattern of capital being deployed, projects moving forward, and confidence in the system continuing to grow,” Aliyu said.
He added, “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 that local financing is stepping up in a significant way. This is exactly the kind of energy we hoped to unlock, where Nigerian financial institutions take the lead in powering Nigeria’s renewable infrastructure, backed by strong, performance-based frameworks. We are building momentum, and it is beginning to show.”
