Nigeria’s rural electrification: Renewable energy for remote areas

By CHARLES EKEH

The Rural Electrification Agency, REA, of Nigeria was established to address the critical energy deficit in rural and underserved communities across the country’s six geopolitical zones. With over 85 million Nigerians lacking access to electricity (World Resource Institute), the REA plays a pivotal role in bridging this gap through decentralised renewable energy, RE, solutions. This article evaluates the REA’s performance in deploying renewable energy projects, focusing on its strategies, achievements, challenges, and impact on rural electrification.  

I recall sometime in 2008, REA Abuja invited our company to create a design and bid for rural electrification delivery. My boss at the time defenestrated the opportunity, claiming they were an unorganised bunch. Today the story is different! 

The REA has implemented several programmes to expand energy access, including mini-grids, solar home systems, SHS, and productive-use energy applications. Key initiatives include: Nigeria Electrification Programme, NEP, and the Distributed Access through Renewable Energy Scale-up, DARES.  The DARES project, funded by the World Bank with $750 million, aims to provide electricity to 17.5 million Nigerians through mini-grids and standalone solar systems.  As of 2025, REA has signed agreements with eight renewable energy companies, including Privida Power, to deploy 2.47 MW of solar mini-grids in Kogi State, benefiting 11,027 households. Additionally, standalone solar systems are expected to reach 1.6 million households.  

In partnership with the UNDP and Global Environment Facility, GEF, REA awarded $5.91 million to 18 developers to construct 23 mini-grids with capacities ranging from 30 kWp to 200 kWp. These projects target agricultural productivity, reducing post-harvest losses and powering rural businesses, impacting 70,000 Nigerians. The REA’s 2023 report highlights the deployment of: 330 kWp of mini-grid capacity, 2,631 solar home systems (160 kWp), 1,668 solar-powered irrigation pumps (200 kWp), and 18,300 solar streetlights across 500 km.  

These interventions reached 1.4 million people, with notable impacts in the North-Central (348,879 beneficiaries) and North-East (291,628 beneficiaries) zones.  

The REA my boss ignored over a decade ago, has come of age, making impacts and being beneficial to the society in various ways observable in agricultural productivity, energy access, environmental sustainability, and gender inclusiveness.

In the agriculture sector, REA successfully integrated solar-powered irrigation pumps, and they have enhanced farming output, covering 24,000 hectares of farmland.  

REA has significantly boosted the Energy Sankey diagram and access in Nigeria.

Mini-grids and SHS – solar home systems – have reduced reliance on diesel generators, lowering energy costs for rural households and businesses.  

By replacing fossil fuel-dependent energy sources with solar and hybrid systems, REA’s projects contribute to Nigeria’s Energy Transition Plan, ETP, reducing carbon emissions and aligning with SDG 7 (Affordable and Clean Energy).  

The DARES project specifically targets 525,731 female-headed households, promoting gender equity in energy access. DARES is designed to drive economic growth, create jobs, improve access to essential services and enhance the quality of life of the targeted rural and under-served populations. It is emotionally touching to note that widows are given priority, and this is real gender inclusiveness.

Despite progress, several challenges persist in the delivery of power to the rural and under-served communities. Financial and logistical barriers, high upfront costs of RE technologies and reliance on donor funding limit scalability. 

Infrastructure gaps still exist. Weak grid infrastructure in remote areas complicates the integration of mini-grids. The challenge of e-waste and sustainability is still pertinent and of genuine concern. Improper disposal of batteries and panels could lead to environmental harm without proper recycling frameworks. There is a business opportunity for companies that expand to e-waste management. Another hindrance is insecurity in certain remote areas. 

The energy must be evaluated within controlled environments. How have policy implication bottlenecks affected project execution? The dilatory conditions created by poor policy enactments are technically observed in delayed rollout of some DARES components.

There are several avenues for improvement in the REA electrification delivery to the rural areas and under-served communities. It behoves REA to strengthen Public-Private Partnerships, PPPs, and encourage more private sector investment through incentives like tax breaks and risk guarantees.  

It is also important to engage renewable energy integrity stakeholders like Renewable Energy Integrity Association Abuja–REIA Abuja. In the same vein, it is imperative to enhance community engagement by expanding the Rural Electricity Users Cooperative Society, REUCS, to ensure project sustainability.  

Another step is to boost local manufacturing so as to reduce import dependency by supporting local production of solar panels and batteries. I’ve been to the NASENI factory in Abuja. Such should be replicated across the six geopolitical zones, and or grant private operators the privilege to build and manufacture RE products within the country. 

Some companies can also adopt frugal innovation techniques by exploring e-waste repurposing for low-cost solar solutions, as proposed in some academic studies.

The REA has made commendable strides in deploying renewable energy solutions across Nigeria’s six geopolitical zones, particularly through mini-grids and solar home systems. However, financial constraints, infrastructural deficits, and policy bottlenecks hinder optimal performance. To achieve universal energy access by 2030, the REA must adopt more sustainable financing models, improve stakeholder collaboration, and leverage local innovation. With continued commitment, the agency can significantly reduce energy poverty and drive Nigeria’s transition to a green economy.

• Dr. Ekeh, an  energy expert, wrote via: tcekeh@yahoo.com; https://www.linkedIn.com/in/engr-dr-charles-ekeh

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