The Rural Electrification Agency (REA) has disbursed a combined ₦9.006 billion to two Nigerian companies for mini-grid projects in five states. Havenhill received ₦7.95 billion to fund equipment for four renewable energy mini-grids across Taraba, Kwara, and Kogi States. Faraday & Otstred Limited was allocated ₦1.056 billion for mini-grid deployments in three locations in Niger State. The funding is part of the Distributed Access through Renewable Energy Scale-up (DARES) program, which operates under a Performance-Based Grant (PBG) framework. It follows a recent ₦100 billion Memorandum of Understanding between REA and Lotus Bank aimed at accelerating renewable energy access. REA Managing Director Dr. Abba Aliyu stated that the disbursements reflect a growing trend of sustained investment in Nigeria's renewable energy sector. "What is particularly encouraging here 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 emphasized that local financing is becoming a key driver in expanding energy access.
Dr. Abba Aliyu's emphasis on consistent funding reveals a shift in how Nigeria's energy projects are being financed—with local institutions now playing a central role. The ₦9.006 billion disbursed to Havenhill and Faraday shows that performance-based incentives are unlocking private participation. For Nigerians in unserved communities, this could mean more reliable electricity as mini-grid projects gain financial traction. It also signals that domestic capital, not just foreign aid, is becoming a pillar of energy expansion.
