By George Ozalla
The Rural Electrification Agency (REA) has disbursed the sum of N3.2 billion for the deployment of solar-powered mini-grid projects across communities in Bauchi State, in a move aimed at expanding electricity access in underserved areas.
According to details of the intervention, the funding was released to support the rollout of decentralized renewable energy solutions targeted at communities currently outside the reach of the national grid. The project is being executed under the Distributed Access through Renewable Energy Scale-up Programme, an initiative designed to accelerate off-grid electrification nationwide.
The agency disclosed that the investment will facilitate the installation of mini-grid systems with a combined capacity exceeding 1.2 megawatts peak, covering several locations within Bauchi State. Specific allocations include installations in Gabarin East, Futuk, Gangalawai, and Daburai, each expected to receive varying capacities tailored to local energy demand.
The mini-grid systems are structured to operate independently of the national grid, providing reliable and clean electricity directly to households and small businesses in remote communities. The intervention is expected to stimulate local economic activities and improve living conditions in the benefiting areas.
The agency noted that the disbursement forms part of a broader financing framework established in partnership with a local financial institution, under a N100 billion revolving credit facility designed to support renewable energy developers. The arrangement allows qualified developers access to funding for equipment procurement, with counterpart financing to ensure project delivery.
The latest release follows closely on the heels of another major disbursement for a separate mini-grid project in Ebonyi State, signalling sustained investment in Nigeria’s off-grid energy sector.
Managing Director of the agency, Abba Aliyu, said the pace of the disbursement reflects growing confidence in the country’s renewable energy market, adding that the financing model is structured to channel capital into projects that are ready for implementation and aligned with measurable delivery targets.
The Rural Electrification Agency (REA) is the Federal Government’s implementing body responsible for extending electricity access to unserved and underserved communities, with a focus on off-grid and renewable energy solutions aimed at bridging Nigeria’s energy gap.
