REA disburses N9bn to boost mini-grid projects in four states

THE Rural Electrification Agency (REA) has advanced its push to expand renewable energy access, marking another milestone in its ongoing funding support for off-grid power projects across Nigeria.

In the latest tranche, the agency released N7.95 billion to Havenhill to support the procurement of key equipment for four mini-grid projects spanning Taraba, Kwara, and Kogi states. In a similar move, N1.056 billion was disbursed to Faraday & Otstred Limited to fund mini-grid installations across three locations in Niger State.

The fresh disbursements build on earlier funding rounds, including N7.4 billion approved for Ventura Logistics Services and N3.2 billion allocated to Zanoplus, underscoring a steady pipeline of financial support for renewable energy developers.

The funding is anchored on the Performance-Based Grant framework under the Distributed Access through Renewable Energy Scale-up (DARES) programme, and is backed by a N100 billion Memorandum of Understanding recently signed with Lotus Bank.

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Reacting to the development, Managing Director of REA, Mr Abba Aliyu, highlighted the growing consistency in capital deployment within the sector, noting that the trend signals increasing investor confidence and project execution momentum.

According to him, the steady flow of funding is improving developers’ access to critical equipment and financing, accelerating project timelines for host communities, and strengthening the role of local financing in driving Nigeria’s energy transition.

Aliyu added that REA remains focused on enabling indigenous firms to play a leading role in delivering sustainable power solutions, stressing that the current momentum reflects the success of performance-driven financing models and stronger participation from Nigerian financial institutions.