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FG partners W’bank to launch $750m electricity project

Onwubuke Melvin
Onwubuke Melvin

The Rural Electrification Agency has announced the initiation of a new rural electricity project next month, financed by the World Bank with a budget of $750 million.

This initiative aims to provide electricity to 17.5 million Nigerians.

This was disclosed by the the Managing Director of the REA, Engr. Abba Abubakar during an interview on Channels Television’s Sunrise Daily program.

Abubakar highlighted that the Distributed Renewable Energy Scale-Up Project will leverage renewable energy sources to deliver electricity to underserved communities across the country.

He emphasized that the project is among the most ambitious globally, targeting a substantial number of beneficiaries.

He detailed that of the 7.5 million people set to receive electricity, three million will be served through isolated mini-grids, 1.5 million through interconnected mini-grids, and the remainder will be electrified via a combination of marched grid and stand-alone solar systems.

“There is a new project that we are starting next month called Distributed Renewable Energy Scale up project which is a $750 million financed by the World Bank. The target of that project is to electrify 17.5 million Nigerians, and I must say that this is one of the most ambitious project in the world based on my understanding from India that has moved many unelectrified people to have access to electricity,” he said.

He stated that the project is expected to last for five years and builds upon the successes of similar initiatives in the past, which were funded by the World Bank and the African Development Bank at a cost of $550 million.

In December 2023, the World Bank approved the Nigeria Distributed Access through Renewable Energy Scale-up project, supported by a $750 million International Development Association (IDA) credit. This initiative is expected to attract over $1 billion in private capital and additional financing from development partners, including $100 million from the Global Energy Alliance for People and Planet and $200 million from the Japan International Cooperation Agency.


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