Abuja, October 25, 2024 – The Rural Electrification Agency (REA) today signed a landmark, multi-stakeholder Memorandum of Understanding (MoU) with strategic partners to enhance collaborative efforts aimed at accelerating access to clean, reliable, and sustainable energy for unserved, underserved, and peri-urban communities across Nigeria. The signing ceremony took place in Abuja, and marks a significant step towards driving innovation and expanding renewable energy solutions in key institutions in Nigeria. With an active history on sector coordination and energy access project implementation in Nigeria, the REA continues to facilitate productive partnerships with other government agencies, development finance institutions as well as the private sector, geared towards revolutionizing the energy access landscape.

The Agency’s new line of partnerships includes four (4) government agencies: Nigeria Immigration Service; Nigeria Police Trust Fund (NPTF); National Training Institute of Nigeria (NAPTIN) and the National Agricultural Development Fund (NADF). As part of these new commitments, the REA signed MoU’s with 19 Renewable Energy Service Companies (RESCOs) who have committed to optimizing their resources to delivering innovative, sustainable, utility-scale renewable energy capacity in line with the objectives of the REA.  

The event, which brought together key players in the energy sector, is targeted at mainstreaming actionable strategies to improve access to finance, private sector investment, innovation and technology optimization as well as strategic partnerships between the public and the private sector. The REA’s approach to renewable energy projects is a data-driven and impact-focused approach targeted at strengthening the operations of organizations, cutting down on C02 emission, decreasing operational costs, enabling sustainability, while significantly increasing the nation’s clean energy footprint.

The Agency’s new growth path as well as its new line-up of futuristic partnerships are in line with the Renewed Hope Agenda of His Excellency, President Ahmed Bola Tinubu, as captured in the nation’s current blueprint for the energy sector; the 2023 Electricity Act, with each organization bringing its unique expertise, resources, and technical assistance to ensure the success of the initiative.

While harping on the Federal Government’s new approach to addressing the nation’s electricity challenges, in line with the 2023 Electricity Act, the MD/CEO of the REA, Abba Abubakar Aliyu explained “the need for strategic coordination between the multiple players across the electricity value chain and a coordinated approach in the delivery of energy access projects”. He added that “the REA has been tasked with the implementation of the National Electrification Strategy and Implementation Plan (NESIP), which will serve as a pathway for data-driven, sector-specific, integrated electrification plan, hence the need for strategic partnerships with key players across sectors”.

Comptroller General of Immigration Service (CGIS), Kemi Nanna Nandap, while speaking on her technology-driven and innovative approach to border safety and security, expressed her delight about the timeliness of the partnership with the REA. She explained that state-of-the-art technologies, including a top-tier data center, being utilized by the NIS under this administration can only be sustainably powered through clean energy. She explained that “it is an honour to activate the partnership with the REA as such a partnership now enables the NIS to scale its interventions on border management, border governance and migration management”. While sharing her thoughts on rural electrification as it aligns with the mandate of the NIS, the CG explained that sustainable energy infrastructure strengthens engagement with border communities situated in rural areas and solar streetlight technologies provides safety across the communities. This, she said, “will be a game-changer for the NIS”.

The Executive Secretary, Nigeria Police Trust Fund (NPTF), Mohammed Shaidu, while commending the REA’s delivery of its mandate, emphasized the centrality of energy in technology use. He added that the NPTF’s partnership with the REA “will have a profound effect on the welfare and the operational readiness of the Nigeria Police as the utilization of renewable energy will not only reduce the dependence on traditional energy sources but will also provide sustainable and reliable power to the police personnel and enhance their capacity to serve and protect “. He reassured that the MoU between the REA and NPTF will serve as “a framework for the planning, implementation and monitoring of projects that will electrify key police facilities, as such projects align with the broader goal of promoting sustainability, energy security and enhanced mobility for the police force”.

As the Agency counts down to the flag off of the Distributed Access through Renewable Energy Scale-up (DARES), a $750m electrification programme under the REA, the Head of the Nigeria Electrification programme (NEP), Olufemi Akinyelure, while speaking on the REA’s central role in the evolution of private sector players in the energy sector from contractors, to developers to Renewable energy Service Companies (RESCOs), explained that “the RESCO is a central pillar of REA’s off-grid electrification efforts, ensuring that unserved, underserved and rural communities benefit from sustainable, affordable, and scalable renewable energy solutions”. Olufemi explained that while the DARES is designed to be an impactful and transformative programme, beyond the grants and budgetary allocations through the REA, “the private sector needs to be able to catalyze funding, private financing and private investment”. He assured stakeholders of the REA’s readiness to facilitate and implement utility-scale renewable energy infrastructure nationwide.

Engr. Doris Udoh, the Executive Director, Rural Electrification Fund (REF) explained that the REA’s scale-up strategy is targeted at alleviating energy poverty both in rural, unserved areas and across key sectors such as education, healthcare, agriculture and security. She emphasized the Agency’s focus on the optimization of renewable energy sources to close the energy gap at a quicker pace. Engr. Udoh added that the REA continues to keep up with technological advancements in the renewable energy sector as the Agency has sustained its strategic approach to sector coordination, investment and project implementation.

In line with the REA’s ag-energy strategy, targeted at improving energy access for agricultural productivity, the Executive Secretary, National Agricultural Development Fund (NADF), Muhammed Abu explained that the Fund’s partnership with the REA will ensure energy sufficiency to utilize tools such as “solar-powered irrigation systems that allows all-year-round farming, solar-powered planters, threshers and dryers”. He added that “renewable energy has the potential to significantly drive production in terms of quantity and quality of produce as post-harvest losses can be avoided”.

As part of the agreement, the partnership will also focus on capacity building, policy support, and creating enabling environments for private sector involvement in energy projects. By expanding access to finance and fostering collaboration between public and private sectors, the Agency aims to attract greater investment in Nigeria’s renewable energy landscape.

ABOUT THE RURAL ELECTRIFICATION AGENCY

The Rural Electrification Agency (REA) is the Implementing Agency of the Federal Government of Nigeria (FGN) under the Federal Ministry of Power tasked with the electrification of unserved and underserved communities to catalyze economic growth and improve quality of life for Nigerians. The Agency was established under part IX, Sections 88- 89 of the Electric Power Sector Reform Act (EPSRA), 2005. 

The REA is currently implementing the Rural Electrification Fund (REF), Capital Projects, Nigeria Electrification Project (NEP), Solar Power Naija (SPN), Energizing Education Programme (EEP), Energizing Economies Initiative (EEI), Energizing Agriculture Programme (EAP), Energy for All – Mass Rural Electrification and Research and Innovation Hub. Africa Mini Grids Programme, Derisking Sustainable Off-Grid Lighting Solutions and the Korean Energy Project.

The Agency is responsible for creating an enabling environment for private sector-led projects, which includes conducting feasibility assessments, energy audits, enumeration, data analysis, identification of qualified private sector developers, and project stakeholder engagements.