The Rural Electrification Agency, led by its Managing Director and Chief Executive Officer, Abba Aliyu, has secured a funding pipeline of nearly $1.6 billion for renewable energy projects in Nigeria.
This announcement was made during a roundtable engagement with Ondo State Governor, Lucky Ayedatiwa, in Abuja. The event was themed, “From Access To Impact: Unlocking Ondo’s Renewable Energy Potential For Economic Transformation And Socioeconomic Inclusion.”
The funds, sourced from public-private partnerships, multilateral institutions, and climate finance, aim to accelerate the deployment of solar mini-grids and clean energy infrastructure in underserved and off-grid communities.
Meanwhile, the Ondo State Government had signed a Memorandum of Understanding with the Electrification Agency in a move aimed at deepening energy access and driving economic transformation through sustainable power solutions.
Aliyu emphasized that the funds, sourced through a blend of public-private partnerships, multilateral institutions, and climate finance windows, are expected to accelerate the deployment of solar mini-grids, standalone systems, and other clean energy infrastructure, particularly in underserved and off-grid communities.
“At the REA, we presently have a funding pipeline nearing $1.6 billion, which we are endeavoring to realize. We anticipate receiving $200 million from the Japan International Cooperation Agency, having advanced to the concluding phase.
Indeed, we foresee the Minister of Power traveling to Japan next month for the formal signing of that funding. Additionally, we are expecting approximately $50 million from repatriated funds, in collaboration with the Department of Justice in the United States of America. They have acknowledged, through our program and project execution, that they will allocate these funds to us.”
“Also, in the capital budget alone, we have close to half N500bn in our budget, of which N100bn was earmarked for national public sector solarisation. We have designed a program that we developed over time. Through the program, we will energise 25 communities in the entire state, and we are expecting funding of close to $500 million or so for that particular project. So we have the funding and we are ready to partner with states to drive renewable energy projects.
“We have the technical knowledge, technical ability, and resources to crystallise private funding, he said.
Aliyu stresses in the significance of Renewable Energy Service Companies in deploying renewable energy infrastructure across the country, stating that these companies have developed competencies in raising debt and equity, managing infrastructure, and community engagement.
He said, “The essence of this roundtable is to support some of these things that you have already started. We have Renewable Energy Service Companies that have developed competencies in deploying renewable infrastructure across the country. They go to the hardest-to-reach areas to deploy this infrastructure.
“These RESCOS have done over $2bn in deploying infrastructure across the country. They have the technical knowledge and ability to crystallise private funding and have developed competency and technical knowledge in community engagement, engaging with the community, sensitising the community, making the community understand the need for this infrastructure and getting them to take ownership of this infrastructure.”
The Managing Director evaluated the readiness levels of various states, including Ondo. He observed that the state achieved a score of four out of five in policy capacity readiness, yet there remains a necessity for enhancement in funding and data readiness..
These, he described as the appetite for the private sector to come to the state that’s required. We want to address funding and data for you while you address policy and capacity building.
Aliyu expressed the agency’s National Electrification Strategy and Implementation Plan, which aims to provide a pathway for each state to achieve electrification.
“We are committed to delivering electricity access to all Nigerians, we’ll work with states to achieve this goal,” he said.
On his part, the Ondo State Governor, Ayedatiwa described the MoU as a “significant milestone” that would unlock strategic partnerships and catalyse electrification across underserved communities in the state.
He said the collaboration aligns with the state’s broader vision of inclusive development, improved power supply, and economic growth driven by clean energy.
“Let me first welcome the Rural Electrification Agency and its partners for this timely and strategic dialogue, which aligns perfectly with Ondo State’s bold vision for energy access, economic growth, and inclusive development,” Aiyedatiwa said.
He asserted that the MoU is not merely symbolic, but rather a catalyst, signifying a steadfast commitment to collaboratively formulate solutions, amplify investments, and institutionalize advancement.