By Hosea Parah, Abuja

The Rural Electrification Agency (REA) and the Africa Mini-Grid Developers Association (AMDA) have recently signed a Memorandum of Understanding (MoU) to promote and accelerate the development of mini-grids in Nigeria. This collaboration aims to enhance knowledge sharing, capacity building, and better coordination within the sector.

Nigeria currently has one of the largest mini-grid markets in Africa, with over 100 mini-grids already in operation. These mini-grids have been implemented through data-driven programs and initiatives by the REA. However, due to the energy access gap in the country, there is still a significant need for more decentralized energy interventions, especially in rural and underserved communities.

The REA has been expanding its partnership portfolio and collaborating with stakeholders across the off-grid energy value chain as part of its Vision and Strategic Roadmap. The partnership with AMDA, which plays a pivotal role in Africa’s renewable energy space, signifies a shared commitment to research, data-driven decision-making, and the establishment of industry standards.

This strategic approach is crucial for ensuring the sustainable, secure, and optimal operation of mini-grid systems, thereby contributing to Nigeria’s overall energy landscape. Through this MoU, the REA and AMDA will collaborate on a non-exclusive basis to advance access to sustainable electricity not only in Nigeria but also in other African countries. The ultimate goal is to achieve universal access to energy by 2030.

The MoU will focus on improving data-driven decision-making, industry knowledge, and promoting sustainable energy access for unserved and underserved communities through private sector development and financing. This will help enhance policies, regulations, and the rapid deployment of renewable energy technologies.

Engr. Ahmad Salihijo Ahmad, the MD/CEO of REA, expressed enthusiasm about the partnership, stating that it will accelerate the deployment of mini-grids and provide clean, sustainable, and affordable electricity to more Nigerians. Mr. Olamide Niyi-Afuye, the CEO of AMDA, also emphasized their dedication to collaborating with the REA to nurture the mini-grid sector in Nigeria.

This collaboration between the REA and AMDA marks a significant milestone in the development of mini-grids in Nigeria. It showcases the unified efforts of both the public and private sectors in working towards the common goal of providing clean, reliable, safe, and affordable electricity for all.

The Rural Electrification Agency is the implementing agency of the Federal Government of Nigeria, tasked with electrifying unserved and underserved communities to catalyze economic growth and improve the quality of life for Nigerians. The agency is responsible for various initiatives, including the Rural Electrification Fund, Nigeria Electrification Project, and Energizing Education Programme, among others.

The Africa Mini-Grid Developers Association is an industry association created by private sector mini-grid developers and operators, donors, and investors to improve the political and economic environments for mini-grid companies. It has 43 member companies operating in 20 countries in Africa, with a combined portfolio of around 600 mini-grids providing electricity services to approximately 150,000 customers and impacting the lives of more than 750,000 people.