- Nigeria’s DARES programme has reached 5.3 million people but delivered only 41.25MW of its 465MW renewable capacity target.
- Faster project deployment and stronger state regulation are needed to meet its 2028 goals.
Nigeria’s Distributed Access through Renewable Energy Scale-up (DARES) programme has provided new or improved electricity access to 5.3 million people, but renewable capacity remains far below the project’s 2028 target. DARES had enabled 41.25MW of renewable capacity by June, against a target of 465MW.
The World Bank approved the programme in December 2023 with $750 million in financing. The project aims to connect 16.2 million Nigerians by December 2028. So far, the programme has reached about one-third of its target.
Solar home systems have recorded faster growth. DARES has supported the deployment of 1.046 million units, compared with a target of 2.75 million. Deployments rose from about 709,500 in March. Recent regulatory changes could help accelerate the rollout of larger distributed power projects.
In April, the Nigerian Electricity Regulatory Commission introduced a new mini-grid framework and raised the capacity limit for DARES-eligible projects to 10MW. The reforms helped Nigeria meet four performance conditions under the World Bank programme. The Bank then released up to $200 million in previously restricted funding and pledged another $243 million.
More than $430 million in DARES funding now has full commitments. However, the World Bank continues to rate Nigeria’s political and governance risks as high. It also maintains a high rating for macroeconomic risk, citing currency volatility and the continuing effects of fuel subsidy reforms. These risks could affect the pace of private investment, which remains central to DARES.
Nigeria’s experience with another World Bank-backed power programme also highlights the importance of meeting reform targets.
In May, Nigeria and the World Bank cancelled $717.7 million in undisbursed financing under the Power Sector Recovery Programme after the project failed to meet required milestones. The programme closed on May 31, 2026, more than a year ahead of schedule. DARES presents a different picture so far. Nigeria has met several conditions and secured additional financing as a result.
States will play an increasingly important role in the programme’s next phase. Nigeria has transferred electricity regulation to 16 state-level commissions over the past two years.
The World Bank and the Nigeria Governors’ Forum have identified the need to strengthen these new institutions. The Rural Electrification Agency will coordinate with states that want to participate in DARES. The programme faces a bigger test: turning funding and regulatory reforms into actual power projects.
DARES needs to deliver 423.75MW more renewable capacity and reach another 10.9 million Nigerians before its December 2028 deadline. Meeting those targets will require faster project execution, stronger state institutions and sustained private-sector investment.