- FG aims to raise $23 billion to expand renewable energy for 119 million people, as REA and Delta signed a pact to electrify 386,000 communities and create 31,000 jobs.
- The House of Representatives summoned Discos over ₦2.6 trillion in debts and other irregularities.
The Federal Government is seeking an estimated $23 billion to fund a nationwide renewable energy programme to transform electricity access for more than 119 million people, boost economic productivity, and reduce reliance on fossil fuels.
The Federal Government, through the Rural Electrification Agency (REA), signed an agreement on Monday with the Delta State government to provide power to over 386,046 off-grid communities and create 31,220 jobs in the state.
Under the Universal Electrification for Nigeria, Least Cost Model, the government plans to combine solar home systems, mini-grids, and grid extensions to bridge the country’s power deficit. The framework projects that an additional 22 million households could receive 11,000 gigawatt-hours (GWh) of electricity annually, equivalent to about 1.3 GW of average generation. Achieving this goal requires about $14 billion upfront, with the rest spread across subsequent phases.
The model allocates 45% of new connections to solar home systems in sparsely populated rural areas, 31% to mini-grids in dense but remote communities, and 24% to grid extensions in urban clusters. The initiative aims to guarantee all households at least Tier 2 electricity access—affordable, reliable, and sustainable power.
Delta State Governor Sheriff Oborevwori highlighted the urgency of diversifying the state’s energy mix, noting that nearly 65% of rural communities remain underserved. REA Managing Director Aliyu Abba said a mapping exercise identified 471 off-grid communities in the state, where electrification could attract $158 million in private investment, create 31,000 jobs, and power 532 schools and 180 healthcare centres. He added that agriculture would also benefit, particularly in processing Delta’s key crops such as cassava, maize, and oil palm.
Abba projected that scaling off-grid electrification in Delta and similar states could add $2.9 billion annually to Nigeria’s GDP while reducing dependence on fossil fuels.
Meanwhile, the House of Representatives Public Accounts Committee has summoned 11 electricity distribution companies (Discos) over ₦2.6 trillion in debts owed to the federation account. Committee chair Bamidele Salam issued the summons while reviewing the 2021 Auditor-General’s report.
NBET Managing Director Johnson Akinnawo confirmed the liabilities, supported by documents showing the debt profile as of September 30, 2020.
The report also flagged other sector irregularities, including ₦30 billion in uncollected debts from market operators, ₦549 million shortfalls in NBET’s service income, ₦100 billion paid to generation companies for undelivered power, ₦26 billion owed Nigeria for electricity exports, ₦166 billion in under-remittances by Discos, and ₦2.7 billion in unpaid invoices.