In an effort to address Nigeria’s persistent energy challenges, a Jeff Bezos-backed group is advancing plans to deploy solar-powered mini-grids as an alternative energy solution. These mini-grids, developed and managed by private firms, aim to supplement the nation’s overstretched national grid, offering much-needed support for households and businesses across the country.
The initiative is part of a broader push to expand energy access and reduce Nigeria’s dependence on traditional energy sources. With 86 million Nigerians lacking electricity access and millions more dealing with regular blackouts, the country’s unreliable power supply continues to hamper productivity and economic growth.
Given Nigeria’s abundant sunlight, solar energy presents a promising solution to its power woes. On average, the country receives six hours of sunlight daily, which translates into an estimated potential capacity of 427,000 megawatts from both concentrated solar power and photovoltaic systems.
At the core of this project is the Global Energy Alliance for People and Planet’s (GEAPP) Demand Aggregation for Renewable Technology (DART) programme. DART seeks to lower solar equipment costs by aggregating the demand of multiple developers. Additionally, it manages a $25 million financing facility that allows developers to secure equipment with dollar-based funding, repaying it in naira once revenues are generated. This financial structure is crucial for advancing renewable energy in Nigeria’s import-dependent economy.
The country’s national grid currently generates around 4,000 megawatts of electricity—just a fraction of the power produced by South Africa, despite Nigeria having a much larger population. Frequent grid collapses compound the issue, with three incidents reported in just one week, making consistent power supply a major challenge for over 200 million Nigerians.
Muhammad Wakil, the country delivery lead for GEAPP, emphasized the need for far more solar projects to combat the nation’s energy poverty. “We’ve demonstrated that it’s a viable business model,” Wakil said, stressing the importance of scaling up such efforts.
Complementing the GEAPP initiative, the Nigerian government recently launched a rural electrification project with $750 million in funding from the World Bank. Overseen by the Rural Electrification Agency (REA), this project aims to provide electricity to an additional 17.5 million Nigerians, further bolstering the country’s push toward energy access and poverty reduction.
While solar mini-grids and rural electrification efforts mark critical steps forward, sustained investment in renewable energy infrastructure remains essential to resolving Nigeria’s long-term power challenges.