FG signs grant agreements to power 5 million homes in 2021

The Rural Electrification Agency, under the aegis of the federal government, has signed grant agreements with two mini-grid developers under the Mini-Grid Performance-Based Grant (PBG) to electrify 4 communities.

This disclosure was made by Ahmad Salihijo, the current Managing Director of the Rural Electrification Agency, in a statement issued to the public via his official Twitter account.

The statement partly reads:

“This afternoon, two mini-grid developers were signed up under the Mini-Grid Performance-Based Grant (PBG), under the World Bank and African Development Bank, funded Nigeria Electrification Project (NEP). The plan is to continue to leverage these renewable energy technologies to power communities, under the Nigeria Electrification Project Mini-Grid Component. Today, we signed on Nayo Tropical Technology Ltd and Darway Coast. Using the PBG, these two developers will electrify 4 communities.”

Optics

The Mini-Grid Performance-Based Grants (PBG) Program aims to close the viability gap for mini-grids developed on a spontaneous basis. Grants of US$350/connection are available on a first-come-first-serve basis, with a minimum total grant request of US$10,000 per mini-grid.

However, Eligible projects are solar hybrid systems in unserved areas, and the applications for the performance-based grants will be accepted on a rolling basis, once the program is active and until available funds are exhausted.

We kicked off a new week with the signing of grant agreements.

This afternoon, two mini-grid developers were signed up under the Mini-Grid Performance Based Grant (PBG), under the @WorldBank and @AfDB_Group funded Nigeria Electrification Project (NEP). pic.twitter.com/T5gCBw7CRd

— Ahmad Salihijo (@modisalihijo) November 2, 2020