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FG, REA and Lotus Bank move to strengthen financing for off-grid power projects
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Partnership targets renewable energy access in rural, underserved communities
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Initiative aligned with FG’s DARES programme to scale electricity access
The Federal Government, through the Rural Electrification Agency (REA), has announced plans to expand its collaboration with Lotus Bank to boost financing for off-grid electricity projects across Nigeria.
The move is aimed at improving access to renewable energy, particularly in rural and underserved communities, while attracting increased private sector participation in the power sector.
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Speaking during an engagement with the bank, REA Managing Director, Dr Abba Aliyu, urged Lotus Bank to set clear funding targets and adopt internal standards that would help project developers scale their operations more effectively.
Dr Aliyu noted that deliberate and structured financing is critical for transitioning renewable energy initiatives from pilot stages to large-scale impact nationwide.
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Both parties disclosed that discussions are ongoing towards the signing of a Memorandum of Understanding (MoU) to formalise the partnership.
The proposed MoU is expected to define funding structures and operational guidelines to support renewable energy projects across the country.
Recall that the collaboration will move beyond supporting isolated projects to establishing a dedicated financing framework for off-grid power development.
The initiative forms part of the Federal Government’s Distributed Access through Renewable Energy Scale-up (DARES) programme, designed to tackle Nigeria’s electricity access challenges.
