The Rural Electrification Agency (REA) has inked a Memorandum of Understanding with private developers as part of their Distributed Access through Renewable Energy Scale-up (DARES) project.
The signing ceremony included participation from the High Commissioner of India, highlighting bilateral cooperation in energy development between India and Nigeria, particularly noting Skipper Nigeria Limited’s involvement as an implementing entity.
Representatives from each developer expressed their commitment and enthusiasm for the partnership, emphasizing their readiness to meet targets set by REA and support Nigeria’s energy transformation goals.
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DARES project
The MoUs are part of the Distributed Access through Renewable Energy Scale-up (DARES) project administered by REA. The aim is to deliver a combined 1,265 MW capacity through various Distributed Renewable Energy (DRE) projects. These include interconnected mini-grids (IMGs), isolated mini-grids, Commercial & Industrial (C&I) solutions, and Productive Use Equipment (PUE) installations.
Participating developers and capacity commitments include, A4&T Power Solutions targeting 315 MW, Privida Power committing to 200 MW, Skipper Nigeria Limited aiming to implement 250 MW, Eauxwell Nigeria Limited focused on developing 250 MW, and Havenhill Synergy Limited planning 250 MW of solar energy projects.
This initiative introduces the Renewable Energy Service Companies (RESCOs) model. Developers under this model act as utility companies, attracting investment to deploy and manage mini-grids. This approach aims to scale up energy access efficiently and sustainably.
The partnership will enable the introduction of new energy service models such as Virtual Power Plants (VPPs) and promote the adoption of energy-efficient appliances and PUE devices. Value-added services like e-mobility, agricultural processing, cold storage, and e-cooking are also part of the initiative.
REA, as the implementing agency under the Federal Ministry of Power, is responsible for creating an enabling environment for private sector-led electrification projects. They oversee various electrification programs aimed at improving economic growth and quality of life through enhanced energy access.
