REA, Partners Unveil $188m Fund to Accelerate Solar Rollout

Nigeria’s Rural Electrification Agency and its private-sector partners have unveiled a $188 million financing platform aimed at accelerating the deployment of distributed solar energy projects across the country.

The newly launched Green Finance Investment Facility is expected to support the development of 191 megawatts of solar capacity targeted at households, businesses and underserved communities nationwide.

The initiative is being implemented through a partnership involving Barton Heyman Limited, the REA, UK PACT, First City Monument Bank and ARM Harith Infrastructure Investment Limited.

According to stakeholders, the facility is designed to mobilise large-scale private and institutional investment into Nigeria’s distributed renewable energy sector while addressing one of the industry’s biggest challenges, access to long-term financing.

The programme also aligns with the Distributed Access through Renewable Energy Scale-Up initiative, which seeks to expand electricity access through decentralised clean energy systems.

Speaking during the launch in Lagos, Managing Director of the REA, Abba Aliyu, described the facility as a strategic intervention to improve financing access for renewable energy developers and accelerate electricity access in underserved areas.

“The Green Finance Investment Facility can tackle access to finance, one of the main barriers to renewable energy deployment,” he said.

Aliyu explained that the initiative was developed as a long-term financing framework intended to move the sector away from fragmented project-based funding towards a more sustainable and scalable investment model.

He noted that the establishment of a structured financing architecture would enable developers to access capital more efficiently and support Nigeria’s broader electrification goals.

Managing Partner of Barton Heyman Limited, Olumide Lala, said the facility represented a private-sector-driven approach to financing Nigeria’s energy transition.

According to him, the initiative aims to unlock large-scale capital through a combination of sovereign-backed pipelines, commercial financing and results-based funding mechanisms.

“This is our initial step to raise $40 billion to finance 20 gigawatts of distributed renewable energy,” Lala stated.

Senior Partner at Barton Heyman, Anthony Feyitimi, said the project extends beyond clean energy deployment, stressing that reliable electricity supply would improve productivity, strengthen businesses and support economic growth.

He said the blended finance structure was designed to attract long-term private investment into the sector while creating a replicable financing model for future renewable energy projects.

Representing FCMB, Senior Vice President and Divisional Head of Business Banking Group, George Ogbonnaya, disclosed that the bank had committed ₦100 billion in debt financing under the DARES programme to support renewable energy developers.

He added that FCMB had already financed more than 42 mini-grid projects and was supporting efforts to connect over two million households to electricity.

Deputy Head of Mission at the British High Commission in Lagos, Simon Field, reaffirmed the United Kingdom’s support for renewable energy financing and green investment initiatives in Nigeria.

Special Adviser on Climate Change and Circular Economy to the Lagos State Governor, Titilayo Oshodi, also stressed the importance of coordinated investments and policy support in expanding access to sustainable energy.

Stakeholders at the event noted that the financing platform would help reduce investment risks, improve access to capital and accelerate the deployment of clean energy infrastructure across Nigeria.

Under the arrangement, the REA will provide project pipelines and results-based financing support, while Barton Heyman will oversee the blended finance structure and investment coordination.

Nigeria’s Rural Electrification Agency and private-sector partners have launched a $188 million blended finance platform to support 191MW of distributed solar projects and expand electricity access through renewable energy solutions nationwide.