Nigeria has signed on March 10 a $200 million agreement with WeLight, a pan-African Distributed Renewable Energy (DRE) company, to deploy hundreds of renewable mini-grids across rural areas and communities near urban centres.
The initiative aims to provide reliable electricity to millions of Nigerians and is a key part of the country’s efforts to increase its renewable energy share from 22 to 50% of its electricity mix. This deal also aligns with Nigeria’s goal of securing private investment to expand its renewable energy capacity.
The project, supported by the World Bank and the African Development Bank, will see the development and operation of 400 mini grids and 50 MetroGrids, primarily in rural areas. The initiative is expected to improve electricity access for between 1.5 to 2 million people, helping to foster local economic growth. The partnership with WeLight, which counts international investors like Axian Group, Sagemcom, and Norfund among its backers, is expected to make a significant impact on the country’s energy landscape.
WeLight’s CEO, Romain de Villeneuve, expressed enthusiasm about the project, stating that the Memorandum of Understanding (MOU), signed on Monday with Nigeria’s Rural Electrification Agency (REA), is a major step toward providing clean, sustainable electricity to millions of Nigerians. He also highlighted that the deal would support WeLight’s ambition to expand its operations across Africa, furthering its vision of becoming a leading pan-African energy provider.