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Nigeria: DisCo and renewable energy companies to set up solar mini-grids

The current wave of mini-grid development in Nigeria began with the introduction of

dedicated development financing and government regulation in 2017.

 

By the end of 2023, about 100 mini-grids had been installed across the country. The projects were mostly implemented by local “developer” companies, some of whom have been able to defray their capital expenses with government and donor grants.

 

Our team of development economists, geographers and sociologists studied how mini-grids fit into the picture of electricity access expansion in Nigeria.

 

We found that mini-grids do have a role to play in increasing overall electricity supply, but regulation and financing need to pay greater attention to how that supply is distributed.

 

Our findings align with growing concerns that the opportunities presented by mini-grids come with challenges: balancing market efficiency with equity of access. These need attention if mini-grids are going to provide more electricity to those without access now.