World Bank President, Ajay Banga, has announced a significant initiative to support the construction of 1,000 mini solar power grids in Nigeria, in collaboration with the Nigerian government and private sector.
With a population exceeding 200 million people, Nigeria faces a critical energy challenge, as its installed power generation capacity of 12,500 MW falls drastically short, leading to heavy reliance on petrol and diesel generators for millions of households and businesses.
Mini grids, which consist of small-scale electricity generation units, have proven to be an effective solution in providing electricity to remote and underserved areas. These mini grids can range in size from a few kilowatts to up to 10 MW, capable of powering around 200 households each.
President Ajay Banga emphasized the World Bank’s commitment to supporting energy access in Nigeria during a visit to a mini grid site near the capital, Abuja. He stated that the World Bank has already helped build nearly 150 mini grids, which have brought electricity to communities previously lacking access to reliable power. The new initiative aims to construct an additional 300 mini grids, with the ultimate ambition of reaching a total of 1,000 mini grids across the country.
To make this ambitious project a reality, the World Bank plans to invest hundreds of millions of dollars. President Banga stressed that the funding approach would involve collaboration between various stakeholders. While the World Bank will contribute part of the required capital as a subsidy, it is essential for the Nigerian government and private sector to also invest in this endeavor.
The situation in Nigeria mirrors a broader challenge across sub-Saharan Africa, where 568 million people still lack access to electricity, according to data from the World Bank. In Africa as a whole, nearly 8 out of 10 people without electricity reside in the continent, underscoring the pressing need for initiatives like the World Bank’s mini solar power grid project to address the energy deficit and enhance the quality of life for millions of people. Although the specific timeline for completing the project remains undisclosed, the initiative represents a vital step towards a more sustainable and energy-independent future for Nigeria and the entire region.