The implementation of the Nigeria-DARES project would see solar mini-grid companies enjoy between $400 and $600 in subsidies on each mini-grid they build.
The Distributed Access through Renewable Energy Scale-up (Nigeria-DARES) is a $750 million World Bank-funded project that targets providing electricity for 17.5 million Nigerians through clean energy.
In an appearance on BusinessDay TV, Oluwatobi Soyombo, the chief growth officer for Havenhill Synergy, explained the program’s performance-based grant component.
Soyombo said “Companies are allowed to identify communities that do not have access to electricity. Then you build your systems and then you claim the subsidy.”
“The subsidy ranges between $400 to $600, depending on the kind of community, depending on the location of the community. It is designed to target the last mile connectivity.”
“If you are targeting connections in the far north, like the last mile communities in any part of the country that you can imagine, especially the northern part, you will get the upper limit of 600.” He added.
Havenhill Synergy is one of the companies currently in partnership with the Rural Electrification Agency (REA) in implementing Nigeria-DARES.
American-based solar mini-grid provider, Husk Power Systems is another REA partner in implementing Nigeria-DARES.
In 2023, Husk Power raised about $103 million in debt and equity financing. However, in 2025, the company seeks to raise $400 million from the capital markets.
William Brent, the chief marketing officer of Husk Power Systems speaking to BusinessDay revealed that the funds were targeted at their partnership with REA. As part of the moves to implement Nigeria-DARES, Husk Power entered a deal with the REA to build 250 MW of solar power projects.
To achieve this goal, Brent said they plan to build 500 mini-grids across Nigeria, and these grids would be a combination of isolated mini-grids and inter-connected mini-grids. He also stated that the company is allocating part of the $400 million capital it raised toward achieving this goal.
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How solar mini-grids are transforming communities
For decades, the small community of Kigbe, a suburb of Kwali, FCT, lived without access to electricity. However, that changed when a Havenhill solar mini-grid brought power to 145 homes, marking a new era of energy access.
Havenhill Synergy, which is an Abuja-based solar mini-grid company, has been at the forefront of this rural electrification drive. They currently power five communities and over 1,000 homes across the FCT, Oyo, and Kwara States with approximately 0.22 MW of electricity. Kigbe was the first community to benefit from them.
Oluwatobi Soyombo highlighted how their solution has empowered small businesses.
“There was a young woman in Kigbe who started a grocery store but had no electricity to power her refrigerator. Three years after we set up the project, she has grown from owning just one fridge and selling a few biscuits to running a thriving business that sustains her livelihood. Today, she is one of our commercial customers,” he shared.
This transformation is not unique to Kigbe; other communities have experienced similar changes. These include Yebu and Kwaku in Kwali and Kuje (FCT), as well as Budo-Are in Oyo State.
Other Companies involved in Nigeria-DARES
Husk Power Systems also has a large footprint across Nigeria. They are reputed to be the world’s largest solar mini-grid company with operations in India and Nigeria. Across Nigeria, the company has electrified 12 communities, generating 0.6 MW of clean energy.
Brent noted, “We started in Nasarawa State, where we have the largest number of mini-grids, but we’re now in Plateau State. All of our mini-grids are serving rural communities currently, but we’re working on interconnected mini-grids.” He noted that the company’s drive was in line with its vision of “electrifying the unelectrified.”
Brent, speaking to BusinessDay noted that Interconnected Mini Grids (IMGs) were a major focus for the company going forward. Unlike the isolated mini-grids, the IMGs would utilize already existing transmission and distribution networks owned by the distribution companies.
Explaining IMGs, he noted “For IMGs, mini-grid companies handle last-mile service areas where DISCOs have traditionally struggled. They make use of the existing infrastructure in those areas to deliver electricity from solar.”
He noted that there was a 1MW IMG already in the works, in collaboration with Abuja Electricity Distribution Company (AEDC). Brent also stated that they were in talks with all the DISCOs in Nigeria for the development of IMGs across their service areas.
During the Africa Energy Summit, the World Bank with other development partners, pledged $30 billion to support electrification efforts. The initiative aims to provide electricity to 300 million Africans by 2030. Nigeria accounts for the largest share of this figure, with an estimated 90 million Nigerians still lacking access to electricity.
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