REA targets 500 electrification projects in N170bn 2026 budget
The Rural Electrification Agency (REA) has unveiled a plan to execute over 500 electrification projects in the 2026 fiscal year. This, the Managing Director, Dr Abba Aliyu, said is part
The Rural Electrification Agency (REA) has unveiled a plan to execute over 500 electrification projects in the 2026 fiscal year.
This, the Managing Director, Dr Abba Aliyu, said is part of efforts to expand reliable power supply to strategic public institutions and underserved rural communities nationwide.
Aliyu said this while briefing journalists on the sidelines of the 2026 Budget Defence session organised by the House Committee on Rural Electrification in Abuja on Friday.
Aliyu revealed that the agency’s total budget proposal for 2026 stands at N170 billion.
Of this amount, N100 billion has been earmarked and approved for the National Public Sector Solarisation Initiative, a flagship programme designed to provide sustainable and cost-effective electricity to government institutions.
He explained that the N100 billion allocation will fund the deployment of hybrid mini-grids for Ministries, Departments and Agencies (MDAs) within and outside Abuja, reducing dependence on the national grid and cutting the cost of energy consumption in public facilities.
Citing the National Hospital, Abuja as an example, the REA boss noted that the agency has already deployed solar-based infrastructure to ensure uninterrupted electricity supply, significantly lowering operational energy costs while improving service delivery.
Aliyu said the 2026 budget captures a diverse mix of projects tailored to the specific energy needs of different communities.
According to him, a significant number of the projects involve grid extension to communities located near existing power infrastructure. In such cases, the agency will extend distribution lines and install transformers to connect households and businesses to the national grid.
For agrarian settlements and communities with cottage industries, the agency plans to deploy renewable-powered mini-grids to stimulate economic productivity. Mini-grids are also earmarked for agricultural processing clusters to enhance value addition, reduce post-harvest losses, and support rural enterprise development.
In sparsely populated and hard-to-reach areas, he said the REA intends to roll out solar home systems, providing standalone renewable power solutions to households that are not economically viable for grid or mini-grid connectivity.
“What we presented to the National Assembly are the comprehensive details of these over 500 projects scheduled for execution in 2026,” Aliyu stated.
On budget implementation performance, the Managing Director disclosed that the agency recorded an 85 per cent execution rate for the 2024 budget.
He added that despite experiencing low releases of funds in 2025, the agency has so far achieved 32 per cent performance under the current fiscal year, expressing optimism that implementation will improve as more funds are released.
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Earlier, Chairman of the Committee, Rep. Mohammed Bukar, said that after detailed scrutiny of the agency’s submissions, the committee was satisfied with the explanations and supporting documentation presented.
Bukar noted that the REA has made measurable progress in expanding energy access through off-grid and renewable energy interventions across rural communities, federal institutions and public sector establishments nationwide.
He commended the agency’s adherence to procurement regulations, fiduciary safeguards, and development partner frameworks guiding its operations.
However, the lawmaker stressed that the committee would undertake oversight visits to project sites for on-the-spot assessments, in line with its constitutional responsibility.
“Legislative oversight is a critical pillar of accountability, and we will continue to ensure that the Rural Electrification Agency remains aligned with its statutory mandate and national development priorities,” Bukar said.
“However, at this stage, we are satisfied that the agency is operating within its mandate and delivering tangible impact. We encourage the agency to sustain this momentum as Nigeria advances its rural electrification and energy transition objectives.”
