The Rural Electrification Agency (REA) has underscored the importance of structured de-risking in scaling sustainable off-grid lighting solutions across Nigeria, noting that expanding energy access requires strengthening policy, finance, markets and community confidence — not just deploying solar systems.
In collaboration with the United Nations Development Programme (UNDP) and the Global Environment Facility (GEF), the REA is implementing the Derisking Sustainable Off-Grid Lighting Solutions (DSOLS) programme in Nigeria.
In 2025, the DSOLS initiative deployed 1,400 Solar Home Systems (SHS) in unserved rural communities, contributing to more than 5,000 cumulative installations. However, the agency emphasized that the programme’s broader impact lies in systemic reforms designed to address long-standing market barriers.
On the policy front, the programme promoted mobile money adoption for SHS payments, developed a national framework for the safe take-back and disposal of solar components, and integrated gender-responsive and safeguards against sexual exploitation and abuse (SEA) into project implementation. These measures were aimed at reducing regulatory, environmental and social risks that have historically constrained sector growth.
To strengthen market confidence, the initiative also established a $500,000 Working Capital Finance Facility backed by 12 private companies. According to the REA, beneficiary firms subsequently sold more than 5,000 systems independently, created jobs and secured additional financing.
The agency said the results demonstrate that structured de-risking can stimulate private sector participation, unlock capital and accelerate access to reliable and clean energy in underserved communities.
REA stressed that sustaining off-grid growth in Nigeria will require continued focus on reducing ecosystem risks, describing energy access as both a social responsibility and a key economic opportunity.
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