REA and Alpha Morgan Bank sign N50bn renewable energy deal

The Rural Electrification Agency (REA) and Alpha Morgan Bank have signed a N50 billion financing agreement to accelerate electricity access in unserved and underserved communities across Nigeria. The partnership aims to support renewable energy developers participating in REA-led initiatives, such as the Distributed Access through Renewable Energy Scale-up (DARES) Project.

Under the framework, eligible developers can access revolving loans of up to N10 billion each, with tenures ranging from 12 to 24 months, subject to credit approval. Alpha Morgan Bank will provide up to 70 per cent counterpart funding for eligible projects. This mechanism is intended to bridge the gap between project approval and implementation, allowing developers to procure equipment and complete projects more efficiently.

REA Managing Director Abba Abubakar Aliyu noted that the collaboration is essential to meet rising electricity demand driven by population growth and the increasing energy needs of sectors like agriculture, healthcare, and artificial intelligence. Alpha Morgan Bank CEO Ade Buraimo stated the partnership reflects a commitment to sustainable development through innovative financing to support Nigeria’s energy transition.