In 2024, the Federal Government allocated over N14.36 billion to enhance electricity access in rural communities across Nigeria. However, the government plans to invest a staggering N1.3 trillion in 2025 to further its commitment to electrification projects. These efforts fall under the responsibility of the Rural Electrification Agency (REA), which is currently under scrutiny by the Economic and Financial Crimes Commission (EFCC) for allegations of a N12.7 billion fraud. Despite substantial funding, many rural areas across the country still face challenges in gaining reliable electricity.

REA’s Challenges and Leadership Changes

The REA, a key player in rural electrification efforts, has faced intense criticism for its inability to connect hundreds of rural communities to the national grid. The EFCC investigation has uncovered troubling details, including the tracing of 27 accounts linked to the suspended Managing Director of the REA, Salihijo Ahmad. In response to the scandal, President Bola Tinubu suspended Ahmad and several other senior officials in March 2024. A new management team, headed by Abba Aliyu, was appointed to lead the REA with a renewed focus on addressing the agency’s shortcomings.

Rural Communities Still Waiting for Connectivity

Rural communities in several states, including Edo, Ogun, Taraba, Yobe, Sokoto, Jigawa, Zamfara, Enugu, and Imo, have expressed frustration over their lack of access to electricity. Despite fiscal appropriations and promises by the REA, many of these areas remain disconnected from the national grid, further hindering their development. Nigeria’s rural areas continue to face significant energy deficits, contributing to economic stagnation and a lack of basic services such as education and healthcare.

In 2023, the World Bank reported that Nigeria has the world’s largest electricity access deficit, with 45% of the population—approximately 90 million people—lacking access to the grid, and 26% of these individuals residing in rural areas. To address this, the Nigerian government entered into a $750 million agreement with the World Bank to construct 1,200 mini-grids and improve electricity access through alternative energy solutions like solar power.

Government Investment in Rural Electrification

Despite the challenges, the Nigerian government has committed to a massive investment of N1.13 trillion in 2025 to provide power to underserved rural communities. According to the 2025 proposed budget, this amount will be used for 41 rural electrification projects under the Ministry of Power and the REA. The budget also includes funding for ongoing rural electrification schemes in Akwa-Ibom, Imo, Kebbi, and Borno States, with N200 million allocated to these areas. Other states, such as Plateau, Abia, Sokoto, Benue, and Bauchi, are set to receive N1.65 billion for the completion of ongoing projects.

A portion of the proposed budget will also support the National Public Sector Solarization Initiative (N100 billion), the Nigeria Electrification Project (N216.21 billion), and the Renewable Energy Scale-Up Programme for Distribution Access (N225 billion). These initiatives aim to expand electricity access through renewable energy sources like solar mini-grids and off-grid systems, as well as enhancing the national grid’s capacity.

Community Impact and Economic Strain

Despite the government’s financial commitment to rural electrification, tangible progress remains slow. Many rural residents, particularly those in Bayelsa, Zamfara, Imo, and other states, continue to live without reliable electricity. The lack of power has stifled economic activities, including local businesses and agriculture, and has led to an increase in rural-urban migration.

In Zamfara state, for instance, over 70% of the population remains without grid electricity. Communities like Birnin Magaji have been without power since the state’s creation in 1996. Residents like Musa Haruna from Kazauda village, where electricity is a distant dream, have grown accustomed to life without power. “We normally go to Gusau town to buy ice cream during Ramadan and other festivities,” he says, reflecting the adaptation to life without basic amenities.

Similarly, communities in Taraba state, such as Peva in Chanchanji Ward and Bali in the local government area, suffer from the absence of electricity, which has disrupted both family life and local businesses. Residents of these areas rely on expensive and hazardous alternatives like kerosene lamps and petrol generators for lighting. In Bali, local businesses, including tailoring shops, are unable to expand due to the lack of electricity, while farmers face significant losses as they cannot preserve perishable goods.

The Situation in Delta, Bayelsa, and Yobe States

In Delta State, rural communities like Olodu-Ogwashi-Uku and Ogodo remain in darkness despite being in close proximity to more developed towns. Residents are struggling to run businesses, with many depending on costly fuel for generators. Similarly, Bayelsa residents such as Austin Ikegima have expressed frustration over their inability to use electrical appliances, which has led to difficult living conditions. The community in Ekowe, Benin, Edo State, also faces similar hardships due to the absence of power supply, which has left businesses struggling.

In Yobe State, insurgency-related challenges have exacerbated the lack of electricity in rural areas. Villages such as Tagali, Garin Gawo, and Azbak have been disconnected from the national grid, with efforts underway to restore power. However, the difficulty in accessing power and water remains a significant concern for these communities.

The Role of Civil Society Organizations and Transparency Concerns

As the government moves forward with plans to allocate $50 million of the recovered assets from former petroleum minister Diezani Alison-Madueke to the REA for rural electrification, civil society organizations (CSOs) have raised concerns about transparency and accountability in the management of these funds. Given the REA’s troubled history with corruption, there is widespread skepticism about whether these funds will be used effectively.

CSOs, including the Accountability Lab and the Civil Society Legislative Advocacy Centre, have called for independent oversight of these funds to ensure they reach the intended beneficiaries. The World Bank’s involvement in managing these resources is seen as a positive step in preventing misuse, but the CSOs urge the government to establish stronger safeguards to improve public trust.

Conclusion: A Call for Action and Accountability

The Federal Government’s proposed N1.3 trillion investment in rural electrification represents a substantial effort to address Nigeria’s energy deficit. However, challenges such as poor implementation, corruption, and logistical issues continue to hinder progress. For rural communities, the lack of electricity remains a critical issue that affects their quality of life, economic opportunities, and overall development. As the government seeks to fulfill its promises, it must ensure that the funds are effectively managed and that the needs of rural residents are met.