Nigeria - Distributed Access Through Renewable Energy Scale-Up Project : Additional Financing

Overview & Synopsis

The Nigeria Distributed Access through Renewable Energy Scale-Up (DARES) Project seeks to increase access to electricity services for households, public institutions, and micro, small, and medium enterprises (MSMEs) through private sector-led distributed renewable energy generation. This Project Paper requires an Additional Financing (AF) of US$49.1 million from a United States Department of Justice trust fund and incorporates parallel co-financing of approximately US$193.8 million from the Japan International Cooperation Agency (JICA). The AF will support the electrification of public institutions, including healthcare and education facilities, using distributed renewable energy solutions, while JICA financing will scale up isolated and interconnected mini-grids and strengthen institutional capacity. The accompanying restructuring will revise the project development objective, reallocate resources toward public institution electrification, discontinue the standalone solar catalytic grant window, update the results framework, extend the closing date to December 2029, and confirm the Rural Electrification Agency as the sole implementing agency. The project supports Nigeria’s energy access goals, decentralized electrification agenda, and Mission 300 commitments.