A new report by energy think tank RMI in partnership with the Global Energy Alliance for People and Planet (GEAPP) has revealed that Nigeria’s national grid supplies just 20% of the country’s total electricity demand, leaving an estimated 150 million Nigerians with no access or unreliable access to electricity.
The report, titled Partnerships for Power: Unlocking Scale for Interconnected Minigrids in Nigeria, was released on May 13, 2025.
It draws from over three years of real-world data and experience supporting four pilot interconnected mini-grid (IMG) projects across the country.
According to the report, the chronic underperformance of Nigeria’s grid has forced communities, businesses, and institutions to depend heavily on polluting and expensive fossil fuel generators.
The cost of self-generating power from these sources is put at between ₦600 to ₦650 per kilowatt-hour, far higher than international benchmarks.
In response, the report highlights interconnected mini-grids as a tried and tested scalable solution to the country’s persistent energy crisis.
These systems integrate locally generated renewable energy (such as solar power and battery storage) with the national grid to improve reliability, reduce costs, and expand access to electricity in underserved communities.
The four pilot IMG projects referenced in the report have successfully deployed 3 megawatts of solar photovoltaic (PV) capacity and 3 megawatt-hours of battery storage to connect over 6,300 households and small businesses across urban and peri-urban communities.
The report also identifies key challenges facing the sector, including inadequate grid infrastructure, high project development costs, regulatory hurdles, and institutional capacity gaps.
It calls for strategic reforms and stronger collaboration between mini-grid developers and electricity distribution companies (DisCos) to unlock the full potential of IMGs.
“IMGs offer a scalable win-win-win solution, empowering communities, supporting DisCos, and strengthening the energy system — all while creating jobs and driving economic growth,” said Muhammad Wakil, GEAPP’s country delivery lead for Nigeria.
The report’s release comes at a critical time when Nigeria is pushing toward increasing renewable energy adoption to 40% by 2030, and seeking practical solutions to bridge its long-standing electricity gap.
“This report underscores the immense potential of IMGs to revolutionize energy access in Nigeria and provides a roadmap for scaling them to serve millions more Nigerians,” said Suleiman Babamanu, RMI’s Nigeria Program Director.