Abba Aliyu, the head of Nigeria’s Rural Electrification Agency (REA), has revealed that solar energy is currently the most cost-effective and viable power model for the country. Aliyu shared this perspective on Channels Television’s “The Morning Brief” on Monday, August 25, 2025.
When asked about the ideal energy mix for Nigeria, Aliyu said the agency is exploring other energy models like wind and biomass. However, he noted that the government had to pause its plans for biomass because the processing costs were too high, which would lead to an unacceptably high electricity tariff for consumers.
Aliyu explained that the REA is actively in talks about wind power. The agency recently signed a Memorandum of Understanding (MOU) with the Nigerian Wind Energy Council to investigate the potential of small-scale wind infrastructure. The goal is to find wind projects that are both economically viable and can offer electricity at a reasonable price.
“The most economically viable model we’ve seen so far is solar,” Aliyu stated. “We’re exploring others, but for biomass, for example, the cost of transporting and processing the materials makes the tariff too high. That’s why we haven’t promoted it yet. But with wind, we’re in discussions and hope to start deploying other generation methods if we find a viable solution.”
Aliyu also revealed that some Nigerians in rural areas are already paying more for electricity than consumers in “Band A,” which are typically urban residents who receive more stable power. While Band A customers pay a tariff of N209.50 per kilowatt-hour, some rural communities are paying between N250 and N280 for stable electricity.
Aliyu clarified that the cost for these communities depends on the total cost of the infrastructure deployed by the REA. He confirmed that these residents are willing to pay the higher rates and use their phones to purchase tokens for power, demonstrating their desire for a reliable supply.
