Catalysing DRE market development for sustainable electricity access in Nigeria

Nigeria leads the top 20 countries worldwide having the largest energy access deficits with the biggest unserved population of 88.5 million (59.5% access to electricity rate). Despite government interventions over the years, electrification efforts have failed to bridge the access gap and keep pace with population growth.

The Nigerian government stated that access to energy for all Nigerians is a top priority for the country, aiming to reach an access rate of 90% by 2030.

Nevertheless, whilst the Nigerian DRE market has seen significant progress over the years, there are still several barriers, particularly financing, macroeconomic, and policy implementation barriers, that need to be effectively addressed.

This report assesses the supply side where a highly dynamic private sector has developed over the last years and the demand side where a large potential remains untapped. Regarding the enabling environment, many improvements have been achieved, including the institutional, policy and regulatory environment. On the other hand, access to finance for local companies remains a major issue, less in terms of programmes and initiatives and more related to credit from local finance institutions.