New NERC Mini-grid Rules to Speed Up Large Projects – REA MD

The managing director of the Rural Electrification Agency (REA), Dr Abba Aliyu, has hailed the newly released mini-grid regulations as a historic turning point that will fast-track large scale project delivery in Nigeria’s renewable energy sector.

The updated regulation released by the Nigerian Electricity Regulatory Commission (NERC), follows two years of intense advocacy and technical submissions from the REA.

According to Aliyu, these regulations represent a shift from scarcity thinking to a strategy of scale and innovation.

He noted that for too long, vital projects were delayed and investments slowed due to a system that failed to match the ambition of the Nigerian people.

By aligning policy with the practical realities faced by developers on the ground, the new rules are expected to unlock massive opportunities for millions of Nigerians currently living without reliable power in underserved areas.

The REA boss further expressed appreciation to the NERC chairman, Dr.
Musiliu Olalekan Oseni and the NERC team, stating that their openness to collaboration has effectively written their names in gold.

He emphasised that for developers working under major initiatives like DARES, NEP, and the Energising Education Programme, the impact of this reform is immediate.

“The work now shifts from navigating bureaucratic hurdles to accelerating the deployment of infrastructure that can finally meet the true demand of underserved communities,” Aliyu said.

The new regulations provide for an increase in capacity thresholds, which have been raised from the previous 1MW limit to 5MW for isolated mini-grids and 10MW for interconnected mini-grids. This allows developers to build larger, more robust systems without being trapped in the complex regulatory requirements typically reserved for utility-scale power plants.

The regulation also introduces a single permit that consolidates generation, distribution, and supply, eliminating costly and time-consuming dual-licensing processes that previously stalled progress.

Aliyu further hailed the new regulation for introducing practical environmental compliance pathways specifically designed for solar PV and battery systems, alongside defined energization timelines.

He noted that these new reforms will ensure that once a project is built, it is commissioned and delivering power to the people without unnecessary delay.