OpeOluwani Akintayo
14 November 2017, Sweetcrude, Lagos — Ministry of Power has signed the Engineering, Procurement, and Construction, EPC contract for the Mambilla Hydropower project, 40-years after the project was first conceived.
While speaking at the 21st monthly power sector operators meeting held in Asaba on Monday, the Minister of Power, Works and Housing, Babatunde Fashola said the fund will provide a partial single payment capital subsidy and technical assistance to eligible private rural power developers, Non-Governmental Organisations or communities, to invest in options such as hybrid mini-grids or solar home systems to scale up rural access to electricity.
“Those who will be served are the unserved and underserved rural communities,” he said.
The Rural Electrification Fund was created by Section 88 of the Electric Power Sector Reform Act, EPSRA 2005, to promote, support and provide rural electrification access.
Fashola explained that what they (investors) are likely to get, are minimum amounts of $10,000 (N3.5m) and maximum amounts of $300,000 (N106m) or 75% of project cost, “whichever is less”, adding that the Rural Electrification Administration, REA, will publish details of guidelines and eligibility soon.
