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The Democrat News > Blog > Uncategorized > Lagos and REA Sign Agreement to Boost Renewable Energy Expansion and Address Power Shortages
Uncategorized

Lagos and REA Sign Agreement to Boost Renewable Energy Expansion and Address Power Shortages

Esther Udoh
Last updated: April 15, 2025 12:36 pm
Esther Udoh
Published April 15, 2025
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The Lagos State Government has signed a partnership with the Rural Electrification Agency (REA) to boost renewable energy and decentralized power generation, aiming to address persistent electricity shortages and drive economic growth.

The agreement was finalized during a roundtable on rural electrification and sustainable energy, hosted by the Lagos Ministry of Energy.

Governor Sanwo-Olu, represented by Deputy Governor Dr. Obafemi Hamzat, emphasized the state’s commitment to a cleaner and more resilient energy grid, highlighting solar power as key to closing the energy gap.Governor Sanwo-Olu highlighted that while Nigerians generate significant power, poor distribution and reliance on private generators hinder efficiency. He stressed the need for a sustainable energy framework to boost productivity, jobs, and inclusive growth.

The Lagos State Government will partner with the Renewable Energy Asset Management Company to ensure project sustainability and emphasized the vital role of community involvement through CDAs and CDCs in planning and executing rural electrification. The Ministry of Energy has been directed to prioritize grassroots participation in energy initiatives.The signing of a Memorandum of Understanding (MoU) between the Lagos State Government and the Rural Electrification Agency (REA) marks a major step in Lagos’ energy transition.

Commissioner Biodun Ogunleye stated the partnership aims to reduce reliance on fossil fuels, provide stable electricity, and boost the green economy through job creation and innovation.

The initiative will expand solar infrastructure in underserved areas through joint assessments, training, investment, and community energy cooperatives. The Lagos Economic Development Update (2025) highlights the urgency, revealing that over 80% of residents and businesses spend N5.3 trillion annually on generators, with only 31% of households connected to the national grid as of 2020.

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