By Obas Esiedesa, Abuja

The Rural Electrification Agency, REA, has budgeted N1.5 billion to set up six solar mini-grids with capacity to charge electric vehicles across the six geo-political zones of the country.  

The projects which are contained in the 2024 Appropriation Bill laid before the National Assembly by President Bola Tinubu will cost N250 million.  

The Agency has a total budget of N127.022 billion with capital expenditure provision accounting for N125 billion.

Also provided in the budget proposal is the sum of N750 million for the provision and construction of roads.

The Agency has also provided N750 million for the completion of solar powered electricity projects across Oyo State, the home state of the Minister of Power.

A breakdown of the figures showed that N250 million has been provided for the provision of solar mini-grids for farmers in several communities in the state. Another N250 million was provided for solar street lights in local government areas across the state while another N250 million was provided for the electrification and provision of solar systems in the state.

The Federal Ministry of Power has a total budget of N344.096 billion with capital expenditure accounting N336.878 billion.

Notably, there was no provision in the budget proposal for the $5.8 billion Mambilla Hydro project.

The Chairman, House of Representatives Committee on Power, Rep Victor Nwokolo had two days ago explained that the power sector requires more funding that it was currently getting from the government.  

Nwokolo noted that with the removal of subsidies on petrol, more money ought to be spent on the power sector to reduce energy cost for Nigerians.  

“I support the removal of petrol subsidies but there has to be an alternative. Our people in the rural communities, artisans and other small businesses cannot afford to run their businesses with generators again because of the high cost of petrol and diesel.

“Therefore power supply must improve as an alternative energy source. The constant and reliable electricity supply will have a multiplier effect on the economy and the national development”, he added.