Rural Nigerians Pay Up to ₦280 for Electricity – REA Highlights Mini-Grid Tariff Gaps

The Rural Electrification Agency (REA) has revealed that while millions of rural Nigerians are now enjoying stable electricity supply through completed mini-grid projects, many are paying significantly higher tariffs than urban customers on the national grid.

Speaking on The Morning Brief program on Channels Television, REA Managing Director, Abba Aliyu, disclosed that electricity tariffs in some rural communities reach as high as ₦250 to ₦280 per kilowatt-hour, compared to lower rates for Band A customers in urban areas.

Tariffs Depend on Infrastructure Costs

According to Aliyu, the disparity arises from the heavy financial investment required to build renewable energy mini-grids in remote locations.

“There are rural areas that pay more tariffs than Band A customers,” he explained, noting that communities with higher deployment costs naturally face steeper electricity charges.

While some rural areas enjoy lower-than-average tariffs, others must pay more to cover the expenses of infrastructure and renewable power installations.

Mini-Grids Bring Reliability Despite Higher Prices

Despite the cost differences, Aliyu stressed that mini-grids have transformed power access in underserved regions.

“They pay for their electricity and they enjoy it,” he said, adding that many households now have consistent and reliable electricity for the first time.

He highlighted solar energy as an effective and sustainable solution for powering off-grid communities, reducing dependence on unreliable diesel generators.

Nationwide Mini-Grid Projects Completed

The REA has already completed dozens of mini-grid and interconnected grid projects across Nigeria, extending power to households, businesses, universities, and general hospitals across all six geopolitical zones.

These efforts are part of the agency’s mission to bridge Nigeria’s energy access gap and support rural development through clean and reliable electricity.

Bottom Line

The REA’s revelation underscores a growing debate: while renewable mini-grids deliver stable electricity to rural Nigeria, the tariff disparities raise concerns about affordability and equity between rural and urban customers.