Weeks after establishing a landmark N100 billion financing agreement, the partnership between the Rural Electrification Agency and Lotus Bank has achieved its first major operational breakthrough. Ventura Logistics Services has secured N7.4 billion from the facility to deploy renewable energy infrastructure across several underserved communities in Ebonyi State.
The financing represents the first drawdown under the Distributed Access through Renewable Energy Scale-up program. The swift transition from the initial policy agreement to project funding is being viewed by industry experts as a significant boost to investor confidence in Nigeria’s off-grid energy sector.
Under the terms of the investment, Ventura Logistics will install approximately seven megawatts of renewable energy capacity across eight strategic locations. The project is expected to provide reliable electricity to more than 30,000 households and businesses, revitalizing local economies in areas previously hindered by inconsistent power supply.
The infrastructure rollout will target specific communities, including Okposi, Mebiokpa, and Ohaozara in the Ohaozara Local Government Area; Ebunwana in the Edda Local Government Area; Unwana and Afikpo in the Afikpo North Local Government Area; and Iboko in the Izzi Local Government Area.
The project utilizes the DARES program’s Performance-Based Grant framework. This model is designed to de-risk private sector participation by linking financial disbursements to verifiable delivery milestones. By ensuring that funding is tied to performance, the framework encourages commercial lenders to participate in the distributed energy market.
Abba Aliyu, Managing Director of the Rural Electrification Agency, stated that the rapid implementation reflects the agency’s focus on high-impact partnerships. He noted that the collaboration between government bodies and private financiers is essential for translating high-level agreements into tangible infrastructure that improves rural livelihoods.
