The Nigerian Presidency has approved a whopping N10bn for a solar mini-grid project to power the Presidential Villa, signalling a major shift in energy strategy. The budget, captured under the 2025 fiscal plan, reflects a notable jump in the State House Headquarters’ allocation—from N47.11bn in the initial proposal to N57.11bn in the approved version.
A closer look shows that the entire increase stemmed from capital expenditure, which leapt from N33.55bn to N43.55bn. The new line item titled “Solarisation of the Villa with Solar Mini Grid” received the full N10bn allocation. The project aims to reduce the Villa’s reliance on the national grid, a timely move as electricity tariffs and outages continue to challenge both households and institutions.
Power costs have surged drastically, particularly for Band A consumers who are assured at least 20 hours of electricity daily. In April 2024, tariffs for this category skyrocketed from N68/kWh to N225/kWh — a hike of more than 230 per cent. Though later revised to N206.8/kWh and again to N209.5/kWh in July, these rates remain some of the highest in Nigeria.
The Villa’s decision to go solar follows a series of struggles with electricity debt. In early 2024, the Abuja Electricity Distribution Company named the Presidential Villa among top debtors, with arrears totalling N923.87m. A subsequent reconciliation reduced this to N342.35m, which President Bola Tinubu ordered paid immediately to prevent disconnection. “The presidency must not default on essential services,” a statement from the Villa said at the time.
This episode spotlighted the federal seat of power’s ongoing troubles with utility bills. Records from the GovSpend platform show the State House spent N483.34m on electricity in 2024, a significant rise from N344.82m in 2023—an increase of 40.17 per cent. Monthly payments were reportedly made throughout the year, but the largest, a lump sum of N316.88m, came in October 2024. This payment cleared “total outstanding electricity debt as at August 2024,” suggesting a build-up of unpaid bills before the bulk settlement
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