REA, SAPZ sign MoU to power agro-industrial zones

The Rural Electrification Agency (REA) and the Special Agro-Industrial Processing Zones (SAPZ) programme have signed a landmark Memorandum of Understanding (MoU) to deliver affordable and sustainable energy across designated agricultural processing hubs in Nigeria.

The agreement, signed on Monday in Abuja, establishes a framework for joint technical assessments, capacity building, and energy deployment under the REA’s Desert to Power initiative.

The collaborative effort is supported by the African Development Bank (AfDB) and the Federal Ministry of Power.

Speaking, Vice President Kashim Shettima commended the resourcefulness of the implementing agencies, emphasizing that reliable energy access is critical to unlocking the full value of the nation’s agricultural sector.

Represented by the Deputy Chief of Staff to the President, Senator Ibrahim Hadejia, the Vice President noted that fully operationalizing the SAPZ sites will enhance agricultural productivity, stimulate local economies, and improve living standards in surrounding rural communities.

He reaffirmed the Federal Government’s commitment to fostering multi-agency partnerships that align with the administration’s economic transformation agenda.

Echoing these sentiments, the Minister of Agriculture, Senator Abubakar Kyari, described the deal as a vital milestone.

He stated that supplying steady power to agro-industrial zones directly addresses long-standing infrastructure gaps, lowers production costs for farmers, and strengthens food security nationwide.

Under the implementation framework, the project will deploy mini-grid networks tailored to the energy demands of processing facilities, nearby public infrastructure, and surrounding settlements.

Highlighting the agency’s capacity, REA Managing Director Engr. Abba Aliyu revealed that the agency has already completed 424 mini-grid electrification projects and has 693 others currently underway.

He stated that the targeted impact of the new SAPZ partnership includes powering 25,000 households and 13 health facilities, while directly benefiting over 103,000 individuals per designated site.

National Programme Coordinator for the SAPZ, Dr. Kabir Yusuf, added that tackling energy shortages removes one of the primary hurdles facing the processing zones, ensuring that both industrial centers and adjacent communities enjoy a stable, renewable energy supply.