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NCC, REA partner to cut $350m diesel bill with renewable energy for telecom infrastructure

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In a bold step to reduce the telecom industry’s annual $350 million diesel expenditure, the Nigerian Communications Commission (NCC) and the Rural Electrification Agency (REA) have launched a joint initiative to power telecom infrastructure with renewable energy solutions, particularly in underserved rural areas.

The move comes as Nigeria’s telecom operators consume more than 40 million litres of diesel monthly, according to the 2025 State of Africa’s Infrastructure Report by the Africa Finance Corporation.

This consumption has contributed to rising operational costs and environmental concerns, prompting calls for more sustainable energy options.

To lead this transition, the two government agencies have inaugurated the NCC–REA Collaboration Committee, which will drive the implementation of clean energy solutions across the telecom sector.

The partnership is part of a broader national strategy to align digital expansion with Nigeria’s energy transition and climate goals.

Speaking at the inauguration of the committee in Abuja, Dr. Aminu Maida, Executive Vice Chairman and CEO of the NCC, described the partnership as a “timely and strategic alignment of national priorities.”

“Whether it’s powering a base station or enabling a child to access digital learning, this initiative has the potential to transform realities and bring opportunity closer to the people,” he said.

Dr. Maida emphasized that the collaboration supports President Bola Ahmed Tinubu’s Renewed Hope Agenda, targeting both digital inclusion and energy sustainability.

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“This initiative is more than infrastructure. It is about driving inclusion, bridging inequalities, and creating the conditions for shared prosperity,” he added, while charging committee members to deliver results through innovation and strategic implementation.

Managing Director of the REA, Abba Aliyu, reaffirmed the agency’s commitment to the project, noting the “transformative potential” of combining renewable energy infrastructure with digital connectivity.

“Our joint effort offers a pathway to bring sustainable development to millions living beyond the reach of traditional infrastructure,” he said.

Aliyu stressed the need for clear performance metrics and socio-economic impact tracking, adding that the committee’s work will align with Nigeria’s National Broadband Plan and contribute to broader sustainable development goals (SDGs).

Even before the committee’s formation, some telecom operators had begun adopting alternative energy solutions to reduce their dependence on diesel.

MTN Nigeria recently disclosed that it had saved over ₦570 million by transitioning to gas-powered generators, while Airtel Nigeria announced plans last September to roll out renewable energy solutions at its base stations nationwide.

The NCC has also signaled its intent to push the industry further along the clean energy path. In 2023, it announced plans to introduce policies encouraging all telecom operators to adopt sustainable energy sources as part of efforts to lower the sector’s carbon footprint.

The newly inaugurated committee is expected to serve as a blueprint for inter-agency partnerships, showing how coordinated efforts can bridge critical infrastructure gaps while promoting environmental sustainability.

By replacing diesel-powered generators with solar and hybrid systems, the NCC–REA collaboration aims to cut costs, improve service reliability, reduce emissions, and accelerate Nigeria’s shift toward a greener digital economy.

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