Presidency Budgets N10bn for Solar Power at the Villa

The Federal Government has allocated N10 billion in the 2025 approved budget for the installation of a solar mini-grid at the Presidential Villa, Abuja.

This allocation is part of an increase in the State House Headquarters’ overall budget, which rose from N47.11 billion in the initial proposal to N57.11 billion in the approved version. The additional N10 billion was added under capital expenditure, which grew from N33.55 billion to N43.55 billion, specifically for the solar project titled “Solarisation of the Villa with Solar Mini Grid.”

The move comes in response to challenges around unreliable public electricity supply and rising energy costs. The solar project aims to reduce the Villa’s reliance on the national grid and mitigate the impact of tariff hikes on government finances.

Electricity costs have been rising sharply, particularly for Band A consumers who receive at least 20 hours of power daily. In April 2024, tariffs for this group soared from N68/kWh to N225/kWh, before being adjusted to N209.5/kWh by July.

The State House, categorized as a Band A consumer, has felt the effects of these price hikes. In 2024, the State House spent N483.34 million on electricity, a 40.17% increase compared to N344.82 million in 2023.

Additionally, in February 2024, the Presidential Villa was among the top government entities listed for unpaid electricity bills, initially totaling N923.87 million. However, after reconciliation, the debt was reduced to N342.35 million, which President Bola Tinubu ordered to be cleared immediately.

\The solar mini-grid is expected to reduce long-term energy costs and provide a more stable power supply for the Presidency.