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Home»News»MOPO and REA Seal $75 Million Deal to Power Off-Grid Nigeria
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MOPO and REA Seal $75 Million Deal to Power Off-Grid Nigeria

Gift IfeanyiBy Gift IfeanyiJuly 21, 202602 Mins Read
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Clean-tech startup MOPO (backed by Octopus Energy, Norfund, and the International Finance Corporation) has signed a $75 million (~₦120 billion) agreement with Nigeria’s Rural Electrification Agency (REA) to scale off-grid battery rentals across the country by 2030.

The agreement kicks off with a targeted pilot program launching later this year before scaling nationwide over the next five years.

How the “Pay-Per-Use” Model Disrupts Traditional Off-Grid Energy

Unlike conventional solar home systems (which require consumers to take on long-term debt to buy panel-and-inverter kits) or solar mini-grids (which require huge upfront capital from investors), MOPO operates on a Battery-as-a-Service (BaaS) model:

  1. Solar Charging Hubs: MOPO builds central, solar-powered charging stations managed by local agents within rural and peri-urban communities.

  2. Short-Term Hourly Rentals: Customers rent pre-charged lithium-ion batteries for a few hours or days at a time using cash or mobile money.

  3. Flexible Energy Load: * MOPO50: A smaller unit designed for basic home lighting, fan operation, and phone charging.

    • MOPOMax: A heavy-duty 230-volt output battery capable of running shop appliances, refrigeration, or electric commercial motorcycles.

“We rent batteries to customers for hours. We’re not asking them to buy an asset, as in the case of solar home systems, and we’re not asking investors to place a huge bet on their future usage, as with mini-grids,” explained Luke Burras, MOPO’s Chief Operating Officer.

 

Strategic Impact: Replacing Petrol Generators with Solar Hubs

Parameter Traditional Petrol Generator Solar Home Systems (SHS) MOPO Battery Rental Model
Upfront Cost High (₦150k – ₦400k) Very High (₦300k – ₦1.5m+) Zero (Only pay rental fee)
Recurring Expenses Continuous, expensive fuel purchases Monthly financing payments Pay-as-you-go (Per rental cycle)
Environmental Impact High noise, smoke, and greenhouse emissions Zero emissions Zero emissions (Charged via solar)
Asset Risk Maintenance and breakdown costs borne by user Equipment depreciation Borne by provider (MOPO retains asset ownership)

Nigeria at the Center of Africa’s Climate-Tech Surge

The deal highlights a major investment shift across African venture capital. According to recent data from Briter Bridges, Climate-Tech has officially overtaken Fintech as Africa’s top venture-funded sector—accounting for nearly 40% of annual venture investment.

With Nigeria attracting nearly 13% of all continental climate-tech funding inflows, the REA-MOPO deployment serves as a key template for replacing millions of polluting small-scale fuel generators with decentralized, clean energy rentals.

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Gift Ifeanyi

Gift Ifeanyi is a passionate and talented young web developer with a flair for storytelling and a keen interest in business and entrepreneurship. She brings a fresh perspective and a tech-savvy approach to delivering daily news and insights on the ever-evolving world of startups, innovation, and business trends. With a commitment to excellence and a drive to inspire the next generation of entrepreneurs, Gift is dedicated to creating engaging and informative content that empowers readers to thrive in the dynamic business landscape.

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