Nasarawa State Governor Abdullahi Sule has announced a special tax holiday for Renewable Energy Service Companies (RESCOs) developing mini-grids across the state, in a bid to attract more investment into the state’s growing energy market.

Speaking at a roundtable event in Abuja on “Catalysing Renewable Energy Growth Through Research, Development, and Innovation in Nasarawa State Electricity Market,” the governor highlighted the economic and social benefits of mini-grid development for local communities.“We have seen the positive impact of these mini-grids, and we are rewarding the companies that are driving this change with a tax holiday,” Sule said.

He noted that the incentives are grounded in the strong return on investment (ROI) the state guarantees investors. “Once the ROI is shaky, investor confidence begins to shake. That’s why we’ve worked hard to de-risk investment in Nasarawa,” he added.

To further support energy developers, Sule revealed that 5% of the state’s Internally Generated Revenue (IGR) has been set aside specifically for de-risking investments, mainly by providing essential infrastructure like water and roads in operational areas.

“The idea is to make sure that wherever these companies are located, they don’t struggle with the basics,” the governor explained.He also emphasized community involvement in the projects, saying: “We want our people to take ownership of these investments because they bring jobs and opportunities.”Managing Director of the Rural Electrification Agency (REA), Engr. Abba Aliyu, praised Nasarawa’s efforts, stating: “With 25 mini-grids, Nasarawa currently leads the country in this sector.

It’s a model for others to follow.”Aliyu attributed the success partly to the residents’ willingness to pay for electricity, which ensures project sustainability.

The new tax incentive is expected to further position Nasarawa as a leading state in Nigeria’s renewable energy transition.