This study examines the cost-effective technology option for increasing electricity access in two states with low
electricity access rates in Nigeria i.e. Taraba and Yobe, from their present level of 10.9% and 18.1% respectively to
50% within a 10-year investment period. This means providing electricity access to about 267000 and 282000
households in Taraba and Yobe States respectively. We employ the Network Planner Tool – a web-based decision
support program which integrates geospatial information with demographic and energy demand information, and
compare three electrification options: grid-extension, mini-grid diesel-based system, and stand-alone option which
uses solar PV home systems supplemented by small diesel system for productive use. The results show that gridextension
is the cost-effective option for 91% and 79% of the demand nodes in Taraba and Yobe respectively; the
mini-grid option is the least-cost cost option for the remaining demand nodes; while the stand-alone option is not
cost-effective in any demand node. The total cost of achieving the 50% penetration rate within the investment period
in Taraba State is US$962.38million, where grid-extension accounts for 93.33% and mini-grid account for 6.67%.
The total cost of achieving the 50% penetration rate within the investment period in Yobe State is US$1.03billion,
where grid-extension accounts for 87.25% and mini-grid account for 12.75%. Sensitivity analysis indicates that the
mini-grid becomes cost-effective for more demand nodes with lower cost of energy storage. The study sets the stage
for future studies to use more accurate data from households’ survey to build on.