As part of the Presidential Power Initiative (PPI), the Federal Government has said that it will invest $800 million in the construction of sub-stations and distribution networks, according to Daily Trust.
This information was shared by Bolaji Tunji, the Special Adviser on Media and Strategic Communication to the Minister of Power, in a statement released in Abuja.CONTINUE FULL READING>>>>>
Tunji conveyed that during a visit to the TBEA Southern Power Transmission and Distribution Industry in Beijing, China, Minister of Power Adebayo Adelabu disclosed the investment plan.
Adelabu was in Beijing for the China-Africa Cooperation Summit, where he outlined the allocation of the funds.
According to the minister, the investment will be split into two segments: $400 million for Lot 2, which includes the Benin, Port Harcourt, and Enugu Distribution Companies (DISCOs) franchise areas, and another $400 million for Lot 3, covering the Abuja, Kaduna, Jos, and Kano DISCOs franchise areas.
Adelabu expressed concern about the recent rejection of power by DISCOs, which resulted in a reduction of generation capacity from a peak of 5,170 megawatts by 1,400 megawatts due to their inability to manage the supply.
Despite these challenges, the minister assured that the government aims to increase power generation to 6,000 megawatts by the end of the year.
He reaffirmed the administration’s commitment to partnering with leading global organizations such as TBEA to achieve President Bola Tinubu’s vision for the power sector, particularly in transmission, distribution, and renewable energy.
Adelabu noted that Nigeria had only managed to increase its power generation by 2,000 megawatts over 35 years, from 1984 to the present.
However, under the current administration, power generation had risen from 4,000 megawatts to 5,170 megawatts within a single year. He highlighted that the power sector’s issues, including industrial stagnation, were partly due to outdated and fragile transmission and distribution infrastructure, which has historically led to unreliable power supply.
The minister also remarked that over 59 percent of industries in Nigeria are off the grid due to their lack of trust in the national grid’s reliability, prompting many to rely on self-generated power. He emphasized that the current administration is committed to transforming the power sector, with various activities underway to restore confidence in the sector.CONTINUE FULL READING>>>>>
