How $6.15bn grant will improve electricity supply to consumers, says Minister

*Federal Government working to increase energy access for 80 million consumers through Rural Electrification Agency, says Engr. Sale Mamman

*Ministry of Power applying critical infrastructure to transform generation, transmission, distribution of 25,000 Megawatts electricity by 2025

Alexander Davis | ConsumerConnect

The US$6.15 billion funding which the Federal Government of Nigeria recently secured for the electricity sector will improve electricity supply in the country, Engr. Sale Mamman, Honourable Minister for Power, has said.

Engr. Mamman disclosed this in a statement by Mr. Aaron Artimas, Special Adviser on Media and Communications to the Minister Tuesday, in Abuja, FCT.

The Minister, who assumed office on August 21, 2019, spoke on the occasion to mark his one year in office.

He said he was grateful to the President who had continued to discover and inject new talents into the country’s leadership.

Mamman stated that $6.150 billion has been secured for infrastructural development and earmarked for critical projects in the country till date.

As regards the breakdown of facility, he said that 3.2 billion dollars was secured from Siemens, and 1.6 billion dollars from donor agencies for the Transmission Rehabilitation and Expansion Programme (TREP).

A Power Plant

According to him, Nigeria secured 1.7 billion dollars from the World Bank, African Development Bank (AfDB) and the Japan International Cooperation Agency (JICA).

$550 million was earmarked for the Nigerian Electricity Project (NEP), a rural electrification project being funded by the World Bank and AfDB, said he.

The Minister added that with the fund, the Ministry of Power has begun implementing critical infrastructure to transform generation, transmission, and distribution of 25,000 Megawatts (MW) of electricity by 2025.

He said: “The Siemens project will raise power to 7, 000MW in the first phase which just began, focusing on quick wins for both Transmission Company of Nigeria (TCN) and the Electricity Distribution Companies (DisCos).

“The expected projects under the Siemens deal include 105 substations rehabilitation, 70 new substations, manufacturing and installation of 35 power transformers and installation of 3,765 distribution transformers.

“There will also be over 5,000 kilometres of transmission lines to be constructed.

Under his supervision, he explained, TCN is also implementing the 1.6 billion Dollars Rehabilitation and Expansion Programme (TREP) with funding from development partners like World Bank, AfDB, and JICA.

He listed the key projects impacted by the fund to include Alaoji-Onitsha and Kaduna-Kano power line among others.

Work is ongoing to complete the Zungeru Hydroelectric Power Plant worth 1.2 billion dollars aimed at generating 700MW.

Mamman said that the Zungeru project had attained 73 percent completion presently.

The Minister added: “The 3050MW Mambilla hydropower project is expected to increase the national grid by 30 per cent.

“It is worth 5.7 billion dollars with 85 percent funding. With 4.85 billion dollars from China while the Federal Government is providing 850 million dollars funding.

“The main construction works include four large dams: Nya, Sumsum, Nghu, and API Weir in Taraba State.”

Mamman said that the government had also finished the 40MW Kashimbilla hydropower plant in Taraba.

“We are currently working on the development and expansion of transmission lines to evacuate power from the project site to areas of distribution.

“There is also the 40MW Dadin Kowa hydropower plant in Gombe State, while overhauling the 240MW Afam Power Plant.”

The Federal Government is working to increase energy access for an estimated 80 million Nigerians that are without electricity access through the Rural Electrification Agency (REA), he said.

He further stated that the ministry is mapping out unserved clusters to provide a digital database of the distribution grid system in Nigeria.

“We have secured 550 million dollars from the World Bank and AfDB for off-grid electrification being used to power universities and rural areas.

“With the mini grid regulation, access to electricity is improving through REA. As at 2019, we had four million off-grid connections.

“We aim to add another five million in the next 18 to 24 months under the recently approved Economic Sustainability Programme,” Mamman added.

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