Nigerians to Enjoy More Power Supply as Tinubu Inks Deal to Boost National Grid by 12,000MW
- A new deal the FG has entered into with Germany is position to improve the power supply in the country
- According to details, the deal with increase Nigeria's national grid with a supply of 12,000MW
- This is also expected to accelerate the process, guaranteeing a consistent electricity supply for Nigerians
Legit.ng journalist Victor Enengedi has over a decade's experience covering Energy, MSMEs, Technology and the stock market.
The Nigerian government and Germany officially entered into the Presidential Power Initiative agreement, a significant step toward enhancing electricity provision in Nigeria.
The purpose of the Presidential Power Initiative (PPI) agreement is to augment Nigeria's national grid with an additional 12,000 megawatts (MW) of electricity, thereby addressing the persistent power challenges that the nation has been grappling with.
Source: UGC
The signing ceremony, which took place in Dubai, United Arab Emirates, was overseen by President Bola Tinubu and the German Chancellor Olaf Scholz, as detailed in a statement by the Special Adviser to the President, Ajuri Ngelale.
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The Managing Director of the Federal Government of Nigeria Power Company, Kenny Anuwe, formally signed the agreement on behalf of Nigeria, whereas the Managing Director (Africa) of Siemens AG, Nadja Haakansson, executed the signing representing Germany.
Following the signing ceremony in Dubai, Mr Kenny Anuwe, the Managing Director of the Federal Government of Nigeria Power Company, emphasized Siemens Energy's successful delivery of vital equipment valued at more than 63 million Euros to the country since the project's inception.
This development follows the announcement that $1.bn 700MW Zungeru Power Plant in Niger State will begin operation before the end of 2023
Deal with Germany will improve national grid
Emphasizing the Presidential Power Initiative's objective to augment the national grid by 12,000MW, Minister of Power, Adelabu expressed optimism that Friday's signing would accelerate the process, guaranteeing a consistent electricity supply for Nigerians.
Adelabu recognized the delays from 2018 to 2023, attributing them to diverse factors such as the COVID-19 pandemic.
Nevertheless, he assured that both governments are now fully committed to advancing the Siemens projects.
The minister clarified that the Presidential Power Initiative encompasses a comprehensive grid stabilization initiative for the transmission system.
Anticipated to enhance power supply in terms of consistency, efficiency, and cost-effectiveness in the foreseeable future, the project marks a significant development.
Adelabu disclosed that the project's funding is secured through a Government export credit facility extended by German banks to Nigeria.
He further explained that the initial agreement of $2.3 billion has been revised, with the current cost standing at approximately $60 million, primarily attributable to the importation of power transformers and mobile substations.
Dangote to supply electricity to Nigerian households, companies
In related news, Legit.ng reported that the Dangote Group plans to produce electricity at the Numan Refinery and contribute it to the national grid, aiming to enhance energy production and bolster the national economy.
Malam Jibril Abubakar, the Communication Officer for the northern region of the Dangote Group of Companies, shared this detail in an official press release.
The electricity generated at the Dangote Sugar Refinery in Numan, once integrated into the National Grid, holds significant potential to substantially boost the economic growth of the entire Northeast region.
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Source: Legit.ng
