By Tony Obiechina, Abuja
The Federal Government is set to release $800 million for the construction of substations and distribution networks as part of the Presidential Power Initiative (PPI), the Minister of Power, Chief Adebayo Adelabu, has said.
The investment, according to Adelabu,
will be divided into two lots: $400 million for Lot 2, covering Benin, Port Harcourt, and Enugu Distribution Companies (DISCOs) franchise areas, and $400m for Lot 3, covering Abuja, Kaduna, Jos, and Kano DISCOs franchise areas.
A statement by the Special Adviser to the minister on Media and Strategic Communication, Mr Bolaji Tunji, on Sunday, said the minister disclosed this
during a tour of the TBEA Southern Power Transmission and Distribution Industry in Beijing, China.
According to the statement, the Minister was in China for the China-Africa Cooperation Summit.
Adelabu expressed concern over the rejection of power by DISCOs, which recently led to a reduction in generation capacity from a peak of 5,170 megawatts by 1,400 megawatts due to the DISCOs’ inability to manage the supply. Despite this setback, the government aims to increase power generation to 6,000 megawatts by the end of the year.
During an interactive session with TBEA management, Adelabu reaffirmed the government’s commitment to collaborating with world-class organizations like TBEA to realize President Bola Tinubu’s vision for the power sector.
He highlighted the need to address the outdated and fragile transmission and distribution infrastructure that has historically hampered industrial growth, with over 59 per cent of Nigerian industries relying on self-generated power due to grid unreliability.
Reflecting on past achievements, Adelabu noted that Nigeria had generated 2,000 megawatts in 1984, and it took over 35 years to add another 2,000 megawatts.
He noted that under the current administration, power generation increased from 4,000 megawatts to 5,170 megawatts within a year, saying that the administration aims to achieve 6,000 megawatts by year-end and 30 gigawatts by 2030, with 30 per cent.
