The Buhari Media Organisation (BMO) has commended the World Bank’s recent approval of 750 million dollars International Development Association’s (IDA) credit for Nigeria’s Power Sector Recovery Operation (PSRO) to improve electricity supply.
The approval, according to BMO, will play a huge role in Nigeria’s economic transformation process, where huge amounts of money taken in the past without delivering on the jobs has almost ground industrialisation and stagnated the economy.
In a statement signed by its Chairman Niyi Akinsiju and Secretary Cassidy Madueke, BMO said steady electricity supply stimulates the economy because virtually every economic activity is tied to it.
“The PSRO is expected to increase annual electricity supplied to the distribution grid, enhance power sector financial viability while reducing annual tariff shortfalls and protecting the poor from the impact of tariff adjustments.
“This will enable the turnaround of the power sector, help the Federal Government redirect large fiscal resources from highly regressive tariff shortfall, and with financing towards critical crisis-responsive and pro-poor expenditures.
“It is worthy to note that this will also enhance the accountability and financial viability of the sector, helping the sector create a track record of sustainable operation necessary for unlocking much needed private investments in the future.
“The project will ensure that 4,500 MWh/hour of electricity is supplied to the distribution grid by 2022 by strengthening the regulatory, policy and financing framework.
“As the lifeblood of many activities in the country’s power sector performance, particularly in the non-oil sectors of manufacturing and services, it would be central to unlocking economic growth”.
According to the Pro-Buhari group, this project is important to the economic development of our nation because it will bring investment opportunities into the country with ripple effects on every aspect of the nation; more jobs will be created, the standard of living will improve and so will revenue generation for the country.
“Improving power sector means that small businesses can function well, which will lead to the creation of new markets, businesses and job openings, as well as lifting many Nigerians out of poverty”.
BMO added that more access to electricity is key to our country’s development, “as it improves security, food production and strengthens the economy. Increased access to electricity improves education, entertainment, health, comfort, protection, and productivity,” the statement added.