FG Signs $118bn Contract To Enhance Power Supply

The Federal Government and FGN Power Company (FGNPC) have signed a major contract valued at $118,148,469.72.

The FGN Power Company (FGNPC) announced the signing of a major Engineering, Procurement, Construction, and Financing (EPC&F) contract with Elsewedy and Power China for the rehabilitation and construction of distribution lines under Phase I of the Presidential Power Initiative (PPI).

The contract, valued at US$118,148,469.72, involves the construction and rehabilitation of 2,670 kilometres of 33kV, 11kV, and 400V distribution lines across the country.

Notable sites include Okene, Amukpe, Potiskum, Apo, Ihovbor, Birnin Kebbi, Ajah, Nike Lake, Kwanar Dangora, Maryland, Omouaran, Ojo, among others.

The signing ceremony was held in Abuja, featured remarks from Chief Adebayo Adelabu, Minister of Power.

This project is designed to complement ongoing mid-stream transmission projects to secure power delivery to residential, commercial, and industrial clusters across Nigeria. By upgrading the distribution network, FGNPC aims to significantly increase electricity reliability and accessibility for millions of Nigerians.

The Honourable Minister of Power, Chief Adebayo Adelabu, expressed enthusiasm about the partnership: “This project marks a significant step towards achieving our goal of reliable and sustainable electricity for all Nigerians.

We are committed to working with top-tier partners like Elsewedy and Power China to deliver on this promise.”

Mr. Kenny Anuwe, Managing Director of FGN Power Company, stated: “We are delighted to partner with Elsewedy and Power China on this transformative project.

“Their proven expertise and commitment to excellence make them ideal partners for delivering this critical infrastructure. Siemens, known for its strengths in advanced technology and innovation, does not specialise in distribution lines.

“Therefore, it was a strategic decision to collaborate with Elsewedy, bearing in mind the successful partnership between both companies in Egypt. This partnership with Elsewedy Electric will ensure the highest quality and efficiency in delivering the necessary infrastructure.

“Together, we will combine our strengths and deliver comprehensive solutions to meet Nigeria’s growing energy and infrastructure needs.”

The project will deliver construction of 687 kilometres of new distribution lines (greenfield) and the rehabilitation of 1,983 kilometres of existing lines (brownfield).

Mr. Islam Isharawy, Country Manager at Elsewedy, added: “We are honoured to contribute our expertise to Nigeria’s ambitious energy goals. This project represents a significant opportunity to upgrade Nigeria’s power distribution infrastructure.”

Mr. Tino Dong, Vice President for Central and West Africa at Power China, commented: “Power China believes in the President’s vision for the power sector and is committed to high-quality and reliable power solutions as part of our interventions.

“We look forward to a successful collaboration with FGNPC and Elsewedy to bring improved power distribution to Nigeria.”