The National Economic Council (NEC) has resolved to reinforce the implementation of the National Electrification Strategy in a bid to end the collapse of the nation’s power grid.
This is just as Vice President Kashim Shettima, Chairman of NEC, told members of the Council in a statement by his spokesman, Stanley Nkwocha, that access to energy is a fundamental right and not a privilege because electricity is the oxygen of economic growth.
Accordingly, the Council has constituted a committee on National Electrification to help address the challenges in the power sector.
The committee’s formation was among the decisions NEC took at the end of its 146th meeting on Thursday, which Vice President Kashim Shettima chaired at the Council Chambers of the Presidential Villa, Abuja.
The committee, headed by Cross River State Governor Bassey Otu, will work to deepen states’ engagement in the Electricity Reform Act 2023 and the National Electrification Strategy and Implementation Plan.
Following a presentation by the Managing Director of the Rural Electrification Agency (REA), NEC observed that Nigeria needs a reformed and diversified electricity system. It noted that by empowering states, accessibility and affordability of electricity can be enabled, ensuring that all regions effectively meet their specific energy needs.
Members of the committee include Governors Dikko Radda of Katsina, Inuwa Yahaya of Gombe, Ademola Adeleke of Osun, Hope Uzodimma of Imo, and Caleb Mutfwang of Plateau.
Others are Ministers of Finance, Mr Wale Edun; Budget and Economic Planning, Sen. Atiku Bagudu; Power, Mr Adebayo Adelabu; Special Adviser to the President on NEC and Climate Change; Special Adviser to the President on Power; Managing Director, Rural Electrification Agency (REA), and Managing Director, Niger Delta Power Holding Company.
Earlier in his address, Vice President Shettima maintained that access to energy is a fundamental right and not a privilege because electricity is the oxygen of economic growth.
He outlined urgent issues before the Council, including energy infrastructure, human capital development, creative industries, fiscal strategy, industrial innovation, and long-term development planning, describing them as foundational to Nigeria’s transformation.
VP Shettima explained that it is for this that experts and stakeholders from some of the critical sectors have been invited to share their insights and contributions.
He stated: “The past few months of collapses in our national power grid compel us to reinforce the pace with which we are adopting and implementing the National Electrification Strategy. Energy access is a fundamental right, not a privilege. It is the oxygen of economic growth.
“Our blueprints must, therefore, strive to expand access, empower rural communities, and drive productivity, especially for MSMEs. I hope our discussions today will inspire solutions to light up homes, power businesses, and fuel Nigeria’s industrial future.
“Whatever path we agree upon, it is clear that a private-sector-led distributed renewable energy generation approach is essential to increasing electricity access for households and small enterprises”.
The Vice President also urged the Council to take Nigeria’s creative industry seriously, saying it presents an avenue to redefine the nation’s economic trajectory.
He said, “New technologies have amplified the global appeal of our arts, crafts, and culture and opened up revenue streams and job opportunities for Nigerians.
“Our music, films, art, and cultural heritage are not just global symbols of Nigeria’s soft power but also vital engines of economic growth. We cannot afford to relegate the promise of turning creativity into wealth, empowering our youth, and positioning Nigeria as a hub of innovation and cultural excellence,” he added.
Meanwhile, states’ position on state police will be ready by the next NEC meeting.
Because of the updated submission on the establishment of state police, Council-mandated states that were yet to make their submissions on the subject matter should comply within the next week to enable NEC to come up with a unanimous position on state police at the next meeting.
Other meeting highlights include the Excess Crude Account, $473,754.57; the Stabilization Account, N33,324,135,076.39; and the Natural Resources Account, N26,847,747,874.93.
There was also a presentation on a special agro-industrial processing zone by the SAPz national programme coordinator, Dr Kabir Yusuf.
The programme is currently being implemented at varying stages in eight States of the federation: Kano, Kaduna, Kwara, Oyo, Ogun, Imo, Cross River, and FCT, under phase 1 of the Special Agro-Industrial Processing Zones.
Under the second phase, the selection team visited 24 states to assess their readiness for the programme. The implementation model is a government and private sector-led (SPV) arrangement; hence, discussions are underway to partner with private developers and co-financiers on the project, estimated to cost about $1 billion.
The SAPZ coordinating office is developing a multi-tranche financing arrangement to accommodate additional States over the next three years. It is structured in three tranches.
Intervention funds should be provided for each state’s ATC to boost production. The Office of the VP will use its convening power to obtain additional co-financing for the SAPZ phase 2 (SAPZ-2) States, fast-tracking the BADEA $300m multi-tranche financing for SAPZ-2 by the Federal Ministry of Finance.
The council urged states to embrace the programme and noted that the SAPZ would be a game-changer if states gave it the necessary support and consideration.
States will hold a special meeting with the Minister of Agriculture and the SAPZ management to address issues and requests raised during the SAPZ management presentation.
A presentation by the Minister of Finance requested NEC to ratify the nomination of persons to serve as chairman and members of the governing council of the Nigeria Sovereign Investment Authority (NSIA).
When appointed, members of the Council shall have the opportunity to raise questions of and give counsel to the authority’s Board and Management.
The Council commended the management of NSIA and recognised the fund’s importance in investing in critical economic sectors.
Council consequently approved NSIA’s request to onboard First Abu Dhabi Bank (FAB) as an alternate custodian.
A presentation by the Executive Vice Chairman/CEO of the National Agency for Science and Engineering Infrastructure (NASENI) showed the agency’s latest innovations and strategic initiatives, including products like a solar irrigation pump, electric vehicles, coal-based fertiliser, NASENI solar home systems, and smart devices.
States were urged to leverage NASENI’s tailored support for manufacturing, industrial development, access to public sector markets, and infrastructure and policy benefits to enhance economic growth.
In its resolutions, the Council directed NASENI to repair tractors and other agricultural machinery across the country and scale up the establishment of lithium battery factories in regions rich in raw materials.
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