Federal Govt Bets On Debt Clearance, Grid Upgrades To End Chronic Power Shortages

The federal government is combining the settlement of N1.2 trillion in power sector a transmission upgrades as it moves to end Nigeria’s chronic electricity shortages and improve supply nationwide.

Minister of Power, Joseph Tegbe, disclosed this on Wednesday while briefing State House correspondents on the outcome of the Federal Executive Council (FEC) meeting presided over by President Bola Tinubu at the Presidential Villa, Abuja.

Tegbe said the payment was part of the government’s broader efforts to tackle liquidity challenges in the electricity sector, particularly those affecting gas supply to power generation companies.

He explained that the government was pursuing several measures to stabilise the national grid, strengthen transmission infrastructure and improve electricity delivery to consumers.

According to him, the ministry has also commenced a technical audit of power infrastructure across the country to identify ageing facilities and determine areas requiring urgent intervention.

The minister said the country had been divided into three major energy zones to facilitate targeted interventions, with Lagos and its surrounding areas accounting for about 50 per cent of national electricity demand.

The other zones cover Abuja and Kano, as well as other parts of the country requiring improvements in electricity transmission and supply.

Tegbe said the government was also investing in transmission expansion, with plans to increase the country’s transmission capacity from about 5,000 megawatts to more than 19,000 megawatts.

According to him, the planned expansion is intended to align transmission capacity with Nigeria’s electricity generation capacity, which he put at more than 13,000 megawatts.

The minister disclosed that the Federal Executive Council had approved three projects to strengthen the national transmission network.

One of the projects involves upgrading the Katampe transmission substation, a major electricity transmission hub serving the North-Central region.

The council also approved the design and manufacture of three 300-megavolt-ampere transformers for the Egbin transmission substation, which supplies electricity to the Lagos axis.

Another approved project is the reconstruction and upgrade of a 35.6-kilometre transmission line along the Shagamu axis, from single-circuit to double-circuit, to increase its capacity to carry electricity.

Tegbe said the projects formed part of the government’s broader strategy to improve grid stability and strengthen the resilience of the country’s transmission infrastructure.

On alternative electricity sources, the minister disclosed that 14 federal universities had been equipped with solar mini-grids, with capacities ranging from one to five megawatts.

He said another 11 universities had received funding through the Tertiary Education Trust Fund (TETFund), bringing the number of institutions covered by the initiative to nearly 30.

According to him, the University of Abuja’s solar mini-grid was commissioned about three weeks ago, and plans are underway to commission similar projects at other institutions.

The government has also completed and energised solar mini-grid projects in five teaching hospitals in collaboration with the Federal Ministry of Health.

The minister said the initiative was designed to provide more reliable electricity to critical public institutions and reduce their dependence on the national grid.

Tegbe further disclosed that the government had commenced efforts to clear more than 300 containers of power equipment stranded at the nation’s ports.

He said President Tinubu had directed the ministry to work with the Nigerian Ports Authority and the Nigeria Customs Service to ensure the equipment was cleared.

According to the minister, the equipment had remained at the ports for an extended period, delaying its deployment for electricity infrastructure projects.

He added that the government had commenced the construction of a new National Control Centre in Osogbo, Osun State, to replace the existing facility, which he said was built 64 years ago.

Tegbe said the new centre would be equipped with modern technology to improve monitoring and management of the national grid.

He said the government would continue to pursue debt settlement, transmission infrastructure upgrades and alternative energy projects as part of efforts to improve electricity supply nationwide.