By: ThinkBusiness Africa
The Nigerian government, through the Presidential Power Initiative (PPI) project, is preparing for a massive infrastructure expansion targeting a cumulative 4,104MW capacity addition in Phase One, Batch Two of the project.
President Bola Tinubu, meeting with a delegation from Siemens Energy, the technical contractor, assured the nation of the government’s commitment, emphasising that power sector revitalisation is central to national economic recovery and improving the livelihoods of citizens.
According to a statement from the presidency on Monday, the President told Siemens Energy delegation, led by Dietmar Siersdorfer, Managing Director of Middle East and Africa, at the State House in Abuja, that “There is no industrial growth or economic development without power,” asserting, “We are taking it very seriously.” He said.
He directed the immediate expansion of major transformer substations from two to three phases to significantly boost the country’s power supply.
The Minister of Power, Adebayo Adelabu, noted the significant milestones achieved in the sector, including the decentralisation and liberalisation of the power industry. These reforms were anchored by the signing of the Electricity Act 2023 and the establishment of a National Integrated Electricity Policy, which has already attracted over $2 billion in fresh investments and led to the activation of fifteen state electricity markets.
Minister Adelabu confirmed the substantial progress made under the Pilot phase (Phase Zero) of the PPI, noting “significant infrastructure upgrades and capacity enhancements that are already impacting grid stability and reliability.”
Siemens Energy has successfully delivered and commissioned including:
- Successfully delivered and commissioned 10 units of 132/33kV mobile substations.
- Commissioned three units of 75/100MVA transformers and seven units of 60/66MVA transformers across key load centres nationwide.
- These installations have added 984MW of transmission capacity to the national grid.
According to the presidency the Federal Executive Council approved the Engineering, Procurement, and Construction (EPC) contract for Phase One, Batch One of the PPI in December 2024. The scope covers the upgrade, installation, and commissioning of five key substations.
The minister said that civil works and resource mobilisation have been finalised across all five sites, with concurrent manufacturing of the required equipment ongoing. Two of the five substations are targeted for completion by the end of 2026.
Nigeria possesses a total installed generation capacity of approximately 12.5 GW (GigaWatts) as of 2024. However, the operational reality is drastically different as the actual power available for transmission typically hovers between 3,000 megawatts (MW) and 5,000 MW.
In the first quarter of 2024, the overall Plant Availability Factor for grid-connected plants was a critically low 33.53%. This means that more than 66% of the installed capacity was unavailable due to various factors, including maintenance issues, mechanical failure, and gas shortages.
Nigeria’s electricity consumption is about 142 kilowatt-hour (kWh) per person annually, which is extremely low compared to the global average of 3,781 kWh per person. This lack of power supply severely limits industrial and economic activity.
According to the World Bank, about 85 million Nigerians (43% of the population) lack access to grid electricity, representing the largest electricity access deficit globally.
Beyond the initial batch, preparations are advancing for Phase One, Batch Two of the PPI, which comprises a total of six (6) Brownfield and ten (10) Greenfield substations with a formidable cumulative impact of 4,104MW capacity addition.
The Minister of Finance and Coordinating Minister of the Economy, Wale Edun, highlighted the completion of the PPI would enhance Nigeria’s ease of doing business, create more jobs for the youth, and reduce poverty.
the Presidential Power Initiative is a step toward infrastructure upgrade — with the planned 4,104MW capacity boost, systemic issues like collection losses, gas supply, and fragile infrastructure must be resolved to translate increased capacity into reliable power for the majority of Nigerians.
Nigeria targets 4,104MW capacity boost in electricity power initiative
By: ThinkBusiness Africa
The Nigerian government, through the Presidential Power Initiative (PPI) project, is preparing for a massive infrastructure expansion targeting a cumulative 4,104MW capacity addition in Phase One, Batch Two of the project.
President Bola Tinubu, meeting with a delegation from Siemens Energy, the technical contractor, assured the nation of the government’s commitment, emphasising that power sector revitalisation is central to national economic recovery and improving the livelihoods of citizens.
According to a statement from the presidency on Monday, the President told Siemens Energy delegation, led by Dietmar Siersdorfer, Managing Director of Middle East and Africa, at the State House in Abuja, that “There is no industrial growth or economic development without power,” asserting, “We are taking it very seriously.” He said.
He directed the immediate expansion of major transformer substations from two to three phases to significantly boost the country’s power supply.
The Minister of Power, Adebayo Adelabu, noted the significant milestones achieved in the sector, including the decentralisation and liberalisation of the power industry. These reforms were anchored by the signing of the Electricity Act 2023 and the establishment of a National Integrated Electricity Policy, which has already attracted over $2 billion in fresh investments and led to the activation of fifteen state electricity markets.
Minister Adelabu confirmed the substantial progress made under the Pilot phase (Phase Zero) of the PPI, noting “significant infrastructure upgrades and capacity enhancements that are already impacting grid stability and reliability.”
Siemens Energy has successfully delivered and commissioned including:
According to the presidency the Federal Executive Council approved the Engineering, Procurement, and Construction (EPC) contract for Phase One, Batch One of the PPI in December 2024. The scope covers the upgrade, installation, and commissioning of five key substations.
The minister said that civil works and resource mobilisation have been finalised across all five sites, with concurrent manufacturing of the required equipment ongoing. Two of the five substations are targeted for completion by the end of 2026.
Nigeria possesses a total installed generation capacity of approximately 12.5 GW (GigaWatts) as of 2024. However, the operational reality is drastically different as the actual power available for transmission typically hovers between 3,000 megawatts (MW) and 5,000 MW.
In the first quarter of 2024, the overall Plant Availability Factor for grid-connected plants was a critically low 33.53%. This means that more than 66% of the installed capacity was unavailable due to various factors, including maintenance issues, mechanical failure, and gas shortages.
Nigeria’s electricity consumption is about 142 kilowatt-hour (kWh) per person annually, which is extremely low compared to the global average of 3,781 kWh per person. This lack of power supply severely limits industrial and economic activity.
According to the World Bank, about 85 million Nigerians (43% of the population) lack access to grid electricity, representing the largest electricity access deficit globally.
Beyond the initial batch, preparations are advancing for Phase One, Batch Two of the PPI, which comprises a total of six (6) Brownfield and ten (10) Greenfield substations with a formidable cumulative impact of 4,104MW capacity addition.
The Minister of Finance and Coordinating Minister of the Economy, Wale Edun, highlighted the completion of the PPI would enhance Nigeria’s ease of doing business, create more jobs for the youth, and reduce poverty.
the Presidential Power Initiative is a step toward infrastructure upgrade — with the planned 4,104MW capacity boost, systemic issues like collection losses, gas supply, and fragile infrastructure must be resolved to translate increased capacity into reliable power for the majority of Nigerians.
Akinwande
ThinkBusiness Africa
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