FG Plans $7.5bn Investment In Power Generation In 5-year

The federal government plans to invest $1.5 billion in the next five years to boost power generation and increase capacity from the current 5,000 Mega Watts to 11,500 Mega watts; however the total cost of the project is put at $7.5 billion by the Transmission Company of Nigeria (TCN).
Breakdown of funding for the project include, a concessionary loans and grant of $3.4 billion from TCN’s support international finance agencies, $1.5 billion from Nigerian government, while the financing initiatives of TCN were expected to contribute $2.6 billion.
Managing Director of TCN, Abubakar Atiku told a press conference part of the strategic plan was to boost its transmission capability to 8,200MW by the end of 2018, to ensure steady power supply.
This he said would be realised by completing eight of its new projects in 2018. He said that the ultimate expansion programme was designed to ensure the completion of 59 projects by 2019 in line with the envisaged Federal Government’s realisation of 10,000MW.
Atiku said that the completion of the projects would eventually lead to a total transmission capacity of 11,500MW. He explained that the five-year plan had also been carefully developed with the overall aim of realising an uninterrupted power supply with the realisation of 20,000 MW by 2022.
Atiku said that to key in to the incremental power plan by Nigerian government, TCN had planned to realise the completion of 22 critical projects captured in the 2016 Budget. He said that TCN had increased its present transmission capacity from 5,500MW to 6,00MW, adding that efforts were on to increase the wheeling capacity to 7,500MW with the completion of 31 projects by 2017.
He said that TCN had restored unavailable service equipment to boost and strengthen the national grid. According to him, with the restoration of critical equipment hitherto neglected by the previous management, the transmission system has been relatively stable with zero system collapse.
The MD said that TCN was focused at ensuring that no power was left stranded in the generating stations, adding that efforts were being intensified to ensure stability of the national grid. He said this was being archived through the introduction of changes in TCN’s operational ways of conducting business.
Source: Reuters

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