The Federal Government of Nigeria, represented by the Ministry of Power, has signed a $463m (N365bn at N789/$ NAFEM rate) distribution lines upgrade contract with…
The Federal Government of Nigeria, represented by the Ministry of Power, has signed a $463m (N365bn at N789/$ NAFEM rate) distribution lines upgrade contract with a Chinese consortium.
In a statement, Bolaji Tunji, Special Adviser for Strategic Communication and Media Relations, Minister of Power Chief Adebayo Adelabu, said the contract, which the China Exim Bank would finance, has both off-shore and significant on-shore contents.
Tunji said the signing of a Memorandum of Understanding (MoU) between the FGN Power Company, the Special Purpose Vehicle (SPV) responsible for implementing the Presidential Power Initiative (PPI) on behalf of the Ministry of Power and the Chinese consortiums – consisting of China Civil Engineering Construction (CCECC) and TBEA Energy – aimed at upgrading the distribution lines infrastructure under Lot 3 of the PPI, encompasses the regions served by Jos, Kano, Abuja and Kaduna distribution companies.
He said the signing ceremony took place during the 3rd Belt and Road Initiative (BRI) event held in Beijing, China.
“A similar MoU was signed between the Transmission Company of Nigeria (TCN), CCECC and TBEA to establish a super grid for the power sector.
The minister and his team were hosted by the two organizations, particularly CCECC, which has been operating in Nigeria for the past 42 years.
The presentation was conducted by Mr Liu Wiemin, Global Chairman of CCECC, and Mr Huang Hanjie, TBEA Global President.”
Speaking at the signing ceremony, Adelabu assured both companies of a long-term partnership, given the strong relationship between China and Nigeria, which was further strengthened at the BRI event.
“Adelabu also outlined President Bola Tinubu administration’s plans to rejuvenate the power sector by addressing critical requirements and implementing impactful projects,” he stated, adding that “Efforts are underway to finalise the sector’s reform with a new Electricity Act signed by Mr President to achieve these goals.”
The minister emphasised that despite its current challenges, Nigeria remains a unique and viable environment for investment.
