FG Launches National Energy Compact,Eyes $23.2bn Investment 

4 weeks ago
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The Federal Government has outlined  $23.2 billion investment target while unveiling an ambitious energy access programme that will see to the transformation of the country’s energy sector. 

At the recent Mission 300 Africa Energy Summit in Dar es Salam, Tanzania,the Federal Government also disclosed plans to mobilize $15.5 billion in private investment to drive last-mile electrification.

The Minister of Power, Chief Adebayo Adelabu is spearheading the programme. 

Through the energy access programme, tagged National Energy Compact (NEC), the government aims to increase electricity access from 4 percent to 9 percent annually to close  energy gap, boost access to clean cooking solutions from 22 percent to 25 percent annually, expand renewable energy’s share in the power generation mix from 22 percent  to 50 percent, and mobilize $15.5 billion in private investment to drive last-mile electrification. The efforts align with UN Sustainable Development Goal 7 (SDG7), which seeks to ensure universal access to modern energy services.

Unveiling the programme,Adelabu said it will  expand electricity access, increase renewable energy adoption, and improve clean cooking solutions for millions of Nigerians.

 “With 150 million Nigerians already electrified, Nigeria remains committed to ensuring universal access to affordable and sustainable energy by 2030”,the  Minister added. 

He noted that while the roadmap for expansion is clear, challenges such as vandalism of power infrastructure pose a significant threat to Nigeria’s electrification efforts. “Transmission towers, pipelines, and distribution equipment have been targeted, disrupting supply and deterring potential investors”. 

He emphasized that protecting power assets is crucial to ensuring uninterrupted electricity supply and sustaining progress, adding that,  “the  government is intensifying efforts to curb vandalism through enhanced security, stricter penalties, and improved surveillance technologies”.

He said,achieving Nigeria’s electrification targets requires significant investment, and the government is prioritizing private sector participation to unlock additional resources.

He added:“The Compact outlines a $23.2 billion investment target, with $15.5 billion expected from private investors. These funds will be directed toward expanding power generation, strengthening transmission and distribution networks, and integrating distributed renewable energy solutions”, he said.

He implored development partners, philanthropies, and the private sector to join the transformative journey.

He added: “By implementing the action plan in the National Energy Compact, Nigeria is positioning itself as a leader in Africa’s energy transition and creating opportunities for economic growth, job creation, and industrialization”, the Minister reiterated. 

“As the Mission 300 initiative gains momentum, Nigeria’s strong commitment to energy sector reforms, infrastructure expansion, and investment mobilization will be crucial in shaping the future of electricity access across the continent

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