The Federal Government of Nigeria (FGN) Power Company has signed a major Engineering, Procurement, Construction and Financing (EPC&F) contract worth US$328,818,916.99 with China Machinery Engineering Company (CMEC) group, to boost power supply across Nigeria.
Speaking during the meeting where the deal was signed in Abuja on Wednesday, Adebayo Adelabu, Minister of power explained that the project will ensure the rehabilitation and extensive construction of 330 kV and 132 kV transmission lines under Phase 1 of the Presidential Power Initiative (PPI) while preventing stranded capacity in the grid.
According to Adelabu, the project with a load capacity of 7,140 megawatts will serve as the arteries that carry the increased power
generated through Nigeria’s midstream transmission projects directly to the homes, businesses, and industries. He said that the project is deliberately designed to seamlessly complement the ongoing midstream transmission enhancements.
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“By focusing on upgrading and expanding our transmission network, we are directly addressing a key bottleneck in the power sector value chain. This will translate to a significant improvement in electricity reliability and accessibility for millions of Nigerians fostering economic growth, creating jobs, and enhancing the quality of life for our citizens.”
“This project, I also want to reiterate that it will involve a lot of installation of expensive wire lines, expensive substations that are seen as national, critical national assets, we urge Nigerians to join hands in protecting this because it’s going to be executed with taxpayers’ money. Even if it is through finance, the repayment of the financing will be from taxpayers’ money.
“If we destroy our transmission or distribution assets, we are destroying our own personal assets. So this asset must be guarded and protected generously for us to have unaltered and undisturbed regular power supply to our people,” he said.
In his remarks, Kenny Anuwe, the managing Director of FGN Power Company, said that the deal signifies a critical and concrete step towards addressing the power infrastructure challenges in Nigeria.
He noted that the expansion and upgrade of Nigeria’s transmission infrastructure are crucial for effectively wielding the incremental power that is generated from the work that Siemens Energy does.
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“We are particularly delighted to partner with CMEC on this transformative project. The global reputation for engineering excellence, project execution capabilities, and commitment to quality are well established both in Nigeria and elsewhere.
“We are confident that this expertise will be invaluable in delivering this crucial infrastructure efficiently at the highest standards. Today, we are forging a power alliance to meet Nigeria’s growing energy and infrastructure needs.
“This contract is not just a procedural step. It is a reaffirmation of our commitment to transparency, accountability, and delivering on the promises made to Nigerians. We are determined to ensure that this project is executed diligently, efficiently, and with the utmost attention to quality and timelines,” he said.