The Federal Executive Council (FEC) on Wednesday approved four major proposals from the Ministry of Power, in a fresh push to reform and strengthen Nigeria’s national electricity grid.
Minister of Power, Adebayo Adelabu, who briefed journalists at the end of the meeting said the measures are designed to modernise ageing transmission infrastructure, enhance supply reliability and meet the growing demand for electricity across the country.
According to him, the first approval was for the release of N13 billion as compensation for right-of-way acquisitions under the Lagos Industrial Transmission Project.
The project is being funded through a $238 million development loan from the Japan International Cooperation Agency (JICA) and is targeted at improving supply to key industrial clusters in Lagos, which collectively account for a significant portion of Nigeria’s manufacturing output.
“This funding covers compensation to property owners and communities affected by the transmission lines’ route. Once completed, the Lagos Industrial Transmission Project will ensure that our industrial estates have the dedicated, stable power they need to drive economic growth and create jobs,” Adelabu explained.
The other three approvals, the minister said, focused on the procurement and installation of high-capacity power transformers to replace weak, overloaded and obsolete units on the national grid.
He said the total value of the transformer procurement is $34 million, with an additional N5.2 billion budgeted to cover associated costs.
The breakdown of the equipment, according to the Minister, includes: 2 units of 150 MVA 330/132 kV transformers, 3 units of 100 MVA 132/33 kV transformers, 5 units of 60 MVA 132/33 kV transformers, and 2 units of 30 MVA 132/33 kV transformers.
“These transformers will be deployed strategically across the grid to relieve overloaded facilities, improve voltage stability, and accommodate the increased transmission capacity we are building,” Adelabu stated.
The minister noted that Nigeria’s national grid, which has been in operation for over five decades, suffers from ageing infrastructure, much of it operating well beyond its intended lifespan.
“Many of the transformers, cables and related components are weak and prone to failure. Regular maintenance and timely replacement of these assets are essential if we are to achieve a stable, reliable and effective grid that meets the needs of households, offices, small businesses and industries,” he said.
Adelabu assured that the approvals mark a significant step in the administration’s broader power sector reform agenda, which seeks to address transmission bottlenecks, reduce system collapses, and lay the foundation for sustainable economic growth through improved electricity access.
