The German government is to inject $160 million into Nigeria’s power sector.
The German Deputy Ambassador to Nigeria, Mr. Johannes Lehne, disclosed this in Abuja, at the unveiling of the 3rd phase of the Nigerian Energy Support Programme, NESP, a European Union and German Government funded programme.
The NESP aims to support Nigeria to build a sustainable energy sector through the expansion of access to clean, efficient and reliable energy.
Mr. Lehne said the programme which is part of Siemens power project is expected to take off in 2025.
According to the envoy, the NESP which started in 2013 has benefitted 45,000 people and 105 communities across Nigeria.
The ambassador said: “Now we go into the third phase with the first five big transformers to stabilize the grid and this will cost 160 million dollars which is financed by Germany.
“Siemens is doing this and now we’re close to signing the contract.
“Actually it was supposed to take off last year but it will take off in the beginning of 2025.”
Mr. Lehne also re-affirmed the commitment of the German government to Nigeria in achieving its Energy Transition targets.
Stabilise Electricity Market
The Permanent Secretary, Ministry of Power, Mahmuda Mamman, in his speech at the event, which was also the first NESP III Steering Committee meeting, explained that attracting more investments in renewable energy and energy efficiency, is in line with the objectives of Nigeria’s Electricity Act 2013, which aims at stabilising the nation’s electricity market.
“The third phase of the programme is “a welcome idea” that will build on the achievements of NESP Il by attracting more investments in renewable energy and energy efficiency,” Mamman explained.
He expressed his appreciation to the EU and Germany for their support.
“The Ministry continues to appreciate the EU and German Government for their continuous support to Nigeria, especially for ensuring energy security in the most affordable and sustainable manner.”
The Head of EU Delegation to Nigeria and ECOWAS, Green and Digital Economy, Ms. Inga Stefanoeicz, said the EU would continue to support Nigeria to achieve its energy security plans.
According to her, this will go a long way to achieve a sustainable energy future for the country through the increase of renewable in its electricity mix.
Ms.Stefanoeicz said that achieving a cleaner future was the business of all stakeholders, adding that the EU would continue to support the Nigerian government to achieve its energy security plans.
“This is to also achieve a sustainable energy future through the increase of renewables in its electricity mix.
“The EU is pleased to have commissioned an additional funding for the third phase of the programme to continue supporting the development of various frameworks and innovative models.
“The EU is bringing a new landscape to the concept of electricity franchising, attracting renewable energy investments and ensuring reliable power supply to its beneficiaries,” she said.
Improve Investment
The Head of Programme, NESP, Mr. Duke Benjamin, noted that active participation of and collaboration with the public and private stakeholders were critical to improve availability and reliability of energy in Nigeria.
He said NESP Ill would offer support, ranging from sustainable energy generation for rural communities, healthcare centres and businesses, efficient utilisation of energy, bridging the energy and electricity data gaps.
Benjamin added that it would also strengthen private sector investments and develop the capacities of regulatory agencies and local financial institutions.
“So far, NESP has supported the Nigerian government in creating an enabling environment for local and international investments to thrive in energy efficiency, renewable energy and rural electrification investments.
“These efforts have fostered investments in renewable energy, energy efficiency and rural electrification, as part of NESP’’s framework on in Nigeria,” he said.
The NESP, which was first commissioned in 2013, is a technical assistance programme co-funded by the EU and the German Ministry of Economic Cooperation and Development (BMZ).
The project is being implemented by the Deutsche Gesellschaft fur Internationale Zusammenarbeit (GIZ) in collaboration with the Nigerian Ministry of Power.
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