Nigeria and Japan sign US$11mn power supply deal

substation SparkFunElectronics flickrIn a bid to improve emergency power supply facilities, the Nigerian government has signed an agreement with Japan requiring the latter to provide a grant worth US$11mn for the upgrade of two substations in the Federal Territory (FCT) and Nasarawa states

According to a local media report in This Day Live, during the signing of the agreement, minister of budget and national planning Senator Udoma Udo Udoma, stated that the goal behind the ‘Electricity Supply Facilities Project’ by the Japanese government was meant to enhance the country’s efforts to ensure a steady power supply for economic growth.

He added, “In particular, the project aims to install capacitor banks in Apo and Keffi substations in FCT and Nasarawa State respectively and will contribute to stable power supply, decrease transmission loss and improve system reliability.”

The project is estimated to enhance the power supply to benefit approximately 7,000 households in Abuja.

Japan international cooperation agency’s (JICA) chief representative for Nigeria office Sadanobu Kusaoke said, “The project will make Abuja more attractive for investors as well as residents.”

The long-term benefits of the project are expected to lead to a reduction in unemployment and promote community development.

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