Poised to tackle power infrastructure challenges and acknowledging the significance of sustainable energy development, the Minister of Power, Chief Adebayo Adelabu has emphasised that sustainably harnessing Nigeria’s natural resources is not just an opportunity but a necessity.
Adelabu who spoke at the Business Day’s one-day Energy Summit held on Friday in Lagos State on the theme “Powering Nigeria’s Energy Future: Addressing Infrastructural Challenges for Sustainable Energy Development”, highlighted the sector’s challenges while stressing the need for a diversified energy mix to achieve the Nigeria Energy Transition Plan ambitions of 30% renewable energy mix from 30GW by 2030.
In transforming the energy sector, the Minister said the government has embarked on several strategic initiatives designed to enhance sustainable energy development both in the short-term and long-term, which include an expanded generation capacity of 700MW from the newly commissioned Zungeru hydropower plant and the secured Presidential approval to defray legacy debts to generation companies (GenCos) to allow efficient gas supply to the sector.
“To promote renewable energy penetration and off-grid solution, the Federal Government is about to commence the World Bank Distributed Access through Renewable Energy Scale-up (DARES) $750 million facility to increase access to electricity for 2.5 million people through deployment of solar home systems and mini grids to households, MSMEs throughout Nigeria, educational and health facilities.
“This is in addition to the recently concluded $550m Nigeria Electrification Plan which has bridged the energy access deficit by providing electricity to over 1.1 million households, MSMEs, educational and healthcare facilities in unserved and underserved rural communities.
“We believe that the global shift towards renewable energy is not just an environmental necessity but an economic one. Nigeria is blessed with abundant renewable resources, and we aim to continue tapping into these renewable sources to diversify our energy mix, reduce our carbon footprint, and ensure energy security,” he said.
In the area of transmission and distribution networks upgrade, the Minister noted that an additional 463MW transmission evacuation capacity has been added to the grid in the last one-year, through the Presidential Power Initiative and validated through the signing of an accelerated performance agreement in Nov 2023 supervised by President Bola Ahmed Tinubu and German Chancellor Olaf Scholz.
“Additionally, the government has put in place the required framework to enable an injection of 1.5 million meters into the power sector through the World Bank Distribution Support Recovery Program. The Presidential Metering Initiative will ensure an additional 2 million meters will be procured annually for 5 years,” said the Minister.
This he said will ensure accurate billing, reduce revenue loss and improve cash flow for a more liquid power sector.
Adelabu also mentioned the commencement of the development of a National Electricity Policy and Strategic Implementation Plan by the government, to provide a comprehensive framework for the nation’s electricity sector to support innovation, research, and development in the sector and chart a sustainable path forward in Nigeria’s electricity industry.
According to him, “The government believes that a supportive policy and regulatory environment are essential for sustainable energy development and the government is committed to creating policies that encourage investment, foster innovation, and ensure fair competition in the energy sector.
“Sustainable energy development for us is not just ensuring a stable power supply. It involves creating an energy system that is resilient, efficient, and environmentally friendly. It’s about utilizing our resources in a manner that meets our current needs without compromising the ability of future generations to meet theirs. It is about fostering an energy ecosystem that supports economic growth, climate adaptability, and improved well-being of Nigerians.”
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