The federal government of Nigeria has signed a contract worth $328.8 million with China Machinery Engineering Corporation (CMEC) for the reconstruction and expansion of the nation’s electricity transmission infrastructure as part of Phase 1 of the Presidential Power Initiative (PPI).
The contract is an Engineering, Procurement, Construction, and Financing (EPC+F) type project, which will include the installation of 330 kV and 132 kV transmission lines to improve grid stability and harness the stranded power generation capacity.
The initiative will be implemented by the FGN Power Company, a government-owned company managing the PPI project, which will subsequently oversee the project. The Minister of Power, Adebayo Adelabu, said during the signing ceremony in Abuja that plans are in motion to execute 544 kilometers of transmission lines with a capacity of 7,140 megawatts at the brownfield and greenfield sites. He also stressed that the upgrades will function as a channel to move power from transmission hubs to homes, businesses, and industries, enabling economic growth.
Adelabu referred to the project as an initiative that could fundamentally eliminate persistent constraints in Nigeria’s power industry, stating that the country still grapples with sustainable power infrastructure, and reliable transmission serves as the missing link between generation and access by consumers. The project also corresponds with the commitment made by President Bola Tinubu to ensure a constant power supply throughout the country.
Kenny Anuwe, the managing director of FGN Power Company, remarked about the contract, stating that CMEC will act as a strategic partner to assist the country in developing a robust network for increasing available generation capacity in Nigeria.
He pointed out how CMEC’s expertise will assist with Siemens Energy’s projects to update the high-voltage transmission systems.
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