New Telegraph

FG, USAID Sign N115.2bn MoU On Electricity Reform, Clean Energy

The Federal Government and the United States Agency for International Development (USAID) have signed a Memorandum of Understanding (MoU) on the effective implementation of N115.2 billion for Electricity Reforms and Clean Energy Transition in the country.

The Minister of Power, Chief Adebayo Adelabu while speaking at the event, which is part of FG’s commitment towards electricity sector reforms, market transparency, liquidity, expanding Nigeria’s access to sustainable, reliable and affordable power supply, said the N115.2 billion partnership with USAID represents a pivotal step towards overcoming the long-standing challenges in providing reliable and sustainable power to all Nigerian.

These were contained in a statement issued on Wednesday by Chief Information and Public Relations Officer of the Ministry, Chinwe Udouwem.

Adelabu said: “It strengthens our collaboration and provides critical resources to tackle the challenges in our Power Sector.”

The minister said the event aligned perfectly with the National goals of achieving net-zero carbon emissions.

He said: “We are committed to working together to ensure transparency, improve market efficiency and accelerate the transition to Clean Energy solutions.”

He expressed his sincere gratitude to USAID for its unwavering commitment to supporting Nigeria’s electrification efforts.

He also emphasized that by working with USAID and leveraging on their expertise, the government can empower the private sector, strengthen regulation and unlock the full potential of the Power sector.

Earlier in her remarks, the USAID/Nigeria Mission Director, Melissa Jones said that the MOU will support the effective implementation of the N115.2billion US government grant funded technical assistance program, intended to support Power sector development and reforms in Nigeria.

“Today’s goal is to strengthen collaboration between USAID and the Federal Government of Nigeria and to provide a framework for our partnership with other key actors, including state and local governments, electricity generation and distribution sectors and the off-grid sector is laudable and timely.”

Melissa decried that over 85 million Nigerians have no access to grid power, while many have suffered from unreliable power supply.

She noted that given these challenges, many Nigerian families and businesses depend on expensive, emission-intensive gasoline and diesel backup generators.

She said: “The Nigeria Power sector’s long standing challenges impair industrial growth and economic competitiveness, rural development, health and education sector performance and the nation’s overall economic growth and development.”

Also speaking, the Permanent Secretary, Mahmuda Mamman said USAID has been a reliable partner to the Ministry of Power and has taken the Sector to another milestone.

He said that the Power sector has recorded a significant generation of 5,000MW in 2024 adding that the collaboration may assist in surpassing the expected target of 6,000MW by the end of 2024.

According to the statement, the U S Government’s Power Africa Coordinator, Richard Nelson who was on hand to observe the signing ceremony, noted that Nigeria is at the core of Power Africa Coordination.

“I look forward to elevating our partnership to advance Nigeria’s progress towards our shared goal of ensuring access to reliable, sustainable affordable power for all,” he said.

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