Nigeria's Minister of Power, Mr. Bayo Adelabu, has declared that the federal government is poised to reevaluate the Siemens power deal with the country. This deal was expected to bring about a significant increase in electricity supply, raising the current capacity of 4,000mw to an impressive 25,000mw by 2025.
Speaking to ARISE News, Adelabu cited the changing circumstances and conditions since the contract's initial signing as the primary reason for this review. He emphasized the need to adapt the agreement to the current situation.
However, it's worth noting that a portion of the Siemens agreement, which involved the importation of mobile stations and transformers, has already been fulfilled. This accomplishment will contribute to boosting the capacity of the Transmission Company of Nigeria (TCN) by an additional 1,300mw.
The Siemens project was initiated through collaboration with the German government, aiming to improve Nigeria's power infrastructure and extend energy access to households, businesses, and industries. The project was structured in three phases, with each phase designed to enhance the country's transmission capacity.
The first phase, already in progress, focuses on improving transmission capacity from 5,000 to 7,000mw. Subsequent phases aim to reach 11,000mw and eventually 25,000mw over a seven-year period. Despite encountering challenges, such as the COVID-19 pandemic and regulatory reforms, the project's pilot phase has made significant progress.
In summary, the review of the Siemens power deal underscores Nigeria's commitment to securing a reliable and resilient energy future while addressing the evolving needs and dynamics of its power sector.
Source: arise.tv