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Home News Business

Minister Adelabu Assures Nigerians of Improved Grid Stability Under Siemens Project

Paul by Paul
December 12, 2024
in Business
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Minister Adelabu Assures Nigerians of Improved Grid Stability Under Siemens Project
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Nigeria’s Minister of Power, Adebayo Adelabu, has reaffirmed the government’s commitment to stabilizing the country’s power grid with the progression of the Presidential Power Initiative (PPI), popularly known as the Siemens project. Adelabu spoke after a closed-door meeting with German officials during German President Frank-Walter Steinmeier’s visit to the State House in Abuja on Wednesday.

The Siemens project, a key part of Nigeria’s bilateral energy partnership with Germany, aims to revamp the country’s aging grid infrastructure. Adelabu highlighted the significant progress made since the pilot phase began following an agreement signed at COP28 in December 2023.

Adelabu noted that the pilot phase has resulted in the installation of 10 power transformers and 10 mobile substations, contributing 750 megawatts (MW) to the national grid’s transmission capacity. With two remaining units expected to be commissioned by the end of 2024, an additional 150 MW will further enhance the grid’s stability.

Following the pilot phase’s success, the project will now enter phase one, which includes:

  • Rehabilitation of 14 existing substations
  • Construction of 23 new substations

The first batch of phase one has been commercially finalized, pending approvals from the Bureau of Public Procurement (BPP) and the Federal Executive Council (FEC). Adelabu expressed optimism about the transformative impact of these interventions on the outdated and fragile grid infrastructure.

The Minister reiterated Nigeria’s commitment to achieving net-zero emissions by 2060, emphasizing renewable energy’s central role in the country’s energy transition plan. Nigeria’s abundant natural resources, including daily sunshine, winds, and underutilized dams, present significant opportunities for solar, wind, and hydroelectric energy development.

Adelabu emphasized collaboration with Germany, leveraging advanced technology to harness these resources effectively. He highlighted plans to implement a distributed power model, enabling localized power generation for Nigeria’s 36 states and the Federal Capital Territory. This model aims to:

  • Reduce disruptions from the national grid
  • Expand access to power in rural areas
  • Provide reliable energy to critical institutions like schools and hospitals

Adelabu also mentioned major infrastructure developments, including the Lagos-Calabar coastal highway and the Badagry-Sokoto road, which will enhance access to renewable energy resources. He acknowledged the support of Germany’s international development agency, GIZ, in grid extension and renewable projects, alongside growing interest from German investors in Nigeria’s energy sector.

While no new agreements were signed during the meeting, discussions focused on expediting existing projects under the bilateral energy partnership. Adelabu expressed optimism that these efforts will accelerate Nigeria’s journey toward sustainable and reliable power solutions, ultimately transforming the national grid and enhancing energy access for all Nigerians.

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