Nigerians to start enjoying 24-hour electricityas US to invest $1b in power sector

- The US says it will continue to invest in power sector in Africa

- This will help to increase electricity generation

- It says it is investing $1 billion in Nigeria’s power sector

 The United States is committed to
investing$1 billion in Nigeria’s power sector under the Power Africa in Nigeria project.

This is after the country has committed approximately $6.5 million in the past.

The Nation reports that Mr. Andrew Herscowitz who is the coordinator of Power Africa revealed this on Tuesday, February 14 at the opening of the two day Distribution Company Workshop which took place Abuja.

“Power Africa is a U.S government led initiative launched by President Barack Obama in 2013 to increase electricity access in sub-Saharan Africa by adding more than 30,000 megawatts of cleaner, more efficient energy development in sub-Saharan Africa and to unlock the substantial wind, solar, hydropower, natural gas, biomass, and geothermal resources on the continent.”

Herscowitz said:


 “Since Power Africa was launched, USTDA has committed approximately $6.5 million in funding for 10 activities supporting Nigeria’s energy sector, which could leverage up to $2.7 billion in investment.“$50 million in financing from the Oversea Private Investment Corporation (OPIC) to Lumos to scale up it’s off grid solar power service to about 200,000 Nigerian homes and businesses. $1 billion in project pipeline.”

“Power Africa has supported power companies in the country to the tune of $100 million capital expenditure credit enhancement facility with a corresponding$6.5 million in technical assistance and another r$1.5 million for limited commodity to turn around the DISCOS.

“Well functioning DISCOs are critical to the delivery of electricity in Nigeria. If the DISCOsdo not work, the energy sector as a whole does not work.

“Nigeria, like any country, needs to see capital flowing through the entire energy value chain, if there is no money for distribution, there’s no payment to electricity generators, and very little incentive for private sector investment.”

He assured that the project will continue as part of the partnership between the two parties.

He said:“I want to stress that Power Africa will continue our work in Nigeria and across sub-Saharan Africa to increase access to electricity. The U.S government’s commitment to Africa’s growth and development remains strong, as was outlinedin last year’s bipartisan electricity Africa Act.”

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