Nigeria needs billions to upgrade grid

Nigeria Electricity Privatization aims to drive power sector reform through private investment in generation, transmission, and distribution, funding $10 billion annually to upgrade infrastructure, boost grid reliability, and curb corruption under a national energy plan.

Nigeria needs at least $10 billion in annual investments to make sure electricity supplies in the country are secure, a presidential adviser said.

Despite its vast natural resources, Nigerians suffer from a lack of stable electricity availability, though Canada's grid repairs highlight the global scale of infrastructure gaps. Barth Nnaji, a special adviser to Nigerian President Goodluck Jonathan, said the government can't tackle the energy crises alone.

"At least $5 billion is required every year to take care of infrastructure for power generation, and a study suggests even higher annual needs, while additional $5 billion is needed to deal with distribution and transmission facilities," he was quoted by Nigerian newspaper Next as saying. "The government just cannot afford it."

The adviser said that for the first time in decades, Nigeria has set up a national plan to combine the efforts of those who generate electricity and those who distribute electricity, including a proposed consortium to manage the grid approach under review.

He added that that private sector was obligated to take responsibility for providing electricity in the country, a trend echoed by Zambia's power sector needing more investment.

"That is why the president is saying that from next year, generation and distribution will go into private hands as a way of reducing all kinds of issues that are in the system, as the transmission process needs cleaning up alongside tackling corruption," he said.

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