The new electricity deal between the Nigerian government, its German counterpart and
Providing what he described as 'key details' of the Presidential Power Initiative (PPI) deal which has already into effect, the minister noted that the deal represents one of the largest and most transparent power sector investments in modern day
Listing the details under major infrastructural points, project timeline and expansion outcomes, Mamman explained that the deal for which the federal government made an initial N8.6 billion commitment penultimate week, would totally transform the sector.
The government added that aside the 105 sub-stations, to be upgraded and 70 new sub-stations to be built under the new arrangement, 35 power transformers will also be manufactured and installed.
It disclosed that 3,765 distribution transformers would be installed and 5,109 km distribution lines will be built with a potential generation capacity of over 13,000 mw as opposed to the current transmission of 4,500mw.
The minister explained that in the Phase one, 7gw is expected to be achieved between now and 2021, with the upgrading of transmission and distribution of the
For phase two, 11gw will be achieved between 2021-2023, with full use of existing generation and last mile distribution capacity.
According to Mamman, the phase three would see the achievement of 25gw between 2023-2025 with appropriate upgrades and expansion in generation, transmission and distribution.
Last week, the
The deal also involves Siemens' support for the regulator, the
It would see the financiers get up to a three-year moratorium with a 12-year repayment at concessionary interest rates.
While Siemens will singlehandedly pick the Engineering, Procurement and Construction (EPC) partners for the sake of transparency, according to the federal government, all items to be purchased would be provided by the Discos and TCN and would be vetted by a professional Project Management Office.
It will be backed through a
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