By Ajibola Olaide, JKNewsMedia Reporter
MINISTER OF Power, Chief Adebayo Adelabu, has moved to clarify recent remarks concerning the Siemens-led Presidential Power Initiative (PPI), insisting his comments were not a dismissal of past efforts but a factual account of accelerated progress since the start of the Tinubu administration.
In a statement issued by his media adviser, Bolaji Tunji, the Minister reaffirmed that visible and measurable advancements on the Siemens-backed project only began after the current administration assumed office in May 2023.
He credited the renewed vigour to a high-level acceleration agreement signed shortly after President Bola Ahmed Tinubu’s inauguration, describing it as a catalyst that reignited the dormant project.
“There is no way the Minister’s statement that no significant progress on the project was made until the present administration was inaugurated can be faulted when the major milestones between 2023 till date are considered,” the statement read.
The PPI, launched in 2018 as a bilateral agreement between Nigeria and Germany, aims to overhaul the nation’s power infrastructure by boosting generation, transmission, and distribution capacity.
But according to Adelabu, it was the present administration that gave it genuine traction—an assertion backed by several technical and strategic milestones achieved under his stewardship.
One of the defining moments of the revamped PPI was the signing of an Acceleration Agreement with Siemens Energy. The deal not only signalled the administration’s political will but also restructured implementation strategies to hasten delivery.
Under the new framework, Siemens was directed to focus solely on transmission modernisation using a Turnkey approach, while the distribution segment was handed to other Engineering Procurement and Construction (EPC) firms with proven capability.
This shift was aimed at unlocking 4,000MW in additional grid capacity by 2026, with a further 2,000MW targeted under the Economic Management Team’s 2024 directive.
“The project has recorded tangible results since this realignment,” the statement noted. Ten power transformers and ten mobile substations were manufactured, delivered, and installed during the PPI’s pilot phase in late 2023—marking the first major delivery under the initiative.
In parallel, the Federal Government of Nigeria (FGN) Power Company executed multiple transmission projects that have added over 700MW in wheeling capacity to serve industrial clusters, businesses, academic institutions, and residential areas.
The Transmission Company of Nigeria deployed over 70 new transformers between 2024 and 2025, supported by internally generated revenue and funding from multilateral lenders such as the World Bank and African Development Bank. Combined, these efforts have contributed more than 12,000MVA of transformation capacity to the national grid.
A ₦25 billion allocation in the 2025 budget has been earmarked to complete these projects. New initiatives such as the Eastern and Western Super Grid frameworks are also in motion to regionalise and stabilise Nigeria’s grid against recurring collapses.
To close Nigeria’s longstanding metering gap, the Presidential Metering Initiative (PMI) was launched with a mandate to supply two million meters annually. A ₦700 billion fund raised through FAAC is already being deployed, with procurement underway for 1.1 million units.
The World Bank’s DISREP programme complements the effort, targeting 3.2 million additional meters. A first tranche of 75,000 has been delivered, and another 200,000 are due by May 2025.
Meanwhile, renewable energy projects have scaled up. Solar mini grids were commissioned in Plateau, Cross River, Niger, and Osun States.
The government is also working to fully evacuate energy from the Zungeru and Kashimbila hydropower plants, while the Kaduna thermal plant is on track for activation by year’s end.
A standout agreement between the Rural Electrification Agency and Oando Clean Energy will see the development of a 1.2GW solar plant with a built-in recycling line, boosting clean energy generation and sustainability.
The power sector’s financial framework has also seen adjustments. In 2024, cost-reflective tariffs for Band A customers increased market revenue by ₦700 billion—up 70% from the previous year.
The establishment of the National Independent System Operator (NISO), following the unbundling of TCN, is expected to improve governance and investor confidence.
Electricity generation peaked at 6,003MW on 4 March 2025, with 5,801.44MW evacuated and a record 128,370.75 MWh delivered on the same day. The Niger Delta Power Holding Company (NDPHC) restored 345MW of idle capacity, and enhanced 14 transmission lines.
Seven university campuses are also now powered under the Energising Education Programme (EEP), with more awaiting commissioning. Distribution companies, some undergoing restructuring, are now subject to tighter performance oversight by the regulator.
Despite the gains, the Minister acknowledged persistent challenges in the sector—ranging from ₦4 trillion in unpaid subsidies to tariff deficits, vandalism, and electricity theft.
He also flagged poor investments by some operators and public resistance to commercialisation as liquidity barriers.
Nevertheless, the Ministry reiterated its commitment to a sustainable, inclusive, and commercially viable power sector, urging critics to consider the full breadth of interventions under the Tinubu administration—not just the Siemens agreement.
“Of all the Minister has outlined, why should the focus be on only one element?” the statement queried. “What matters is the impact being made across the power sector.”
