Saturday, June 14, 2008

50,000 Megawatts

Expect state of emergency declaration in power sector by July, President Yar’Adua assures

President Umaru Musa Yar’Adua announced on Friday June 13 in Paris that his Administration will formally declare a state of emergency in Nigeria’s power sector next month.

Responding to concerns expressed by prospective French investors over current power supply problems in Nigeria, President Yar’Adua said that under the emergency which will be in force for three years, the Federal and state governments will set aside Five Billion Dollars for the rehabilitation and expansion of Nigeria’s power generation, transmission and distribution infrastructure.

The President told the gathering of French businessmen that after the three-year emergency period, Nigeria’s generation and distribution infrastructure will be privatised while its transmission infrastructure will remain under the control of a state-owned company.

He said that Nigeria will seek additional financing from international finance institutions for the rehabilitation and expansion of its power infrastructure, adding that his Administration intended to establish a proper foundation for the increment of Nigeria’s power generation capacity to about 50,000 megawatts by the year 2020. More...



t said...

50,000MW by 2015 was the goal just one year ago. Now it's the goal for 2020. Nigeria needs power now, not by 2020.

I support the State of Emergency, and I support foreign/French industry being partners as we get electric power.

Who are these "French businessmen?" - EDF executives, perhaps? That would be comforting compared to dealing through third-party businessmen.

Who represents Nigeria in these partnerships for power production? I don't know...

See video on Nigerian government priorities, as articulated pre-2007 elections.

t said...

Some notes:
More and Electric power and money leaking:
Basically lamenting runaway costs for 6 power plants that were begun under Obasanjo.

More on Electric Power targets :
Basically renewing campaign promise to declare a State Of Emergency for electricity, and targeting 50,000MW production by 2020, not by 2015 as promised last year (this is unacceptable, as it condemns the country to poverty.)

More on French nuclear (wow, it's like I see the future or somethin' ) .
It has seemed to me for a while that EDF, Areva, companies experienced in nuclear power plant development might be good candidates for developing Nigeria's power plants. Now it seems other countires are doing the same: I read somewhere in the news China is having nuclear power plants developed, though the time scale was pretty long.
My concern now is the negotiation. One solution to that, and to corruption is benchmarking - Nigeria can contractually peg its costs to the costs of other similar power development contracts.


t said...

I misunderstood about the French businessmen, they're not electricity businessmen. I wonder if a major improvement will be fought through. It is promising that they are trying. It is not promising that the targets keep shifting and that the truth about major theft is being covered up.

Recent Comments

Previously on UpNaira