The federal government has entered into a $328.81 million agreement with China Machinery Engineering Corporation (CMEC) aimed at enhancing electricity supply across Nigeria. As reported by NAN, the contract encompasses engineering, procurement, construction, and financing for the rollout of transmission lines under phase one of the “presidential power initiative (PPI)”.
During the signing event in Abuja on Wednesday, Minister of Power Adebayo Adelabu stated that CMEC would play a central role in executing the project.
He mentioned that the firm’s tasks would involve refurbishing and constructing “330 kilovolt (kV)” and “132kV” transmission lines.
Adelabu noted that the “FGN Power Company”, a federal government-established “special purpose vehicle (SPV)”, would oversee the execution of the initiative.
He explained that the project was structured to boost grid capacity and eliminate wasted potential, highlighting that it had been split into two critical segments.
According to him, “Priority one includes seven brownfield and 10 greenfield lines, totaling 544 kilometers with a load capacity of 7,140 megawatts.”
“These vital infrastructure projects will serve as the arteries to carry increased power generated through mid-stream transmission directly to homes, businesses, and industries powering our economy.
“This project is not an isolated effort. It is strategically designed to complement ongoing mid-stream transmission enhancements. Our vision is holistic—from generation to the last mile of distribution.
“By upgrading and expanding the transmission network,” he added, Nigeria would be directly tackling a major challenge within its power sector.
Adelabu emphasized that resolving such bottlenecks would lead to more reliable electricity for millions, spurring economic development, job creation, and improved living conditions.
“Today’s signing is a tangible demonstration of the federal government’s unwavering commitment, under the leadership of President Bola Tinubu, to deliver stable and reliable power to all Nigerians,” he said.
“We are determined to eliminate the obstacles that have hindered past progress and build a 21st-century-ready power sector.”
Also speaking at the event, Kenny Anuwe, Managing Director of “FGN Power Company”, underlined the need to modernize the transmission infrastructure in order to deliver electricity where it is most needed.
“At FGN Power Company, our mandate is clear: to deliver improved power supply to all Nigerians. A robust and reliable transmission network is the backbone of a stable power sector,” Anuwe said.
He described the alliance with CMEC as a well-thought-out strategy to reinforce the country’s transmission framework, ensuring that investments in electricity generation lead to meaningful improvements for citizens.
FG, Chinese Firm Sign $328m Deal To Procure, Construct Transmission Lines