PowerAssetsunderpressuretodoleoutsomeofitsHK40bncashhoardinspecialdividend

US to invest US$1b in Nigeria’s power sector

Power Africa, an initiative by the United States government to light up Africa, plans to invest about one billion US dollars on the power sector in Nigeria, says programme co-ordinator Andrew Herscowitz.

Announcing this at a media conference here Tuesday, he said the US was committed to strengthening the power sector in Nigeria, adding that Washington had already committed billions of dollars in funding the nations energy projects.

Power Africa, which was launched by former President Barack Obama in 2013 to increase access to electricity on the continent, is aimed at adding more than 30,000 megawatts (MW) of cleaner, more efficient energy development in sub-Saharan Africa.

Herscowitz said the project also targets unlocking the substantial wind, solar, hydro power, natural gas, biomass, and geothermal resources on the continent.

“Since Power Africa was launched, the US Trade Development Agency has committed approximately US$6.5mil in funding for 10 activities supporting Nigeria’s energy sector, which could leverage up to US$2.7bil in investment,” he added.

“It has advanced US$50mil in financing from the Oversea Private Investment Corporation (OPIC) to Lumos, a Nigeria-based solar energy company, to scale up it’s off-grid solar power service to about 200,000 Nigerian homes and businesses.

“Power Africa has supported power companies in the country to the tune of 100 million dollars capital expenditure credit enhancement facility with a corresponding 6.5 million dollars in technical assistance and (supported) another 1.5 million dollars to turn around the DISCOS, he said.

He said that functional power distribution companies were critical to the development of the country. According to him, well-functioning electricity distribution companies (DISCOs) are critical to the delivery of electricity in Nigeria. “If the DISCOs do not work, the energy sector as a whole does not work.

He said Nigeria, like any country, needed to see capital flowing through the entire energy value chain. – Bernama

Power Africa, an initiative by the United States government to light up Africa, plans to invest about one billion US dollars on the power sector in Nigeria, says programme co-ordinator Andrew Herscowitz.

Announcing this at a media conference here Tuesday, he said the US was committed to strengthening the power sector in Nigeria, adding that Washington had already committed billions of dollars in funding the nations energy projects.

Power Africa, which was launched by former President Barack Obama in 2013 to increase access to electricity on the continent, is aimed at adding more than 30,000 megawatts (MW) of cleaner, more efficient energy development in sub-Saharan Africa.

Herscowitz said the project also targets unlocking the substantial wind, solar, hydro power, natural gas, biomass, and geothermal resources on the continent.

“Since Power Africa was launched, the US Trade Development Agency has committed approximately US$6.5mil in funding for 10 activities supporting Nigeria’s energy sector, which could leverage up to US$2.7bil in investment,” he added.

“It has advanced US$50mil in financing from the Oversea Private Investment Corporation (OPIC) to Lumos, a Nigeria-based solar energy company, to scale up it’s off-grid solar power service to about 200,000 Nigerian homes and businesses.

“Power Africa has supported power companies in the country to the tune of 100 million dollars capital expenditure credit enhancement facility with a corresponding 6.5 million dollars in technical assistance and (supported) another 1.5 million dollars to turn around the DISCOS, he said.

He said that functional power distribution companies were critical to the development of the country. According to him, well-functioning electricity distribution companies (DISCOs) are critical to the delivery of electricity in Nigeria. “If the DISCOs do not work, the energy sector as a whole does not work.

He said Nigeria, like any country, needed to see capital flowing through the entire energy value chain. – Bernama

 – Original article can be found here.

Facebook

Twitter

YouTube