The Federal Government has secured a $238 million loan facility from the Japan International Cooperation Agency (JICA) to boost Nigeria’s national power grid.
The agreement followed high-level engagements led by President Bola Ahmed Tinubu and Minister of Power, Adebayo Adelabu, at the Ninth Tokyo International Conference on African Development (TICAD9) in Yokohama, Japan.
In a statement issued by the Ministry of Power on Friday, President Tinubu emphasised that Nigeria’s participation at TICAD9 was focused on concrete outcomes rather than diplomacy.
“Nigeria’s participation at TICAD9 was not about trade exhibitions, but about forging strategic, outcome-driven partnerships that deliver tangible results for the Nigerian people.
We are deliberately shifting from planning to implementation, from agreements to delivery, and from promises to measurable results,” Tinubu said.
The loan, supported by Federal Executive Council counterpart funding of N19.08 billion, will finance the expansion of transmission infrastructure.
The project includes 102.95km of new 330kV double circuit lines, 104.59km of 132kV double circuit lines, four 330/132/33kV substations, two 132/33kV substations, and several line bay extensions, aimed at improving efficiency and reducing system losses.
Highlighting the importance of the deal, Minister Adelabu noted that engagements with Japanese power companies such as Toshiba, Hitachi, and Japan’s Transmission & Distribution Corporation were crucial to unlocking Nigeria’s energy potential.
“Our focus is on transmission infrastructure, operational efficiency, and strategies to reduce system losses. This $238 million loan from JICA provides the backbone for that transformation,” Adelabu said.
He also praised Japan’s long-standing support: “JICA has proven to be a reliable partner in advancing Nigeria’s energy transition and expanding access to reliable, affordable, and sustainable electricity. Their contributions across infrastructure, technical studies, training, and financing remain vital to strengthening our power sector.”
In addition, Adelabu reaffirmed the government’s broader commitment to bridging Nigeria’s energy gap, where only 55–60 per cent of the population has access to electricity.
“We are expanding grid access in urban areas while accelerating off-grid solutions for rural communities. Despite cost and financing challenges, we remain committed to supportive policies, strategic partnerships, and local manufacturing to drive a sustainable energy future,” he said.
This development builds on the recently launched $750 million World Bank–backed Distributed Access through Renewable Energy Scale-up (DARES) programme under the Mission 300 Compact, which targets the delivery of clean and reliable electricity to over 17 million Nigerians.
Alongside this, three substations funded by JICA through a $32 million grant are nearing commissioning in Apo (FCT), Keffi (Nasarawa State), and Apapa (Lagos State).
Once operational, they will enhance supply reliability to households, businesses, and industrial clusters, including critical infrastructure such as the Lagos Port and adjoining industrial zones.
Through its collaboration with JICA, the National Power Training Institute of Nigeria (NAPTIN) has also commissioned state-of-the-art training equipment in Abuja to enhance the skills of distribution engineers and address network losses.
The facility is designed to strengthen local expertise and support long-term sustainability in sector operations, with capacity development remaining a cornerstone of Nigeria’s power sector strategy.