FG signs $329m agreement with Chinese firm to enhance electricity transmission

This Engineering, Procurement, Construction, and Financing (EPC+F) agreement involves the development of 330kV and 132kV transmission lines nationwide, aimed at boosting grid efficiency and minimizing unutilized power generation.

The project will be managed by FGN Power Company, a special-purpose entity established by the federal government to oversee the PPI’s implementation.

Speaking during the signing ceremony in Abuja, the Minister of Power Adebayo Adelabu stated that the project will cover 544 kilometers of transmission lines with a load capacity of 7,140 megawatts, spanning both new and existing sites.

He noted that the infrastructure will serve as key channels for transmitting electricity from the midstream sector to homes, businesses, and industries, thereby supporting national economic growth.

Adelabu described the agreement as a major milestone in addressing longstanding challenges in Nigeria’s power sector.

He emphasized the importance of strengthening the transmission network to ensure that electricity generated reaches end-users efficiently.

He also highlighted that the contract reflects the federal government’s commitment—under President Bola Tinubu’s leadership—to delivering reliable and stable electricity to Nigerians.

Kenny Anuwe, Managing Director of FGN Power Company, called the partnership with CMEC a strategic effort to build a more resilient transmission network capable of handling increased power generation.

He added that CMEC’s role complements the government’s existing partnership with Siemens Energy, which is focused on improving generation and high-voltage transmission systems.

Li Xiaoyu, Vice President of SINOMACH, expressed gratitude to the Nigerian government for entrusting CMEC with the project, noting its significance in enhancing power delivery nationwide.