The federal government is having discussions for a $238 million loan from the Japan International Cooperation Agency (JICA) to expand Nigeria’s national electricity grid network, especially the transmission segment of the power value chain.
This was part of the outcome of deliberations at the just-concluded Ninth Tokyo International Conference on African Development (TICAD 9) in Yokohama, Japan, where the Nigerian delegation was led by President Bola Tinubu and attended by the Minister of Power, Adebayo Adelabu, and others.
The national delegation held high-level engagements with Japanese stakeholders, including Toshiba, Hitachi, Japan’s Transmission & Distribution Corporation, and Energy Exchange corporations, focusing on transmission infrastructure, operational efficiency, and strategies to reduce system losses.
The proposed loan was built on the recent Federal Executive Council (FEC) approvals for counterpart funding of N19 billion to catalyse a loan funding of $238 million from JICA.
Already, three substations funded by JICA through a $32 million grant are set for commissioning in Apo (FCT), Keffi (Nasarawa State), and Apapa (Lagos State).
The projects will directly strengthen supply reliability to households, businesses, and industrial clusters, including critical facilities such as the Lagos Port and surrounding industrial areas.
In addition, through the partnership with JICA, Adelabu said the National Power Training Institute of Nigeria (NAPTIN) has commissioned a state-of-the-art training equipment in Abuja to strengthen the skills of distribution engineers and tackle network losses.
The facility is designed to deepen local expertise and promote long-term sustainability in sector operations through capacity development, which remains a cornerstone of Nigeria’s power sector strategy.
Recall that President Tinubu had said Nigeria’s participation in the TICAD9 summit is anchored on a bold $1 billion trade and investment goal.
“At #TICAD9, themed Co-create innovative solutions with Africa, Nigeria comes with clarity of purpose. Our participation aims to unlock over $1 billion in trade and investment, advance green innovation, expand opportunities for youth, and position Nigeria as West Africa’s hub,” the President said in a statement.
He described TICAD9 as a platform for long-term partnerships, built on innovation, trust, and talent.
“This summit is our launchpad for lasting development and global collaboration, anchored on technology, trust, and talent,” President Tinubu added.