US signs agreement with Nigerian power distribution companies

The two-year agreement will provide management consultation to three Nigerian distribution companies

The signing ceremony was also witnessed by the US ambassador to Nigeria; Mr James Entwistle, special assistant to the minister of power, Mr Babatunde Fashola, Lanre Olusola; director, office of the Economic Growth and Environment, USAID; Mr Matthew Burton and USAID mission director, Mr Michael Harvey.

The agreement will advance major infrastructure investments and strengthen systems in the distribution companies.

Announced by President Obama in 2013, Power Africa is working with sub-Saharan African governments, the private sector and other partners, including Nigeria to add more than 30,000 megawatts (MW) of cleaner, more efficient electricity generation capacity and 60 million new connections by 2030.

The initiative has already helped financially close over 4,000 MW worth of transactions representing almost 14 per cent of the initial 30,000 MW goal.

Speaking at the ceremony, Ambassador Entwistle said: ”We believe that distribution companies are the starting point for improving the entire power sector value chain.

”Through improving the performance of distribution companies, we will see increased electricity supply and access….our joint efforts will improve the lives of countless Nigerians and serve as a model for other African countries.”

On his part, Fashola stated that the agreement was a big step towards improving the power situation in Nigeria. He also informed the audience that his ministry has begun focusing on solar power in order to diversify Nigeria’s energy base.

Representatives of the distribution companies were also on hand to sign the agreements for their respective companies. They include Mrs Olufunke Osibodu; CEO of Benin Electricity Distribution, Chairman, Eko Electricity Distribution; Mr Charles Momoh and Board Chairman, Abuja Electricity Distribution; Ambassador Shehu Malami.

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