The World Bank, on Monday, confirmed its decision to provide a $486m loan to the federal government to support its Nigeria Electricity Transmission Project (NETP).
The NETP is expected to improve the power transfer capacity of the nation’s transmission network and enable distribution companies to supply additional power to its consumers which is part of the federal government’s Power Sector Recovery Programme (PSRP).
The Federal Government stated that with this loan, it intends to upgrade electricity transmission substations and lines across the country.
The World Bank Nigeria country director Rachid Benmessaoud said: “The NETP will help address key bottlenecks in the transmission network, and also improve access to affordable and reliable electricity service to citizens.”
Besides the World Bank, financiers of the projects include the International Development Association (IDA) credit; and an International Development Association (IDA) Scale-Up Facility credit.
In his response, the Minister for Power, Works and Housing Babatunde Fashola said: “The Federal Government is committed to addressing the challenges in the public-owned transmission network, and the financing being provided by the World Bank under the Nigeria Electricity Transmission Project power sector underlines this commitment.