The Federal Executive Council, presided over by Vice President, Yemi Osinbajo, approved the procurement of equipment worth N777.61 billion to improve power supply across Nigeria.
During the FEC meeting on Wednesday, it was revealed that N9.89 billion will be disbursed for onshore components and $1.806 billion (N767.71 billion when pegged to Wednesday’s FX rate) for offshore components.
According to the Minister of Power, Abubakar Aliyu, the funds will be disbursed to the Transmission Company of Nigeria (TCN) to purchase power transformers, as well as associated spare parts in Adamawa, Oyo, Ogun State, Yobe, Katsina and Niger to boost power supply.
Recall that Nigeria has been experiencing power outage across the country, with about four nationwide blackouts in the last six months, and some of them are blamed on vandalism.
After the meeting, Aliyu said, “I presented two memos to the council which has approved; “the first memo council approved the award of contract for design, supply and installation of 1x60MBA, 132×33 KV transmission substation with associated 4×132 KV line bay extension at Hong Local Government in Adamawa in the sum of N6.5 billion, consisting of two components. One is offshore and onshore.
“The offshore is 6.9 million dollars and the onshore is N3.3 billion at the CBN prevailing exchange rate and 7.5% VAT; the delivery period is 24 months.”
Speaking on the impact of the funds and procurement, Aliyu said, “It is going to affect Song which is a Local Government headquarters in Adamawa state; Gombi is also another Local Government headquarters; Garkida town and then Hong.
“Then Mubi, Woba, Michika, Madagali. There is an existing 132 that passes through this area; so, what we’re doing now is to drop a substation there.
“The hope is by the time all these interventions we are making on the grid, reaches up to 11,000 or thereabout, it will be able to withstand and take it off; so, this is the intervention.” he said
He added that, “One is to Aiyede in Oyo; Offshore component 1.8 billion dollars, the onshore is N98 million. The second one is Gusau in Zamfara; the third one is Kankia in Katsina State; the next one is Minna, Niger; then the fifth one is to Okearo in Ogun.
“The sixth one is in Damaturu, Yobe; this one is very peculiar because as you may be aware, for over one year, Maiduguri has not been enjoying full electricity.” he said.
According to Aliyu, “We are currently procuring another 33 double circuit new one to Maiduguri along the same route.
“The idea is if someone tampers with it, it is easy to restore it within a day or two, unlike the bigger one which is the 330 which takes weeks or months to restore because it’s in the bush.
“So, as it is now even the one that we have installed, we have been doing hide and seek, sometimes they will pull one-two poles, we will repair and this is why we are doing this endeavour by the roadside; it is this to keep on restoring back.” he added.
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