The Federal Government has requested a $500 million loan from the World Bank to improve dam safety and enhance water resource management nationwide.
This $500 million loan, which follows several loans and interventions from the World Bank, aims to address water security challenges and boost agricultural productivity through the Sustainable Power and Irrigation for Nigeria (SPIN) Project.
According to the World Bank’s Project Information Document, the SPIN project focuses on four critical areas: institutional strengthening and capacity building, irrigation modernisation, improvements in dam operations and safety, and project management. The proposed approval date for the SPIN project is September 26, 2024.
The initiative will reinforce federal and state institutions responsible for water resource management. It will include developing national dam safety guidelines, training for water resources and irrigation management, and creating a comprehensive hydropower master plan.
In addition, the document highlighted Nigeria’s water security challenges, which impact water availability for drinking, energy, and food production. Climate change exacerbates these challenges, risking livelihoods and economic development.
Enhancing water storage and dam safety is crucial for climate change adaptation and mitigation in Nigeria. It is essential for improving water management for supply, irrigation, and hydropower generation and provides protection from floods and droughts.
Nigeria has over 400 dams, with an estimated combined storage of 59 billion cubic meters. The Federal Ministry of Water Resources and Sanitation manages 46 per cent of these dams, while state ministries manage 48 per cent.
Many dams are incomplete, and more than 50 per cent of the large dams built in the 1970s and 80s require rehabilitation. This situation arises from inadequate budget, human resources, and capacity for dam management at both federal and state levels, as well as non-adherence to operational manuals where they exist.
The devastating 2022 floods, causing an estimated $6.7 billion in economic damage, underscored the urgent need for improved dam safety and water management.
In the second area of the project, the Federal Government plans to rehabilitate and modernise 40,000 hectares of irrigated land and establish and empower Water User Associations to manage irrigation schemes efficiently.
The third area will focus on rehabilitating and enhancing the safety of priority dams, including conducting risk assessments, preparing emergency action plans, and implementing structural safety improvements.
The final area ensures effective project implementation, monitoring, and evaluation by establishing a Federal Project Management Unit and Technical Units at both federal and state levels.
Some World Bank Interventions in the Past
- $750 million power sector recovery operation loan to ensure 4500 MWh electricity supply to the grid by 2022.
- $550 million loan to develop minigrids and solar home systems, deploy 995,396 solar home systems and 67 mini-grids with 1,151 jobs created.
- The World Bank’s $750 million Distributed Access through Renewable Energy Scale-up (DARES) project to expand access to clean energy for 17.5 million people.
- World Bank-sponsored regional off-grid electrification project.
- Nigeria Electricity Transmission and Access Project: As of 2022, over 770,000 solar home systems (SHS) have been deployed, affecting 3.5 million Nigerians.
- Nigeria Electrification Project: As of 2022, over 770,000 solar home systems (SHS) have been deployed, affecting 3.5 million Nigerians.