FGN Power Company Signs $118M Power Distribution Deal with Power China, and Elsewedy

  • FGN Power Company (FGNPC) has entered into a $118.15 million EPC&F contract with Elsewedy Electric and Power China to enhance Nigeria’s power distribution network.
  • The agreement covers constructing and rehabilitating 2,670 kilometres of distribution lines, including 687 new lines and 1,983 existing lines.
  • The initiative aims to improve power reliability and accessibility, complement ongoing transmission projects, and support the development of Nigeria’s energy infrastructure.

The FGN Power Company (FGNPC) has signed a significant Engineering, Procurement, Construction, and Financing (EPC&F) contract with Elsewedy Electric and Power China. The $118.15 million contract is vital to Phase I of the Presidential Power Initiative (PPI).

This project involves constructing and rehabilitating 2,670 kilometres of distribution lines, including 33kV, 11kV, and 400V circuits across Nigeria. The goal is to enhance power reliability and accessibility for residential, commercial, and industrial sectors.

The agreement covers 687 kilometres of new distribution lines (greenfield) and 1,983 rehabilitated existing lines (brownfield). This effort will tackle transmission constraints and improve grid stability.

Chief Adebayo Adelabu, the Honourable Minister of Power, endorsed the project: “This partnership with Elsewedy and Power China marks a major step toward achieving reliable and sustainable electricity for all Nigerians. We remain committed to upgrading the country’s power infrastructure.”

FGNPC Managing Director, Mr. Kenny Anuwe, highlighted the strategic importance of the deal: “Our collaboration with Elsewedy and Power China draws on their expertise in power distribution. Siemens Energy’s recent delivery of transformers and mobile substations complements this project by addressing transmission capacity issues. Elsewedy’s specialisation in distribution lines is crucial. This partnership will drive significant improvements in Nigeria’s energy infrastructure.”

Elsewedy Electric’s Country Manager, Mr Islam Isharawy, welcomed the project: “We are excited to support Nigeria’s energy goals. This project represents a significant advancement in upgrading the country’s power distribution infrastructure.”

Power China’s Vice President for Central and West Africa, Mr. Tino Dong, supported the initiative: “Power China fully supports the President’s vision for the power sector. We are committed to delivering reliable power solutions and look forward to working with FGNPC and Elsewedy to achieve our objectives.”

This project will complement existing transmission initiatives, ensuring a comprehensive approach to improving power delivery across Nigeria. FGN Power Company continues collaborating with Enugu, Benin DisCos, and the Nigerian Electricity Regulatory Commission (NERC) to meet industry standards and regulatory requirements.

FGN Power Company (FGNPC) is a Special Purpose Vehicle (SPV) created to execute the Presidential Power Initiative (PPI). The company aims to address infrastructure gaps by investing in solutions that deliver reliable, incremental energy to Nigerian consumers.

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