- Germany is set to invest $160 million in Nigeria’s power sector to provide five large transformers to stabilise the national grid. The project is expected to begin in 2025.
- The third phase of the Nigerian Energy Support Programme (NESP), funded by the EU and Germany, aims to enhance access to clean and reliable energy while supporting Nigeria’s Energy Transition Plan.
Germany’s Deputy Ambassador to Nigeria, Johannes Lehne, announced that the country will invest $160 million to enhance Nigeria’s power infrastructure. This funding will be used to supply five large transformers aimed at stabilising the national grid.
This initiative coincides with the launch of the third phase of the Nigerian Energy Support Programme (NESP), a project funded by the European Union and the German government. The program aims to promote a sustainable energy sector in Nigeria by increasing access to clean, efficient, and reliable energy. Speaking at the NESP III launch, Lehne noted that the program, which is part of the Siemens power project, is set to begin in 2025. Since its inception in 2013, NESP has benefited 45,000 people and 105 communities across Nigeria.
Lehne stated, “The first five transformers will cost $160 million, financed by Germany. Siemens is handling this project, and we are close to signing the contract. It was initially scheduled to start last year, but we aim for early 2025.”
The Deputy Ambassador reaffirmed Germany’s commitment to supporting Nigeria’s energy transition goals. Mahmuda Mamman, Permanent Secretary at the Federal Ministry of Power, expressed gratitude to the EU and German governments for their ongoing support in ensuring energy security in Nigeria. He welcomed the third phase of NESP, which is expected to attract further investment in renewable energy and energy efficiency, aligning with the objectives of Nigeria’s Electricity Act of 2013 to stabilise the electricity market.
Inga Stefanowicz, Head of Section Green and Digital Economy at the EU Delegation to Nigeria and ECOWAS, emphasised the importance of stakeholder collaboration to achieve a sustainable energy future. She highlighted the EU’s role in supporting Nigeria’s energy security and transitioning towards renewable energy sources.
The third phase of NESP was recently bolstered by an additional €9 million from the EU, bringing the total budget to €17.9 million. This investment reflects Germany’s and its partners’ commitment to assisting Nigeria in reaching its Energy Transition Plan targets.
Mr. Duke Benjamin, Head of Programme for NESP, underscored the importance of collaboration with public and private stakeholders to improve the availability and reliability of energy in Nigeria. He stated that the new phase would support sustainable energy generation for rural communities, healthcare facilities, and businesses while strengthening regulatory agencies and local financial institutions.
Overall, NESP has played a crucial role in fostering an environment that is enabling local and international investments in energy efficiency, renewable energy, and rural electrification in Nigeria.