In a major move to improve Nigeria’s electricity infrastructure, the Federal Government has signed a $328.8 million contract with China Machinery Engineering Corporation (CMEC) to rehabilitate and expand the country’s power transmission network. The deal falls under Phase 1 of the Presidential Power Initiative (PPI) and was signed on Wednesday in Abuja.
According to the News Agency of Nigeria (NAN), the agreement covers Engineering, Procurement, Construction, and Financing (EPC+F) of 330kV and 132kV transmission lines across Nigeria. The project will be implemented by FGN Power Company, a special purpose vehicle set up by the federal government to coordinate the PPI.
Speaking at the signing ceremony, Minister of Power Adebayo Adelabu said the contract would cover 544 kilometres of transmission lines, with a total load capacity of 7,140 megawatts. He noted that both brownfield and greenfield sites would be developed under the project to ensure greater access to electricity for homes, businesses, and industries nationwide.
“This agreement reflects our commitment to strengthening Nigeria’s power infrastructure under President Bola Tinubu’s administration. These transmission lines will serve as the backbone for delivering reliable electricity to millions of Nigerians,” Adelabu stated.
The Minister also highlighted that the new infrastructure would help resolve longstanding bottlenecks in the power sector by enabling the efficient delivery of generated electricity to end-users.
Kenny Anuwe, Managing Director of FGN Power Company, described the deal as a strategic partnership that will complement ongoing efforts with Siemens Energy to modernize the generation and high-voltage segments of the power chain. He added that CMEC’s role in the transmission upgrade is critical to creating a more robust and reliable grid.
Vice President of SINOMACH, Li Xiaoyu, expressed gratitude to the Nigerian government for its trust in CMEC, stating that the project would significantly enhance electricity delivery across the nation.
The $328.8 million agreement is seen as a critical milestone in the federal government’s goal of achieving stable power supply and driving economic growth through reliable energy access.
