FG Allocates ₦1tn for Special Power Interventions and Multilateral Projects

The Federal Government has earmarked ₦1 trillion in the 2024 budget for special power sector interventions and multilateral projects aimed at addressing Nigeria’s energy challenges. The allocation underscores the government’s commitment to improving electricity supply, expanding infrastructure, and accelerating the transition to renewable energy.

The funding will support several critical initiatives, including the rehabilitation of power plants, expansion of the national grid, and investment in off-grid solutions to improve access in rural and underserved areas. A significant portion of the budget will also be dedicated to projects co-funded by international partners to leverage global expertise and financing.

Government officials noted that the interventions align with Nigeria’s energy transition plan and its broader goal of achieving universal electricity access by 2030. “This budgetary allocation reflects our resolve to address the systemic issues in the power sector and lay the foundation for sustainable economic growth,” an official from the Ministry of Power stated.

Analysts believe the allocation could provide much-needed relief to a sector plagued by inefficiencies, aging infrastructure, and high energy losses. However, they caution that the success of these interventions will depend on transparent implementation, effective project management, and accountability in fund utilization.

Partnerships with multilateral organizations such as the World Bank and the African Development Bank are expected to enhance the impact of these projects, bringing technical expertise and additional funding to key areas like renewable energy deployment, energy storage systems, and capacity building.

The ₦1 trillion allocation signals a bold step toward transforming Nigeria’s power sector, addressing one of the country’s most pressing developmental challenges, and improving the quality of life for millions of Nigerians.