On July 22, 2019, the Federal Government of Nigeria signed an Agreement with the German Company, Siemens, in what is called the Presidential Power Initiative (PPI)- aimed at improving Nigeria’s extremely poor and epileptic Electricity supply value chain.
The PPI is backed with an initial $2 billion, Export Credit Loan from the German Export Credit Agency (ECA). The 3 Phased initiative, is geared towards increasing the power generation and distribution capacities from the current 3000-4000 MW to first 7000MW by the year 2021, then the second phase to 11,000MW in 2023 and the third phase thereafter to 25,000MW.
To any discerning Power analyst, the letter of the Agreement appears excellent. However, one major concern is that many lofty dreams of several past and present administrations have either been derailed, compromised, or sabotaged by our corrupt system and penchant of not keeping to the sanctity of Contracts and Agreements.
Let’s hope that an exception is made of this and that both parties to the Agreement, adhere strictly to the letter and spirit of the Agreement.
If Nigeria is to industrialize and meet its growth and development potential, our current electricity power situation must be markedly improved from these shameful and pathetic levels. We need the services, experience, and expertise of an International reputable company such as Siemens to the rescue. And hope that they train and develop local human capacity.
Note: Iroche is a seasoned Finance Executive with over thirty years’ experience in Banking, Power and Public Service. He has served on various boards such as the International Glass Industries Limited and GTBank Sierra Leone. He was also a former Executive Director, Finance & Accounts
Transmission Company of Nigeria. Abuja
