With constant power system collapses affecting power distribution nationwide, the United States Agency for International Development, USAID, has advanced its commitment towards the electrification of Nigeria homes.
This came as the agency signed an Memorandum of Understanding, MoU, with the Federal Ministry of Power to support electricity sector reforms, market transparency, and expanded access to sustainable, reliable, and affordable power for Nigerians.
The agreement will facilitate the implementation of a N115.2 billion (approximately $75 million) U.S. government grant-funded technical assistance program for power sector development and reforms in Nigeria.
USAID/Nigeria Mission Director, Melissa Jones and Permanent Secretary of the Ministry of Power Mahmuda Mamman signed the MOU.
Commenting on the development, Jones stated that the U.S. government’s commitment to advancing electrification in Nigeria.
“Today’s goal is to strengthen collaboration between USAID and the Federal Government of Nigeria and provide a framework for partnerships with other key actors, including state and local governments, electricity generation and distribution sectors, and the off-grid sector,” Jones said.
It will be recalled that over 85 million Nigerians lack access to grid power, while many others face unreliable supply. These challenges force many Nigerian families and businesses to rely on expensive, emission-intensive gasoline and diesel backup generators.
On his part, Power Africa Coordinator Richard Nelson, noted, “Nigeria is at the core of Power Africa’s strategy.
“I look forward to elevating our partnership to advance Nigeria’s progress towards our shared goal of ensuring access to reliable, sustainable, affordable power for all.”
Also, the Minister of Power Adebayo Adelabu expressed gratitude for USAID’s support, emphasizing the partnership’s potential to transform Nigeria’s power sector.
He stated, “This collaboration with USAID is a significant milestone towards achieving sustainable and reliable electricity supply for all Nigerians. Together, we will address longstanding challenges, ensure transparency, enhance market liquidity, and accelerate our transition to clean energy solutions.”
USAID addresses these challenges through the Power Africa Initiative, a U.S. government-led partnership that leverages public and private sector resources to double electricity access in sub-Saharan Africa.
Through this initiative, over 33 million Nigerians have been connected to power, approximately $4.5 billion has been mobilized for on-grid and off-grid power projects in Nigeria, and over 200 private companies in the off-grid sector have received assistance.
This new initiative aims to strengthen policy frameworks, enhance regulatory capacities, and encourage private sector participation, driving Nigeria towards its clean energy and net-zero carbon emissions targets. The Ministry is committed to ensuring these interventions deliver tangible benefits to all Nigerians, promoting economic growth and sustainable development.