The African Development Bank (AfDB) has approved a US $ 210 million loan to help Nigeria upgrade its very poor electricity transmission and distribution network.
The loan to the Transmission Company of Nigeria (TCN) will support the construction of 330-kV double-circuit power transmission lines across the country, the bank said in a statement on Friday. The ADB-funded project will span seven states and improve the capacity of the power grid where it is most damaged.
The project would also improve energy exports and the integration of the regional electricity system into the West African energy pool. This will be done in particular, thanks to the interconnections of Niger and Benin, according to Wale Shonibare, Acting Vice President of AfDB, in charge of energy issues.
The electric power in Nigeria comes mainly from gas plants. The total electricity generating capacity is approximately 7,000 MW, but the transmission system is unable to operate if the plants are running at full capacity.