The U.S. Agency for International Development, USAID and the Federal Ministry of Power have signed a memorandum of understanding, MOU to support electricity sector reforms, market transparency, and expanded access to sustainable, and affordable power for Nigerians.
In a statement by the U.S Mission in Nigeria, the USAID-Nigeria Mission Director, Melissa Jones and Permanent Secretary of the Ministry of Power, Mahmuda Mamman signed the agreement.
According to the statement the agreement will facilitate the implementation of a ₦115.2 billion (approximately $75 million) U.S. Government grant-funded technical assistance programme for power sector development and reforms in Nigeria.
Currently, over 85 million Nigerians lack access to grid power, while many others face unreliable supply.
Jones emphasised the U.S. Government’s commitment to advancing electrification in Nigeria, stating, that the goal is to strengthen collaboration between USAID and Nigeria.
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It will also provide a framework for partnerships with other key actors, including state and local governments, electricity generation and distribution sectors, and the off-grid sector.
Power Africa Coordinator, Richard Nelson,who is on his first official visit to Nigeria, noted, that the country is at the core of Power Africa’s strategy.
Minister of Power, Adebayo Adelabu expressed gratitude for USAID’s support, emphasising 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.
(Editor: Terverr Tyav)
