… phase one-batch two of power initiative featuring 16 substations to add 4,104MW nationwide
Oredola Adeola
The Federal Government and Siemens have confirmed that the EPC contract for Phase One, Batch One of the Presidential Power Initiative covers the upgrade, installation, and commissioning of five key substations in Abeokuta, Offa, Ayede-Ibadan, Sokoto, and Onitsha, with two slated for completion by the end of 2026.
The confirmation came Monday during a meeting between President Bola Tinubu and a Siemens Energy delegation, led by Dietmar Siersdorfer, Managing Director for the Middle East and Africa, at the State House in Abuja.
President Tinubu during the meeting assured the technical contractor handling the PPI, of the government’s full commitment to improving the country’s electricity supply and enhancing the livelihoods of its citizens.
He noted that the power sector remains central to stimulating the economy, particularly in the industrial, educational, and healthcare sectors.
The President stated that the completion of the phased power project will give Nigeria a place of pride on the continent by harnessing the latent potential in human and material resources across various sectors.
“There is no industrial growth or economic development without power. I believe that power is the most significant discovery of humanity in the last 1,000 years.
“Our education, our health care and our transportation all depend on energy and without power, it is an impossible objective. We are taking it very seriously,’’ he added.
The President also directed the expansion of some major transformer substations from two to three phases to boost the country’s power supply.
Adelabu, Power Minister, stated that the power sector had achieved many critical milestones, including the decentralisation and liberalisation of the sector.
He noted that the President signed the Electricity Act 2023, and a National Integrated Electricity Policy was developed after 24 years, attracting more than $2.2billion of fresh investments.
The minister noted that the policy had resulted in the activation of fifteen state electricity markets.
“Since the signing of the Accelerated Agreement at COP28 in Dubai in December 2023, an event you personally attended alongside the German Chancellor Olaf Scholz, the PPI has recorded notable milestones across its implementation phases.
“Under the Pilot phase (Phase Zero), we have achieved significant infrastructure upgrades and capacity enhancements that are already impacting grid stability and reliability across the country.
“Siemens Energy has successfully delivered and commissioned 10 units of 132/33kV mobile substations, three units of 75/100MVA transformers, and seven units of 60/66MVA transformers across key load centres nationwide, which have added 984mv of transmission capacity to the grid,’’ the Minister stated.
Adelabu informed the President that in December 2024, the Federal Executive Council approved the commencement of the Engineering, Procurement, and Construction (EPC) contract for Phase One, Batch One of the PPI.
The Minister stated that the scope encompasses the upgrade, installation, and commissioning of five key substations situated in Abeokuta, Offa, Ayede-Ibadan, Sokoto, and Onitsha.
“The plans for civil works mobilisation across all five locations have been finalised, concurrent manufacturing of the required equipment is ongoing, and two of the five substations are targeted for completion by the end of 2026.
“As we consolidate the gains from the Pilot Phase and Phase One-First Batch, we are also preparing to advance to Phase One-Batch two, which has a scope for the construction of new substations and the upgrade of existing ones across key load centres nationwide.
“Phase One -Batch Two of the PPI comprises a total of six (6) Brownfield and ten (10) Greenfield substations with a cumulative impact of 4,104MW,” he said.
Siersdorfer, leader of the Siemens delegation, stated that two out of the five substations under construction are expected to be completed by December 2026.
He noted that a training centre was already under construction to ensure the training of local talents in electrical engineering, create more jobs, capture local content, and transfer technology.
“The PPI is not just a project but a platform for long-term development and prosperity,’’ he stated.
He informed the President that the PPI will transform Nigeria into a regional power hub, reflecting the depth of relations between Germany and Nigeria.
“Nigerian professionals will be engaged directly in the five project sites in Batch 1 for the site works, while thousands of jobs will be enabled in the local communities through purchased services, accommodation, and transportation, among others.
“These will further reflect the strength of our partnership and the viability of the roadmap we have built together,’’ Siersdorfer noted.
The German Ambassador’s representative, Johannes Lehne, assured President Tinubu of further support and collaboration with the German government.
