Africa’s largest economy is set to enhance its energy access with upcoming power projects that will boost renewable energy, hydropower, natural gas, and the transmission of power.
These projects are either ongoing, upcoming, or in the study and planning stages, according to the Energy and Utilities Africa outlook report for March 2023.
Nigeria is struggling to improve its power generation capacity of 4000 to 5000 megawatts (MW) for households and businesses, which has resulted in the common usage of alternative sources like diesel and Premium Motor Spirit for generators.
The following numbers highlight the energy projects Nigeria can tap into to deepen its energy access.
$6 billion
The Kebbi State Government has allocated 200 hectares of land to a private investor to set up a 5,600 Megawatts (MW) solar power plant in June 2022. Mid-last year, the government said that 30 Canadian technicians were due in the state soon to begin work on the project. The $6 billion project will improve the electricity supply to all communities in the state and create jobs.
$5.8 billion
Nigeria’s largest hydropower project, the Mambilla Hydropower project, which started in 1972, is a 3.05 Gigawatt (GW) hydroelectric facility that is being developed on the Dongo River near Baruf in Kakara Village of Taraba State. The project is being undertaken by Nigeria’s Federal Ministry of Power, Construction, and Housing, with the help of Chinese investments. The project entails the construction of four dams and two underground powerhouses with 12 turbine generator units in total and an estimated project cost of $5.8 billion.
When completed, the Mambilla power plant will be the second largest hydroelectric power plant in Africa, after Ethiopia’s 6,000-megawatt Grand Ethiopian Renaissance Dam. It is a significant project aimed at boosting Nigeria’s power generation capacity. The project has experienced various challenges, including conflicts, litigation, and non-payment of surveyors. Nonetheless, the project remains a critical development project for Nigeria, and efforts are underway to resolve the various issues hindering its progress.
$3.5 billion
The Makurdi Hydropower Plant is a large-scale hydropower generation project in Benue State, Nigeria. When completed, it is expected to add 1,650 MW of electricity to the Nigerian grid, which will address the country’s energy shortfall and help mitigate flooding.
The project is estimated to cost $3 billion and has been approved by the National Council on Privatisation (NCP).
“When the Makurdi Power Plant is completed, it will not only address the energy shortfall in Nigeria but also mitigate flooding,” said Abubakar Aliyu, minister of power, last December.
Read also: Africa’s gas supply fell to 11bn cubic meters in 2022 – GECF
$2 billion
The Egbin Phase II project is an expansion plan by Egbin Power Plc, Nigeria’s largest power generating station with an installed capacity of 1,320 MW, worth $2 billion.
Located in Lagos, the Phase II project aims to add 1,900 MW of power generation to the pool in Africa’s biggest economy. The natural gas-fired project will utilise modern technologies, including deploying renewable energy sources to boost the plant.
The Egbin Phase II project is currently in the planning stage and is expected to commence construction with a commercial operation slated for 2024.
$1.5 billion
Zungeru Hydropower Plant is a 700-megawatt hydroelectric power plant currently under construction in Niger State, Nigeria. The project is being built with Chinese assistance on the upper and middle reaches of the Kaduna River in Zungeru town. The Federal Ministry of Power and Steel of Nigeria is the owner and implementing authority of the project.
The Zungeru Hydropower Plant project is estimated to cost $1.5 billion and is being developed by a joint venture between the Nigerian Federal Government and Chinese firms, China National Electric Engineering Company, and Sinohydro Corporation.
The Zungeru Hydroelectric Power Station is expected to be completed soon and will become the second-largest hydroelectric power station in Nigeria, generating an estimated 2.64 billion kWh of electricity a year and meeting close to 10 percent of Nigeria’s total domestic energy needs. Construction of the Zungeru Hydropower Plant started in May 2013 and is currently at a 95 percent completion stage. Initially, it was to take 60 months, and it is now scheduled for completion in the second quarter of this year.
$1.5 billion
Sterling and Wilson Solar Solutions and Sun Africa have signed a memorandum of understanding (MoU) with the Nigerian government to develop, design, construct, and commission five solar photovoltaic (PV) power plants aggregating 961 MWp at different locations in Nigeria, along with battery energy storage systems (BESS) with a total installed capacity of 455 MWh. The total investment for the project is $1.5 billion.
$700 million
Nigeria and Chad have agreed to partner on a power interconnection project. The project is part of the high-voltage interconnection project, and it will involve the construction of approximately 1,318km of new transmission lines in Cameroon and 238km in Chad. The Nigerian government has pledged to revive engagement between Nigeria and Chad, and directors of the Ministry of Power with institutional memory of the engagements will kick-start the interaction.
