The Minister of Power, Chief Adebayo Adelabu has said that of the $32.8billion investment required for Mission 300 Compact, $15.5billion is expected from the private Sector.
Mission 300 Compact is targeted at providing electricity for unserved 300million people in Africa.
He made this known at the Mission 300 Stakeholders Engagement meeting, held at the Transcorp Hilton Hotel in Abuja.
This was contained in a press statement by the ministry issued yesterday, saying, “the estimated investment required for the Mission 300 Compact is $32.8 billion, with $15.5 billion expected from the private sector.”
It reiterated the Federal Government’s commitment to setting the power sector on the path of sustainability and bankability, by prioritising the different reforms being undertaken in the sector. It added that this is critical to the economic growth and development of the nation.
Adelabu said the Mission is to provide electricity to 300 million unserved people in Africa, adding that the stakeholders meeting would provide an opportunity for them to align, strategize and to build the partnerships needed to move from Nigeria Energy Compact, to concrete results, as he called on development partners, the private sector, philanthropic actors, the public sector and the civil society organizations to rally around this mission.
“Mobilizing this level of financing will demand innovation, coordination and a shared commitment.
“In this room today are many of the institutions and individuals who can help us shape the future of Nigeria’s energy sector, let us take this opportunity to ask hard questions, identify the practical solutions, and develop actionable plans that will make universal access a reality not just in the policy space, but in the daily lives of our citizens by powering our hospitals, our schools, our industries, and our homes,”Adelabu said.
He announced the priorities of the government in power sector reforms to include “addressing the market liquidity issues and initiating required sector reforms”.
“Currently”, he added, “there’s a huge outstanding debt to the Power Generation companies in the form of unpaid government subsidies which stands at about N4trillion as of December 2024.
“The Federal Government is already working out modalities to defray this obligation and to ensure that further obligations are not accrued going forward, the government is working on a plan to transition the sector to a fully cost-reflective regime while implementing targeted subsidies for the economically vulnerable citizens in the country.
“Improving our power generation through recovery of idle capacities and expanding energy mix to ensure energy security, and to dilute the power pool with cheaper and cleaner energy sources,” he said.
Other areas he identified included “Expanding transmission infrastructure to deliver more power, ensuring stability of the national grid to put an end to several grid disturbances and collapses previously observed on the grid, and to further strengthen the coordination and management of the national grid.
“Ensuring viability and performance improvement of the distribution segment of the power sector through strategic programs like the Presidential Metering Initiative and the World Bank-funded Distribution Sector Recovery Program (DISREP)”.
The Minister also said that the Power Ministry is pursuing increased renewable energy through its rural electrification and energy transition drive, to provide a reliable power supply to unserved and underserved communities.
Through its training institute, the Ministry is also working to improve human capital and local content development in the sector to reduce import dependence, stimulate jobs, and build a homegrown energy industry.
“I assure you”, he continued “that the Federal Government of Nigeria, under the leadership of President Bola Ahmed Tinubu, is fully committed to this vision and through the Federal Ministry of Power, in collaboration with the Ministry of Finance, we will continue to champion reforms, promote innovation, and partner with all stakeholders to deliver a sustainable energy future”.
He expressed the appreciation of the Federal Government to the World Bank Group under the leadership of Mr Ajay Banga and the African Development Bank under the leadership of the outgoing Managing Director of the Bank, Dr Akinwumi Adesina, the Rockefeller Foundation, the Global Energy Alliance for People and Planet (GEAPP), and Sustainable Energy for All for taking on this mission to connect 300 million people across Africa to electricity by the year 2030 through the Mission 300 initiative, saying, “this ambition reflects our shared belief that energy access is a fundamental issue that must be urgently addressed to unlock economic potential of the continent”.
According to Adelabu, in January 2025 at the Dar es Salaam Africa Energy Summit, President Tinubu joined eleven other African Heads of State in endorsing the Dar es Salaam Energy Declaration and formally committing to the Federal Republic of Nigeria to Mission 300.
“We presented our National Energy Compact, a bold statement of intent and ambition to fast-track access to both electricity and clean cooking for all Nigerians with the aim of achieving universal access by 2030 by increasing the rate of electricity access from 4 percent to 9 percent per annum and raising access to clean cooking from 22 percent to 25 percent per annum”, he said.
The Minister of Finance, Chief Wale Edun, who spoke through zoom from Brazil also said that the reforms the government was undertaking in the power sector were critical towards unlocking the full potentials of the economy as it would lead to job creation. He said the reforms have led to over 40 per cent increase in power distribution in the first quarter of 2025.
Present at the meeting were the Minister of Innovation, Science and Technology, Chief Geoffrey Nnaji, the Special Adviser to the President on Energy, the World Bank Officers, head of agencies in the Power Ministry, and partners of the sector.
