US to pump $4.5 billion into renewable energy

US to pump $4.5 billion into renewable energy


The US government announced yesterday that about $4.5 billion has been pumped into on-grid and off-grid power generation projects in Nigeria, with over 200 private companies in the off-grid sector being supported through the Power Africa Initiative.

More than 85 million people lack access to electricity in Nigeria, making it the country with the largest number of people living without electricity, according to a World Resources Institute (WRI) report, while the United States Agency for International Development (USAID) said its programs have already provided $4.5 billion in electricity to more than 33 million Nigerians.

This comes after the agency signed a N115.2 billion contract with the Federal Government on the reform and clean energy transition plan.

The Memorandum of Understanding (MoU) aims to drive power sector reform, increase market transparency, liquidity and expand access to sustainable, reliable and affordable electricity in Nigeria.

The MOU, signed by USAID/Nigeria Mission Director Melissa Jones and Permanent Secretary at the Ministry of Power Mahumuda Mamman, will facilitate the implementation of a U.S. government-funded 115.2 billion naira ($300 million) technical assistance program aimed at advancing the development and reform of Nigeria's power sector.

Jones reiterated the U.S. government's commitment to improving electrification in Nigeria.

She said: “Today's (yesterday's) objective to strengthen collaboration between the United States Agency for International Development and the Federal Government of Nigeria and provide a framework for partnership with other key stakeholders, including state and local governments, the electricity generation and distribution sector, and the off-grid sector, is commendable and timely.”

The US Government’s Power Africa Coordinator, Richard Nelson, said Nigeria was at the core of the Power Africa strategy.

“We look forward to strengthening our partnership to drive Nigeria’s progress towards our shared goal of ensuring reliable, sustainable and affordable electricity for all,” he said.

The Minister of Power, Dr. Adebayo Adelabu, commended USAID for its continued support and highlighted the transformative potential of the collaboration.

Source: guardian.ng

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