The Federal Government has announced a need for $10 billion in Public-Private Partnership (PPP) investments in the power sector over the next five to ten years to achieve round-the-clock electricity supply,Daily Trust reports.
Minister of Power, Adebayo Adelabu, shared this during a visit from the Director-General of the Infrastructure Concession Regulatory Commission (ICRC), Dr. Jobson Ewalefoh.
In a statement released by Ifeanyi Nwoko, Acting Head of Media and Publicity at ICRC, Adelabu emphasized that government resources alone are insufficient to meet the $10 billion requirement, especially given other sectors also needing critical funding.
“Government funding alone cannot suffice, so we must seek organized private sector investments while maintaining government interests and ownership,” Adelabu explained, adding that ICRC’s role would be crucial in fostering these partnerships, primarily through concessions.
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Dr. Ewalefoh highlighted the necessity of private sector involvement via PPPs to enhance the power sector, given the sector’s importance to national economic development. He noted that optimizing existing infrastructure and funding new projects were vital for progress, as the challenges in the sector had exceeded what the Federal Government could handle alone.
Through its regulatory framework, the ICRC aims to facilitate private sector investments to meet part of the $10 billion requirement for reliable electricity. Ewalefoh added that ICRC could attract further foreign direct investments, contributing to broader economic growth.
“Revitalizing the power sector requires careful planning, substantial investment, and time. Collaborative efforts with the private sector are essential to address the sector’s issues,” he stated.
Ewalefoh praised the minister’s expertise and noted President Bola Tinubu’s thoughtful choice in his appointment. He recalled that the ICRC had recently issued a six-point policy direction to streamline PPP processes, supporting the President’s directive to accelerate PPP investments.
The Director-General also reaffirmed the commission’s commitment to strict regulatory oversight, ensuring that only companies with proven capacity participate, avoiding delays or liabilities. (NAN)
