The World Bank has approved US $486m credit and scale up facility which aims to boost electricity transmission by increasing power transfer capacity of transmission networks in Nigeria.
According to the Senior Communications Officer, Nigeria Olufunke Olufon, the International Development Association (IDA) facility is for the rehabilitation and upgrading of electricity transmission substations and lines.
“IDA has since 1960 supported development work in 113 countries through provision of grants and Zero-interest loans for projects and programs. The grants are to boost the economic growth, reduce poverty and improve lives of poor people,” he said.
“Resources from IDA bring positive change to the 1.5 billion people who live in IDA- focused countries and it is also the largest sources of assistance for the world’s 75 poorest countries of which 39 are in Africa,” he added.
He also affirmed that the World Bank would also support Private sector participation, capacity development and better governance in the Transmission Company of Nigeria and other sector institutions.
The project which would be implemented through to 2021, is aimed at improving transparency, service delivery and re-establishing investors’ confidence in the sector; and is part of the power Sector Recovery Programme (PSRP) by the federal government, that is a comprehensive package of policy, legal, regulatory, operational and financial interventions that would lead to continued economic development and restore the financial viability of the power sector.