The federal government has signed a grant aid project with Japan for emergency rehabilitation and reinforcement of the Lagos electricity transmission substation.
The $21.088million project is to strengthen the power infrastructure of Lagos as a commercial hub and industrial centre in Nigeria.
According to a report, the Minister of Budget and National Planning, Udoma Udo Udoma, signed the agreement on Friday in Abuja on behalf of the federal government; while Japanese Ambassador Extraordinary and Plenipotentiary to Nigeria, Yutaka Kikuta, signed on behalf of the Japanese government.
Udoma said attaining power sufficiency is one of the goals of the Economic Recovery and Growth Plan (ERGP).of the Federal Government.
“As you know, the ERGP sets out our four-year plan for the transformation of our country, the ERGP aims to restore growth, invest in people and build a globally competitive economy. But not just to restore growth, but a growth that is diversified, inclusive and sustainable,” Udoma said.
“Amongst its execution priorities is the attainment of energy self-sufficiency in power and petroleum products,” he added.
Udoma recalled that in 2016, Nigeria signed an Exchange of Note (E/N) for emergency improvement of electricity supply in Abuja with the government of Japan, a project that has been completed and is now contributing to improving power supply in Abuja.
He noted that Japan had equally played a role in the design of a master plan study on National Power System Development in Nigeria.
Kikuta, in his remarks, said power supply is key into industrialisation for any country as it one of the factors foreign investors consider. He said the economic position of Lagos State as a commercial and industrial centre of Nigeria underlines the strategic importance of the project to strengthen power infrastructure.
He also said the Government of Japan will host the Tokyo International Conference on African Development (TICAD) 7 meeting in Yokohama, in 2019, where leaders from Nigeria and other African countries are expected to discuss ways to promote further development of the African continent and how Japan can contribute to the process.
“The focus of the power sector is in line with one of Japanese’ principles of the TICAD process towards African countries’ economic and social development,” he said.