The Minister of Power, Works and Housing, Babatunde Fashola, yesterday stated that the federal government has paid over N60 billion out of the N70 million verified MDA’s electricity debts.
Fashola stated this Wednesday at a workshop put together to enlighten journalists who report the sector to enable do informed reporting.
“You can see that debt is almost paid. That and all the regulations being put in place as highlighted by the Vice Chairman of the Nigeria Electricity Regulation Commission (NERC) are part of government’s commitment to its Power Sector Recovery Programme.
The minister also said negotiations have begun with the Chinese Export Import Bank (EXIM) on financing the 3050 megawatts (mw) Mambilla hydropower project in Taraba State.
The Minister signed the N2trillion contract for the project last Friday with the three Chinese contractors who said the project would take six years to complete. Chinese EXIM will bring 85 per cent of the funding while Nigeria is expected to raise 15 per cent, government said.
He said negotiations for the loan will now start through the Minister of Finance with the Chinese EXIM. He also explained that once the negotiations are completed, he will be consulted and then government can work to flag it off.