Power Sector Reform: Tinubu Assures Siemens of Full Government Support

By Chinedu Echianu

President Bola Tinubu has reaffirmed his administration’s commitment to improving Nigeria’s electricity supply, saying the government is taking the power sector “very seriously” to boost economic growth and improve the livelihoods of citizens.

This is contained in a statement signed by Bayo Onanuga, Special Adviser to the President on Information and Strategy.

Onanuga quoted President Tinubu as making the comments during a meeting with a delegation from Siemens Energy, led by the company’s Managing Director for the Middle East and Africa, Dietmar Siersdorfer, at the State House in Abuja on Monday, the President said reliable power is essential for industrial, educational, and healthcare development.

“There is no industrial growth or economic development without power. I believe that power is the most significant discovery of humanity in the last 1,000 years,” Tinubu said. “We appreciate the support and commitment of the German government and Siemens. The investment you are making and your commitment align with the future of this country.”

President Tinubu noted that the successful completion of the Presidential Power Initiative (PPI) will position Nigeria as a leader in energy and industrial transformation across Africa. He directed the expansion of key transformer substations from two to three phases to further strengthen the national grid.

Vice President Kashim Shettima, Minister of Finance and Coordinating Minister of the Economy Wale Edun, Minister of Power Adebayo Adelabu, and Special Adviser on Energy Olu Verheijen attended the meeting.

Power Minister Adelabu highlighted major milestones in the sector, including the decentralisation of electricity generation and the signing of the Electricity Act 2023, which has attracted over $2.2 billion in new investments and activated 15 state electricity markets.

He disclosed that under the pilot phase of the Siemens-led project, ten 132/33kV mobile substations, three 75/100MVA transformers, and seven 60/66MVA transformers had been delivered and commissioned nationwide, adding 984MW of transmission capacity to the national grid.

Adelabu further announced that the Federal Executive Council has approved the Engineering, Procurement, and Construction (EPC) contract for Phase One, Batch One of the PPI. The phase covers five key substations in Abeokuta, Offa, Ayede-Ibadan, Sokoto, and Onitsha, with two expected to be completed by the end of 2026.

Finance Minister Edun said the project’s completion would improve the ease of doing business, create jobs, and help reduce poverty.

Siemens Energy’s Siersdorfer said the company is committed to completing two of the substations by December 2026 and establishing a training centre to build local capacity in electrical engineering and technology transfer.

“The PPI is not just a project but a platform for long-term development and prosperity,” he said, adding that Nigerian professionals would be directly engaged in construction work while local communities benefit through employment and services.

Representing the German government, Johannes Lehne, from the German Embassy, pledged continued support for Nigeria’s power sector reforms.