The United States Agency for International Development (USAID) has signed a memorandum of understanding (MOU) with the Federal Ministry of Power of Nigeria to provide support for electricity sector reforms, market transparency and expanded access to sustainable, reliable, and affordable power for Nigerians.
The agreement includes a $75 million grant-funded technical assistance programme for power sector development and reforms in Nigeria.
The lack of access to grid power currently affects over 85 million Nigerians, with many facing unreliable supply, leading to dependence on expensive, emission-intensive gasoline and diesel backup generators.
During the signing ceremony, USAID/Nigeria Mission Director, Melissa Jones emphasised the U.S. government’s commitment to advancing electrification in Nigeria and strengthening collaboration with the Federal Government of Nigeria and other key actors in the electricity sector.
Power Africa Coordinator, Richard Nelson, in his first official visit to Nigeria, noted Nigeria’s significance in the Power Africa strategy and expressed the partnership’s goal of ensuring access to reliable, sustainable, affordable power for all.
Minister of Power, Adebayo Adelabu expressed gratitude for USAID’s support, highlighting the partnership’s potential to transform Nigeria’s power sector by addressing challenges, ensuring transparency, enhancing market liquidity, and accelerating the transition to clean energy solutions.
Through the Power Africa Initiative, the U.S. aims to double electricity access in sub-Saharan Africa, with over 33 million Nigerians already connected to power. This new initiative intends to strengthen policy frameworks, enhance regulatory capacities, and promote private sector participation to drive Nigeria towards its clean energy and net-zero carbon emissions targets. The ministry is committed to ensuring that these interventions deliver tangible benefits to all Nigerians, promoting economic growth and sustainable development.
