Power sector: FG dreams $100b investment in 10 years

Consequent upon the privatisation of the power sector, the Federal Government is projecting massive investments flow of about $100 billion in the next 10 years, President Goodluck Jonathan has disclosed.
Addressing a huge audience at the ongoing World Economic Forum Summit on Infrastructure in Cape Town, South Africa, the President lamented infrastructure deficit in Africa, saying from studies and reports, “it is estimated that Africa requires about 100 billion US dollars annually for the next decade, whereas only a quarter is being spent today.”
He however hastened to add that over the course of the past decade, African stakeholders have recognised the need to plug the gaps in infrastructure on the continent.
While noting that due to limited fiscal resources, governments alone cannot build the infrastructure that Africa needs, he stressed the need to develop new innovations and ways of bridging the gap.
President Jonathan shared the Nigerian experience with the audience on the domestic initiatives being embarked on to improve infrastructure.
Jonathan said: “My Administration has embarked on a number of reforms especially in the Power and Energy Sectors, Road Construction and Infrastructural Development to mention but a few. Just in the last two weeks, my government completed the biggest transfer of power assets in Africa to private investors.
“By this act, the power sector in Nigeria is now totally privatised, except for the transmission company, which is concessioned to a private firm to manage. Following these critical reforms, we expect an annual US $10 billion investment to follow for the next decade.”
He told the global audience that Nigeria was also leading infrastructure initiative effort with the planned construction of the Nigeria – Algeria Gas Pipeline Project to run from Nigeria, through the Sahara desert to Algeria.
At the level of the sub-region, President Jonathan noted that “appreciable progress has been made. I can safely say that ECOWAS policies on free movement of people and the right of establishment have contributed in no small measures to the increasing success of multi-national companies in the region.
“We thus share the commitment to the full realisation of the Lagos – Abidjan West African road corridor and the Trans – West African Coastal link road. In addition, we are sustaining effort in the development of the gas sub-sector, not only for our growing number of power plants, but in line with the regional initiative of West African Gas Pipeline for the West African market.”
Jonathan thanked the World Economic Forum for supporting Africa’s progress towards the building of 21st century infrastructure across the continent.