Power Africa, an initiative of the United State of America to light up Africa, has revealed that it is planning to invest about $1billion on the power sector in Nigeria. This development came, just a few days after the US President, Donald Trump made a call to President Muhammadu Buhari of Nigeria.
The plans of the Power Africa initiative was disclosed by Andrew Herscowitz, the programme’s Coordinator on Tuesday during his speech at a press conference in Abuja. He said that the US has already committed billions of dollars in funding the nation’s energy projects.
He noted that the programme was aimed at strengthening Nigeria’s power sector adding that the programme targets unlocking the substantial wind, solar, hydro power, natural gas, biomass, and geothermal resources on the continent.
“Since Power Africa was launched, U.S. Trade Development Agency has committed approximately 6.5 million dollars in funding for 10 activities supporting Nigeria’s energy sector, which could leverage up to 2.7 billion dollars in investment.“It has advanced 50 million dollars in financing from the Oversea Private Investment Corporation (OPIC) to Lumos, a Nigeria-based solar energy company, to scale up it’s off grid solar power service to about 200,000 Nigerian homes and businesses.
“Power Africa has supported power companies in the country to the tune of 100 million dollars capital expenditure credit enhancement facility with a corresponding 6.5 million dollars in technical assistance
“And (supported) another 1.5 million dollars for limited commodity to turn around the DISCOS,” He said.