The federal government yesterday in Abuja signed Memoranda of Understanding (MoU) on power projects with the French and Japanese governments, worth $200 million (N31.4 billion) and N2 billion respectively bringing it to a total of N33.4 billion.
The MoU signed between the Ministry of Power and two French companies backed by their government and worth $200 million is to undertake feasibility studies and thereafter select and construct a high voltage transmission line and substations in the country.
Minister of Power, Prof. Barth Nnaji, together with the CEO of the Transmission Company of Nigeria (TCN), Mr. O Akinniranye, executed the MOU with Executives of the French companies, Mr. Jean Paul Mairesse of the Electricite de France (EDF) and Mr. Jean Philippe Trin of the Enterprise de Transporte et Distribution D’electricity (ETDE), at the Ministry’s conference room.
Minister of Power, Prof, Barth Nnaji, while speaking during the signing explained that the parties shall jointly identify and agree on a specific transmission project within the range of $100m to $200m, evaluate the feasibility for the project and thereafter select a project for implementation.
He further explained that funds for execution of the projects which includes the construction of high voltage transmission line and substations, is expected to come from the French government in form of a grant, but if the French fails to fund the projects, it will be open to bidding.