The Transmission Company of Nigeria has said its on-going five year expansion programme, designed at expanding electricity transmission capacity to 11,500 Megawatts by 2019 will require $7.5 billion.
The Managing Director of TCN, Mr Abubakar Atiku, said this at a news conference in Abuja on Monday.
He said part of the strategic plan, aimed at ensuring steady power supply, was to boost its transmission capability to 8,200MW by the end of 2018.
He said that it would be realised by completing eight of its new projects in 2018.
Atiku said that the completion of the projects would eventually lead to a total transmission capacity of 11,500MW.
He explained that the five-year plan had also been carefully developed with the overall aim of realising an uninterrupted power supply with the realisation of 20,000MW by 2022.
Giving the breakdown of the measures envisaged to source the fund, Atiku said the project was expected to receive concessionary loans and grant of $3.4 billion from TCN’s support international finance agencies.
He said the Federal Government was expected to contribute $1.5 billion while the financing initiatives of TCN were expected to contribute $2.6 billion in realisation of the project.
Atiku said that to key into the incremental power plan of FG, TCN planned to realise the completion of 22 critical projects captured in the 2016 Budget.
He said that TCN increased its present transmission capacity from 5,500MW to 6,00MW, adding that efforts were on to increase the wheeling capacity to 7,500MW with the completion of 31 projects by 2017.
He said that TCN restored unavailable service equipment to boost and strengthen the national grid.
According to him, with the restoration of critical equipment hitherto neglected by the previous management, the transmission system has been relatively stable with zero system collapse.
The MD said that TCN was focused at ensuring that no power was left stranded in the generating stations, adding that efforts were being intensified to ensure stability of the national grid.
He said this was being archived through the introduction of changes in TCN’s operational ways of conducting business.
Nigeria’s Untapped Coffee Sector Holds the Key to $2 Billion Annual Revenue
Amidst declining foreign reserves and the need for alternative revenue streams, Nigeria’s overlooked coffee industry emerges as a potential powerhouse capable of contributing over $2 billion annually to foreign exchange earnings.
Industry experts emphasize the necessity for strategic investments and modernized farming practices to unlock the full economic potential of the coffee sector.
While Nigeria is not among the top 10 coffee producers in Africa, the country’s untapped coffee industry holds the promise of significant financial gains, job creation, and sustainable agricultural development.
The urgency for revitalization comes as Nigeria grapples with a decline in foreign reserves, dropping from $38.25 billion in September 2022 to $33.23 billion in the third quarter of 2023.
Salihu Imam, Chairman of the National Coffee and Tea Association of Nigeria, Oyo State, highlighted the global significance of coffee, stating, “Coffee is the second most traded/valuable of all commodities and first in Agricultural commodities in the world.”
The potential economic impact extends beyond immediate financial gains, with Nigeria positioning itself as a key player in the global coffee trade.
Despite its potential, Nigeria’s coffee exports remain modest, producing less than one million bags annually.
In contrast, Ethiopia, the largest coffee exporter in Africa, is projected to produce 8.25 million bags. Experts suggest that Nigeria, with its unique coffee varieties, could generate $2 billion annually.
Segun Lary-Lean, President of the West Africa Specialty Coffee Association, emphasized the robust global demand for coffee, comparing it to water in Western countries.
He noted the significant earnings of coffee-producing nations like Brazil, Colombia, Vietnam, and Kenya, which experienced a 17% increase in coffee earnings.
In a call to action, industry players urge the Federal Government to prioritize strategic investments, modernized farming practices, and value-added processing to harness the coffee sector’s full economic benefits.
Unlocking the potential of Nigeria’s coffee industry stands not only as a financial opportunity but as a catalyst for broader economic growth and diversification.
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