By Peter Omopo
The Federal Government has secured a $238 million loan from the Japan International Cooperation Agency (JICA) to strengthen Nigeria’s national power grid. The agreement followed high-level engagements led by President Bola Ahmed Tinubu and Minister of Power, Chief Adebayo Adelabu, at the Ninth Tokyo International Conference on African Development (TICAD9) in Yokohama, Japan.
In a statement released by the Ministry of Power on Friday, President Tinubu emphasized that Nigeria’s participation at TICAD9 focused on concrete results rather than diplomatic formalities.
“Nigeria’s participation at TICAD9 was not about trade exhibitions, but about forging strategic, outcome-driven partnerships that would deliver tangible results for the Nigerian people. We are deliberately shifting from planning to implementation, from agreements to delivery, and from promises to measurable results,” Tinubu said.
The $238 million loan, supported by a Federal Executive Council counterpart funding of N19.08 billion, will finance the expansion of the national grid. The project covers the construction of 102.95km of new 330kV double circuit lines, 104.59km of 132kV double circuit lines, four 330/132/33kV substations, two 132/33kV substations, and multiple line bay extensions to boost efficiency and reduce power system losses.
Highlighting the significance of the deal, Minister Adelabu said engagements with Japanese companies such as Toshiba, Hitachi, and Japan’s Transmission & Distribution Corporation were critical to unlocking Nigeria’s energy potential.
“Our focus is on transmission infrastructure, operational efficiency, and strategies to reduce system losses. This $238 million loan from JICA provides the backbone for that transformation,” Adelabu stated.
He further praised Japan’s long-standing support, noting that JICA had consistently backed Nigeria’s energy transition through infrastructure projects, technical studies, training, and financing.
The minister also reaffirmed the government’s broader commitment to bridging the nation’s energy gap, where only 55–60 per cent of Nigerians currently have access to electricity. “We are expanding grid access in urban areas while accelerating off-grid solutions for rural communities. Despite cost and financing challenges, we remain committed to supportive policies, strategic partnerships, and local manufacturing to drive a sustainable energy future,” Adelabu added.
The deal builds on the recently launched $750 million World Bank Distributed Access through Renewable Energy Scale-up programme under the Mission 300 Compact, which targets providing clean and reliable power to over 17 million Nigerians.
Additionally, three substations funded by JICA under a $32 million grant are set for commissioning in Apo (FCT), Keffi (Nasarawa State), and Apapa (Lagos State), strengthening supply to households, businesses, and industrial clusters, including Lagos Port.
In parallel, the National Power Training Institute of Nigeria, with JICA’s support, has installed state-of-the-art training equipment in Abuja to improve the skills of distribution engineers, tackle network losses, and promote long-term sustainability in the sector.