NEC moves to end grid collapse, to unveil position on state police

The National Economic Council (NEC) has resolved to strengthen the implementation of the National Electrification Strategy to end the collapse of the country's electricity grid.

It's the same as the Vice President Kashim ShettimaThe NEC Chairman told Council members that access to energy is a fundamental right and not a privilege as electricity is the oxygen of economic growth.

Accordingly, the Council has constituted a Committee on National Electrification to help address the challenges in the power sector.

The formation of the committee was one of the decisions taken by the NEC at the end of its 146th meeting chaired by Mr Shettima at the Council Chambers of the Presidential Villa, Abuja on Thursday.

The committee chaired by Governor Bassey Otu of Cross River State is to work towards deepening the states' participation within the Electricity Reform Act 2023 and the National Electrification Strategy and Implementation Plan.

Following a presentation by the Managing Director of the Rural Electrification Agency (REA), NEC observed that Nigeria needs a reformed and diversified electricity system, noting that by empowering the states, access and affordability of electricity can be enabled. ensuring that all sectors effectively meet their needs. Specific energy requirements.

Members of the committee include Governor Dikko Radda of Katsina, Inuwa Yahaya of Gombe, Ademola Adeleke of Osun, Hope Uzodimma of Imo and Caleb Mutafwang of Plateau.

The other ministers of finance are Wale Edun; Budget and Economic Planning, Atiku Bagudu; Power, Adebayo Adelabu; Special Adviser to the President on NEC and Climate Change; Special Adviser to the President on Power; Managing Director, Rural Electrification Agency (REA), and Managing Director, Niger Delta Power Holding Company.

Earlier in his address, Vice President Shettima said that access to energy is a fundamental right and not a privilege as electricity is the oxygen of economic growth.

He outlined before the Council the issues that require urgent attention, including energy infrastructure, human capital development, creative industries, fiscal strategy, industrial innovation and long-term development planning, and called them relevant to Nigeria's needs for change. Said to be fundamental for.

VP Shettima informed that for this, experts and stakeholders from some important fields have been invited to share their insights and contributions.

“The degradation of our national power grid over the past few months forces us to reinforce the pace with which we are adopting and implementing the National Electrification Strategy,” he said. Access to energy is a fundamental right, not a privilege. This is the oxygen of economic development.

“Therefore, our blueprint should strive to expand access, empower rural communities and increase productivity, especially for MSMEs. I hope our discussions today will inspire solutions to light homes, power businesses and boost Nigeria's industrial future.

“Whatever path we agree, it is clear that a private sector-led distributed renewable energy generation approach is essential to increasing electricity access for households and small enterprises”.

The Vice President also urged the Council to take Nigeria's creative industry seriously, saying it presents an opportunity to redefine the country's economic trajectory.

According to him, “New technologies have not only enhanced the global appeal of our arts, crafts and culture, but also opened up revenue streams and job opportunities for Nigerians.

“Our music, films, arts and cultural heritage are not only global symbols of Nigeria's soft power, but also important engines of economic growth. “We cannot abandon the promise of converting creativity into wealth, empowering our youth and positioning Nigeria as a center of innovation and cultural excellence,” he said.

state police

Meanwhile, the states' positions on state police will be ready by the next NEC meeting.

While deliberating on the updated submissions on the establishment of State Police, Council-mandated States that have not yet made their submissions on the subject matter should comply within the next one week so that the NEC comes up with a unanimous position on the next State Police. To be able to come. meeting.

Other highlights of the meeting included:

Presentation by the Accountant General of the Federation on Account Balance Update till November 20, 2024

Excess Crude Account – $473,754.57

Stabilization Account – N33,324,135,076.39

Natural Resources Account – N26,847,747,874.93

Presentation on Special Agro-Industrial Processing Zones by Dr. Kabir Yusuf, National Program Coordinator, SAPZS

The program is currently being implemented in various phases in 8 states of the federation, namely Kano, Kaduna, Kwara, Oyo, Ogun, Imo, Cross River and FCT under Phase 1 of the Special Agro-Industrial Processing Zones.

Under the second phase, a total of 24 states were visited by the selection team to assess their preparedness for the programme. The implementation model is a government and private sector-led (SPV) arrangement; Therefore, discussions are underway to partner with private developers and co-financiers on the project, which is estimated to cost around $1 billion.

Also read: Continuous grid collapse: Minister orders immediate implementation of committee report

The SAPZ Coordination Office is working on a multi-tranche financing arrangement to accommodate additional states over the next 3 years. It is structured in three installments.

Prayers:

· Provision of intervention funds for ATCs of each state to boost production.

· The Office of the VP will use its convening power in obtaining additional co-financing for SAPZ Phase 2 (SAPZ-2) states.

Fast-tracking of BADEA $300m multi-tranche financing for SAPZ-2 by the Federal Finance Ministry.

Resolution:

The Council urged states to join the program and said SAPZ will be a game-changer if states give it the necessary support and consideration.

Will hold a special meeting with the State Agriculture Minister and SAPZ management to address the issues and requests made in the presentation by SAPZ management.

Presentation on the new Nigeria Sovereign Investment Authority (NSIA) Governing Council

A presentation by the Minister of Finance requested the NEC to confirm the nomination of persons to serve as Chairman and Members of the Governing Council of the Nigeria Sovereign Investment Authority (NSIA).

When appointed, Council members will have the opportunity to raise questions and provide advice to the Board and management of the Authority.

Council Resolution:

The Council commended the management of the NSIA and recognized the importance of the Fund for investment in critical sectors of the economy.

As a result the Council approved NSIA's request to engage First Abu Dhabi Bank (FAB) as the alternative custodian.

A presentation by the Executive Vice President/CEO of the National Agency for Science and Engineering Infrastructure (NASENI) showcased the agency's latest innovations and strategic initiatives, including products such as solar irrigation pumps, electric vehicles, coal-based fertilizers, NASENI solar home systems . And smart devices.

States were urged to take advantage of NASENI's tailored support for manufacturing, industrial development and access to public sector markets, along with infrastructure and policy benefits to enhance economic growth.

In its resolutions, the council directed NASENI to repair tractors and other agricultural machinery across the country and to increase the establishment of lithium battery factories in areas rich in raw materials.

stanley nakwocha
Senior Special Officer to the President on Media and Communications
(Office of the Vice President)
21 November 2024