The Federal Government has secured a $238 million loan facility from the Japan International Cooperation Agency (JICA) to expand and strengthen Nigeria’s national power grid.
The deal was finalized following high-level engagements led by President Bola Ahmed Tinubu and the 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 presence at TICAD9 was focused on tangible outcomes.
“Nigeria’s participation at TICAD 9 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,” he said.
The $238 million JICA loan, supported by Federal Executive Council counterpart funding of N19.08 billion, will finance critical grid infrastructure. The project includes 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 several line bay extensions to boost efficiency and reduce system losses.
Minister Adelabu noted the importance of partnerships with Japanese energy firms, including Toshiba, Hitachi, and Japan’s Transmission & Distribution Corporation, in realizing Nigeria’s energy ambitions.
“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,” he explained.
He also lauded Japan’s longstanding cooperation with Nigeria: “JICA has proven to be a reliable partner in advancing Nigeria’s energy transition and expanding access to reliable, affordable, and sustainable electricity. Their contributions across infrastructure, technical studies, training, and financing continue to play a vital role in strengthening our power sector.”
Reiterating the government’s broader commitment to improving access to electricity, Adelabu said: “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.”
This initiative builds on the recently launched $750 million World Bank Distributed Access through Renewable Energy Scale-up Programme under the Mission 300 Compact, designed to deliver clean and reliable electricity to more than 17 million Nigerians.
In addition, three substations financed through a $32 million JICA grant are set for commissioning in Apo (FCT), Keffi (Nasarawa State), and Apapa (Lagos State). These will directly enhance supply reliability to households, businesses, and industrial hubs, including critical facilities like the Lagos Port.
JICA has also supported the National Power Training Institute of Nigeria (NAPTIN) with advanced training equipment in Abuja, aimed at strengthening the capacity of distribution engineers, reducing technical losses, and promoting long-term sustainability in the power sector.
