Japan commits ₦20bn to upgrade Nigeria’s electricity grid

The Government of Japan, via the Japan International Cooperation Agency (JICA), has committed approximately ₦20 billion (2.35 billion Japanese yen) to expand and rehabilitate Nigeria’s national electricity grid. The funding is specifically targeted at upgrading critical infrastructure, including the Apapa Transmission Substation in Lagos, to address rising demand and aging facilities.

According to JICA Chief Representative Ishigame Keiji, the investment covers construction, equipment procurement, engineering services, and operational training. The project aims to increase transmission capacity, improve system reliability, and reduce bottlenecks in power distribution across Lagos and neighboring areas.

In addition to the substation upgrades, JICA is supporting a concessional-loan project to improve the transmission network across Lagos and Ogun states. The agency will also provide technical assistance and policy advisers to the Ministry of Power to support sector reforms. Keiji noted that while Nigeria’s large market attracts Japanese interest, increased private-sector participation and government support are necessary to further unlock investment in the power sector.