(Ecofin Agency) - Nigeria’s Federal Government announced it has completed procedures to make a concession for six mini hydroelectric power plants to private operators. Facilities will be concessioned under build, operate and transfer (BOT) agreement.

“These are government-led initiatives […] to provide access to power for rural dwellers and vulnerable members of our society. We proposed to use six small hydro dams that had been abandoned for decades,” said the power minister Babatunde Fashola.

“Apart from the universities, where government is directly funding the intervention, the markets are being privately funded,” he added.

 Let’s note that Nigeria has a current energy gap of about 7,000 MW mainly as the sector witnesses a lack of transport and fueling infrastructures. 

Gwladys Johnson Akinocho