Nigeria Seeks $2 Billion Loan from China to Develop New Super Grid

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The Federal Government of Nigeria has opened discussions with China to secure a $2 billion loan aimed at developing a national super grid that will enhance electricity transmission and stabilize power supply across the country.

Minister of Power, Chief Adebayo Adelabu, disclosed this during a recent media briefing in Abuja, where he outlined the government’s long-term strategy to overhaul the nation’s transmission infrastructure. He said the proposed facility, part of the country’s energy transition plan, would enable the Transmission Company of Nigeria (TCN) to build a high-capacity super grid capable of supporting increased power generation and distribution.

According to the minister, the new grid is designed to accommodate up to 30,000 megawatts of power, compared to the current system’s limited capacity of about 5,000 megawatts. He explained that the existing grid, which is decades old, lacks the efficiency to handle Nigeria’s growing energy demand.

“We are in discussions with the Chinese government for a $2 billion loan that will help us establish a modern super grid. This project will strengthen our transmission backbone and ensure that power generated from plants can reach homes and industries reliably,” Adelabu said.

He added that the government was also working with international partners and development agencies to diversify the country’s energy mix through renewable and gas-powered sources.

If finalized, the super grid project would mark one of Nigeria’s largest investments in power infrastructure in recent years, with the goal of improving access, reducing outages, and supporting industrial growth nationwide.

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