Nigeria to build 90,000km fibre-optic to improve internet access — Minister

The Minister of Communications, Innovation, and Digital Economy, Bosun Tijani, has disclosed that the Nigerian government is planning to build 90,000 kilometers of fiber-optic cable to ensure that the country has access to quality internet.

The Minister, while disclosing this at the breakout session of the 9th Nigeria-EU Business Forum on Tuesday in Abuja, also said the project will cost about $2 billion to provide everyone in Nigeria with access to quality internet.

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He said, “We plan to lead the investment with 90,000 kilometers of fiber-optic cable, which is going to cost us about two billion dollars. But the EU is the first to step forward and say they’ll be more than happy to support us in the necessary studies to ensure we can properly, not just raise this money, but also deploy the fiber.”

The Minister stated that the country is ready to maximize the potential of its youthful population to drive up trade, reiterating that the EU is Nigeria’s largest trading partner.

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“Trade is essential for the development of any nation. Trade makes the world go around, and I think most importantly, when we talk about trade, we are not just talking about imports here, we are also talking about exports. So we actually do sell to the EU, and I’ve had a good working relationship with the EU.”

“The ambition that we have as a nation, where the president has recognized that the opportunity we have to leapfrog development in Nigeria, will require that we think differently and do things differently, which is why as a government, we’re investing significantly in agriculture, for instance.”

“As a government, we are investing significantly in infrastructure because there’s little we can do without proper infrastructure to power what we want to see. But also, things around the rule of law and making sure that people can do business effectively in the country are something the president takes to heart and is constantly supporting.”

He added, “As a very youthful population, there’s also opportunity between our countries, even around the workforce, to ensure that even though Europe has an aging population, we have a very youthful population and there’s an opportunity there for Nigeria to support the future of work in Europe.”

Also, the European Union Ambassador to Nigeria and the Economic Community of West African States, Samuela Isopi, reiterated that the EU remains Nigeria’s biggest foreign investor with a stock estimated at €26 billion.

Isopi added that the stock represents one-third of Nigeria’s Foreign Direct Investment stock.

“The EU is Nigeria’s largest trading partner with a total trade of almost €35 billion in 2023, accounting for about one-third of Nigeria’s foreign trade and a balance of over €10 billion in favor of Nigeria.”

She said the forum highlights the importance of international partnerships in promoting sustainable economic development.

“Trade and sustainable investment are not only at the core of the renewed hope agenda, but they are also at the center of the partnership between the EU, its Member States, and Nigeria. And this is not by chance.


“The European Union is by far Nigeria’s largest trading partner with a total trade of almost €35 billion last year, accounting for about one-third of Nigeria’s foreign trade, and a balance – at over 10 billion euros – in favor of Nigeria.

“The European Union is also Nigeria’s biggest foreign investor with a stock estimated at €26 billion, representing one-third of Nigeria’s FDI stock. In collaboration with our Member States and with EUROCHAM Nigeria, the European Chamber of Commerce, we have carried out the first-ever mapping of EU companies present in Nigeria: and the findings are quite extraordinary.”

Isopi stated that the EU and its member states are also top development partners and primary grant donors, covering sectors that are critical to economic growth.

According to her, the European Investment Bank is increasingly active in Nigeria with an important ongoing portfolio, focusing on innovation, renewable energies, and private sector development, with new operations in the pipeline.


She mentioned that there are plans to deepen economic ties and promote additional investments by exploring the potential of a Sustainable Investment Facilitation Agreement.

“More could be done to boost our trade relations. On our side, we stand ready to engage, should Nigeria, as the only holdout in West Africa, reconsider its position on the Economic Partnership Agreement with the European Union, an instrument in support of economic diversification and local added value, in line with Nigeria’s industrial ambitions.”

Meanwhile, the Deputy Director General, Directorate General for International Partnerships, European Commission, Myriam Ferran, said the commission is working with the government and the private sector in the fields of renewable energy, green transition, climate change, transport, digitalization, agricultural value chains, and enablers for human capital development, particularly in education and health.


“Our objective is to strengthen the links between the EU and sub-Saharan Africa, also in the multilateral fora and on the basis of value, and values apply in each and every way of doing things, in the way we conduct digitalization, and it’s why we want to intervene.

“We are very keen to support investment in infrastructure, but we’re equally keen to work with the government in data governance, protection of personal data, to make the use of digitalization human-centric and in respect of fundamental values.

“The rule of law is essential to any investment. So we also support all the reforms of the government to improve the business environment, to make investments easier,” she added.

The event’s highlight was the signing of an agreement for a €300,000 grant between the European Union and the European Business Chamber, aimed at supporting the Chamber’s further development.


“The funds will be allocated to various developmental projects, including capacity-building programs, member services enhancement, and initiatives aimed at improving the business climate in Nigeria.”

“Eurocham Nigeria will also use the grant to organize events, workshops, and training sessions that will benefit its members and the broader Nigerian business landscape,” Ferran said.

By Kazeem Biriowo, Nigerian Tribune

Millions in Nigeria have little to no electricity. It’s straining businesses and public services

Dimly lit and stuffy classrooms stir with life every morning as children file in. Rays of sunlight stream through wooden windows, the only source of light. Pupils squint at their books and intermittently the blackboard as teachers try to hold their attention.

It’s a reality for many schoolchildren across Nigeria, where many buildings don’t have access to the national electricity grid. In Excellent Moral School in Olodo Okin in Ibadan, “the entire community is not connected, including the school,” said school founder Muyideen Raji. It acutely affects pupils, he said, who can’t learn how to use computers or the Internet and can’t study in the evenings.

About half of Nigeria’s more than 200 million people are hooked up to a national electricity grid that can’t provide sufficient daily electricity to most of those connected. Many poor, rural communities like Olodo Okin are off the grid entirely.

In a country with abundant sunshine, many are looking to solar energy to help fill the gaps, but getting risk-averse investors to finance major solar projects that would give Nigeria enough reliable energy is an uphill struggle. It means that millions in the country are finding ways to live with little to no electricity.
 

Lots of sun, few funds

Studies have shown that Nigeria could generate much more electricity than it needs from solar energy thanks to its powerful sunshine. But 14 grid-scale solar projects in the northern and central parts of the country that could generate 1,125 megawatts of electricity have stalled since contracts were signed in 2016.

Those trying to develop solar projects in the country blame interest rates for borrowing which can be as high as 15 percent, two to three times higher than in advanced economies and China, according to the International Energy Agency.

That means it’s more costly for solar companies to work in Nigeria or other developing nations than in rich countries. Africa only has one-fifth the solar power capacity of Germany, and just 2% of global clean energy investments go to the continent.

“The same project put up in Nigeria and Denmark; the Danish project will get funding for 2 to 3 percent” interest rate, said Najim Animashaun, director of Nova Power, one of the stalled solar projects. Meanwhile he struggles to get loans even with interest rates of 10 percent or higher, “even though my solar project can produce two and half times more power,” than a Danish one.

Nigeria also does not set so-called cost-reflective tariffs, meaning the price consumers pay for electricity doesn’t cover the costs to produce and distribute it. This means distribution companies can’t fully pay producers and the industry relies on government interventions to stay afloat, scaring off lenders from investing in the solar industry.

Currently, power producers say they are owed up to 3.7 trillion Naira ($2.7 billion) by the government, making it difficult to meet obligations to their lenders and contractors.

One option would be getting World Bank guarantees that would put investors at ease and make them more willing to put money into solar projects. But the government is wary of signing up to anything that would force them to pay large sums even if electricity from the projects does not get to consumers because of inadequate transmission and distribution infrastructure.

Without World Bank guarantees “nobody will develop or finance a project with a government subsidy, because it can dry off,” said Edu Okeke, the managing director of Azura Power. Azura Power has a stake in the now-stalled 100 megawatt Nova solar project in Nigeria’s northern Katsina State.
 

Stop-gap solutions

With less than 8,000 megawatts of capacity and an average supply of less than 4,000 megawatts — less than half of what Singapore supplies to just 5.6 million people — power outages are an everyday occurrence in Nigeria.

Communities like Excellent Moral School’s in Ibadan that have no access to electricity are often surrounded by more fortunate ones that are connected to the grid but experience frequent outages and have to use gasoline and diesel-run private generators.

With the long-running petroleum subsidies now removed, many households, schools, hospitals and businesses struggle with the cost of the fuel for their backup generators.

“We have stopped using a diesel generator as an alternative due to costs,” said Abdulhakeem Adedoja, the head of Lorat Nursery and Primary School in Ibadan. He added that although the school is in an Ibadan area that is connected to the grid, they could go two weeks without a power supply.

The problem is not just the lack of electricity for computer-aided learning, proper lighting, and fans to make classes less stuffy for pupils and teachers, but also that students are unable to complete their school assignments at home, Adedoja said.

For more energy-hungry small businesses like restaurants, they either close shop or continue with alternative power generation, incurring high costs that hurt their capacity for expansion.

Ebunola Akinwale, the owner of Nature’s Treat Cafe in Ibadan, said she pays 2.5 million Naira ($1,700) monthly to power backup generators in her four branches.

“If nothing changes, I probably would have to close one or two branches,” she said, though she is planning to go solar which she enthuses will help us cut “pollution from the diesel (generators).” She’s in talks with her bank for a low-cost loan package specially designed for young women entrepreneurs to finance the solar alternative.

However, not every business and household has such access or can afford the upfront capital for a private solar system. School heads Raji and Adedoja said they find the costs prohibitive.
 

Finding a way forward

The stalled solar projects aren’t happening as finances don’t add up, but even for other sources of electricity generation, Nigeria struggles to attract desperately needed private financing.

The power minister, Adebayo Adelabu, said in May that in order to address the financial crisis affecting the electricity sector, prices must reflect the true costs of service because a broke “government cannot afford to pay 3 trillion Naira ($2.4 billion) in subsidy.”

The government also insists that Nigerians paying fully for the electricity they consume would encourage investments in the sector.

There has been some pushback to that, as labor unions went on strike in early June in part to protest electricity tariff increases.

But businesspeople like Akinwale understand the government’s position because regularly supplied grid electricity, even without a subsidy, is “still cheaper and cleaner” than diesel for generators, she said.

If finances for grid-scale solar projects do not add up, the government should offer incentives such as tax relief and payment plans to encourage private solar adoption, Akinwale said. “Sunlight is there abundantly,” she said.

Former regulatory chief Sam Amadi doubts if consumers in Nigeria — where the minimum wage is 30,000 Naira ($20) a month — “can today pay for energy consumed without subsidy.” He also wants a policy that makes it more affordable to have smaller-scale solar projects dotted across communities, businesses and homes.

Until then, there are consequences to the frequent blackouts, he said.

“I have the story of a person who died in hospital because the electricity went out during operation,” he said. “Every day, we see the real-world effects of the lack of electricity.”

By Taiwo Adebayo, AP

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Starlink Mini Dish Revolutionizing Internet Connectivity in Nigeria

 SpaceX is on the verge of launching the highly anticipated Starlink Mini dish. This revolutionary device promises to transform internet availability, particularly in underserved areas. It is set to provide satellite-based internet connectivity to people in remote locations where physical connections are impossible and mobile connections offer limited bandwidth.

The Starlink Mini is a game changer. With dimensions measuring 11.4 inches by 9.8 inches, it is significantly more compact and portable than the current 23.4-inch by 15.07-inch Starlink dish. The device is designed to fit comfortably in a backpack, providing users with unprecedented flexibility and convenience. This portability makes it an ideal companion for remote workers, travelers, and those living in isolated areas.

The integrated Wi-Fi router in the Starlink Mini supports Wi-Fi 6 (802.11b/g/n/ax) and operates over the 2.4 and 5 GHz bands. It features 3×3 MIMO built-in antennas, enhancing the connectivity experience. The device has only two connectors: a DC barrel for the external power source and an RJ45 network connector, allowing users to connect up to 128 devices. Weighing only 2.4 pounds (or 3.4 pounds with the kickstand and DC cable), the Starlink Mini is lightweight and easy to set up.

Since TD Africa, the leading distributor of tech products in Africa and the major distributor of Starlink products in Nigeria, introduced Starlink into the Nigerian market, the company has captured the public’s interest with its ubiquitous satellite service. In fact, the latest Internet Service Provider (ISP) data released by the Nigerian Communications Commission (NCC) showed that Elon Musk’s internet company, Starlink, has emerged as Nigeria’s third-largest ISP by subscriber number in the fourth quarter (Q4) of 2023.

For Nigerians eagerly awaiting the arrival of the Starlink Mini, the wait is almost over. Immediately after Starlink launches the Mini, Konga, Nigeria’s leading e-commerce group and Starlink’s exclusive shop-in-shop retailer, will ensure it is available nationwide. The device will be offered on konga.com at the best prices. This partnership underscores Konga’s commitment to providing cutting-edge technology solutions at affordable prices.

Rest assured, the Mini delivers impressive performance. Based on a speed test screenshot shared by SpaceX CEO Elon Musk, the Starlink Mini offers a robust 100 Mbps download speed and a respectable 11.5 Mbps upload speed with a latency of 23 ms. These capabilities are more than enough to power multiple 4K video streams, video calls, seamless voice chats, and speedy file downloads. Users can expect a seamless and high-quality internet experience, regardless of location.

For users needing to extend coverage to a broader area, the Starlink Mini is compatible with Starlink mesh, allowing it to pair wirelessly with another Starlink router. There is also an Ethernet port for those who prefer a direct connection. This versatility ensures that the Starlink Mini can adapt to various user needs and environments.

One of the most attractive aspects of the Starlink Mini is its affordability. The device is likely to be sold at half the price of the standard dish, making it accessible to a broader audience. This pricing strategy is expected to significantly boost adoption rates, particularly in Nigeria, where cost has been a barrier to accessing high-speed internet.

The launch of the Starlink Mini signifies a significant step forward in democratizing internet access. Whether you reside in a remote location, crave internet on the go, or simply yearn for a more affordable and reliable internet solution, the Starlink Mini is here to bridge the gap. With TD Africa and Konga at the helm, a brighter and more connected future awaits Nigerians.

By Ugo Onwuaso, Nigerian CommunicationWeek

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Dangote Refinery in Nigeria says it is operating normally after fire

Nigeria's Dangote Refinery is operating normally after a fire at its effluent treatment plant, it said on Wednesday, after videos circulated online of dark plumes of smoke at the 650,000 barrel-per-day facility.

The refinery is located in Lekki, roughly 80 kilometres east of Nigeria's commercial capital Lagos.

Dangote's spokesperson Anthony Chiejina did not provide a reason for the fire at the refinery, which was built at a cost of $20 billion by Africa's richest man Aliko Dangote.

"We have swiftly contained a minor fire incident at our effluent treatment plant (ETP)," Chiejina said.
"There is no cause for alarm as the refinery is operating and there is no recorded injury or body harm to all our staff on duty."

The refinery started production in January and will be the largest in Africa and Europe when it reaches full capacity. It could upend what has been a highly lucrative Europe-to-Africa fuel trade and transform Nigeria into an exporter of fuels.

Dangote has said gasoline deliveries from the refinery were delayed until July.

By Isaac Anyaogu, Reuters 

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A Chinese firm has opened the first lithium processing plant in Nigeria, marking a departure from the past when firms mined and exported the mineral in its raw form from the country. The processing plant located in northwest Nigeria is a joint venture between Ming Xin Mineral Separation and the Kaduna state government.

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Chinese-built metro rail offers exciting, comfortable ride in Abuja, Nigeria

Feeling the gentle hum of the train beneath him, James Anowai, a content creator and YouTuber, was buzzing with excitement as he settled into his seat on the revitalized Abuja Rail Mass Transit (ARMT) in the Nigerian capital, recently.

For Anowai, whose enthusiasm was palpable, this ride was not only his first-ever train experience or journey from one station to another but also an opportunity to share something new and exciting with his followers about the Abuja light rail built by China Civil Engineering Construction Corporation, a Chinese multinational construction giant.

"Everybody is relaxed. It is very smooth, clean, and, actually, a nice experience. It is something I want to do again, over and over again," he told Xinhua in an interview, capturing the moment on his camera phone clipped to a tripod.

Since its relaunch for commercial operation about a week ago, talks about the ARMT have been making the rounds, with local media abuzz with the prospect of the light rail system in the fast-developing Nigerian capital city.

With the sleek, air-conditioned new trains and well-secured stations symbolizing a step forward in urban commuting and providing a much-needed reprieve from the city's traffic congestion, the now invigorated service aims to serve as a beacon of hope amid the economic challenges faced by many in Nigeria's capital.

During the recent flag-off for commercial operation on May 29, President Bola Tinubu announced that rides on the new metro system would be free until the end of the year -- a move expected to encourage residents to embrace this new mode of transport and ease their economic burdens.

Tinubu, who took a ride on the train together with other top officials, described the operations on the Abuja metro line as "a symbolic milestone of enduring progress as a country and in the Federal Capital Territory (FCT)," noting it came about as "a fruit of collaboration, dedication, progress, and foresightedness."

"The Abuja Metro was inherited by my administration, from my predecessor. It was first commissioned in 2018 for public use," he said, adding his administration prioritized its revitalization as part of a desire to have a functional and flourishing FCT with efficient public infrastructure and transportation systems that will serve the people who live and work within the city and the surrounding communities.

The completed 45-km Lot A1 and Lot 3 of the light rail, with a total length of 290 km offering intra-city shuttle service and connecting Abuja's satellite towns to metropolitan transport, are part of the Abuja rail mass transit project designed to have an interface with the national line at two points, where there would be interchanges to join the rail line linking the northern part of Nigeria.

It covers 12 stations, 21 operational offices, 13 bridges, 50 culverts, and nine pedestrian overpasses. The construction of the light rail and its use is expected to open up new towns and boost economic activities along the corridor of Gwagwa, Kalgoni, Dei-Dei, Kubwa, Kukwaba, Dasonga, Asa, among 12 satellite towns in the Nigerian capital of Abuja.

For many passengers, the free ride period has been a much-appreciated relief. Miriam Akpan, a civil servant, expressed her satisfaction with the light rail service, saying: "It is a fantastic initiative."

"The train is comfortable, and the stations are well-maintained. Now, I can save a lot on transport costs going from my house to the office, and with the satisfaction that this is faster than being stuck in traffic at resumption and closing time," she said.

Naomi Oboi, a communications specialist, said she had "a very impressive" experience while using the train from the iconic Abuja Metro Station to the Airport Station, which covers a distance of 28 km, to complete an official assignment. Having used the light rail in Lagos, the country's economic hub, and metro trains in other parts of the world, she said her experience, from the zero-delay boarding to "every single thing" she saw during the travel time on ARMT was without much difference from her previous experiences.

"This is something that, especially with the increase in fuel prices in recent times, would really go a long way to help the average Nigerian, just like me, to make the transportation system very easy and better for us," Oboi said. "This is quality. This is very good, solid. I would say that I did not expect the train in Nigeria to be this solid, to be honest."

"Abuja could benefit from expansion plans," Mustapha Bello, a student at the University of Abuja, told Xinhua, noting that "as the city's residents adapt to this new system, the hope is that it will not only alleviate daily commuting woes but also contribute to the overall economic and social well-being of the Nigerian capital."

Reflecting on his "very unforgettable journey," Anowai expressed his hopes for the future of the rail service, wishing to have the light rail fully extended to Kuje, a low-income suburb of Abuja, where he lives, and works in the city center.

"It is just a smooth ride. I do not need to use public transport or drive my vehicle to this location. It has been a nice journey. This is more than an easy life," he added while adjusting his camera phone and tripod for his next content piece around the metro.

Chinese-made electric multiple unit (EMU) trains are seen at a depot in Abuja, Nigeria, on May 28, 2024. Since its relaunch for commercial operation about a week ago, talks about the Abuja Rail Mass Transit (ARMT) have been making the rounds, with local media abuzz with the prospect of the light rail system in the fast-developing Nigerian capital city. (Xinhua/Yang Zhe)

Chinese-made electric multiple unit (EMU) trains run on the metro rail track in Abuja, Nigeria, on May 23, 2024. Since its relaunch for commercial operation about a week ago, talks about the Abuja Rail Mass Transit (ARMT) have been making the rounds, with local media abuzz with the prospect of the light rail system in the fast-developing Nigerian capital city.

Staff members of the Abuja metro rail operation pose for a group photo in a carriage in Abuja, Nigeria, on May 29, 2024. Since its relaunch for commercial operation about a week ago, talks about the Abuja Rail Mass Transit (ARMT) have been making the rounds, with local media abuzz with the prospect of the light rail system in the fast-developing Nigerian capital city.

Nigerian President Bola Tinubu (2nd R, Front) prepares to ride the Abuja metro in Abuja, Nigeria, on May 29, 2024. Since its relaunch for commercial operation about a week ago, talks about the Abuja Rail Mass Transit (ARMT) have been making the rounds, with local media abuzz with the prospect of the light rail system in the fast-developing Nigerian capital city.

Nigerian President Bola Tinubu (C) speaks at the commercial operation ceremony of the Abuja metro rail in Abuja, Nigeria, on May 29, 2024. Since its relaunch for commercial operation about a week ago, talks about the Abuja Rail Mass Transit (ARMT) have been making the rounds, with local media abuzz with the prospect of the light rail system in the fast-developing Nigerian capital city.

Chinese-made electric multiple unit (EMU) trains are seen at a depot in Abuja, Nigeria, on May 28, 2024. Since its relaunch for commercial operation about a week ago, talks about the Abuja Rail Mass Transit (ARMT) have been making the rounds, with local media abuzz with the prospect of the light rail system in the fast-developing Nigerian capital city. 

By Olatunji Saliu, Xinhua 

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Generator fumes choke students to death in Nigeria

At least seven university students have died after apparently inhaling fumes from a generator in a music studio in Nigeria's oil-rich Bayelsa state.

The young men are said to have worked late into Monday night and fell asleep in the locked studio with the generator still running.

They are suspected to have suffocated from carbon monoxide emissions but police say investigations are ongoing.

Many businesses and households in Nigeria rely on diesel- or petrol-powered generators because of inadequate power supply.

Six bodies were discovered on Tuesday morning, while one of them, who was found unconscious, was rushed to a nearby hospital but later died, local media reported.

Residents of the area raised the alarm when they peeped through the window of the studio and saw the bodies sprawled on the floor.

Police arrived and cordoned off the area after moving out the bodies in the Amarata area of Yenagoa - the Bayelsa state capital.

“Investigations are being carried out but based on what we have seen, carbon monoxide poisoning due to generator fumes is a possible cause,” police spokesperson Musa Mohammed told the BBC.

The victims were undergraduates from the state-owned Niger Delta University (NDU) in Amassoma, who were involved in the music recording business to support their education.

This is not the first time generator fumes have killed people in Nigeria, Africa's top oil producer.

In 2009, at least 13 family members, including four children, died after inhaling noxious fumes from their power generator while they slept in a remote village in south-eastern Imo state.

Nigerians rely on backup generators to cover about 40% of their electricity needs, according to a recent report by the International Energy Agency (IEA).

Grid power supplies are often erratic in Nigeria, despite its role as a major oil and gas producer.

President Bola Tinubu recently ordered all government agencies to purchase only vehicles and generators powered by natural gas as part of the country's efforts to transition to cleaner energy and cut high fuel costs.

By Mansur Abubakar & Wycliffe Muia, BBC

 

Nigeria Taps Tinubu’s Ally to Build a $13 Billion Highway

Nigeria’s federal cabinet last week approved construction work on the second section of a $13 billion highway awarded to an ally of President Bola Tinubu, a project that’s ignited a political firestorm in Africa’s most populous country.

The 700-kilometer (434 miles) Atlantic coastal road linking the commercial hub of Lagos to Calabar in the oil-rich Niger Delta has been mired in controversy since being awarded in September to Hitech Construction Company Ltd., a business owned by tycoon Gilbert Chagoury, who was listed by the government as Tinubu’s “confidante” when part of Nigeria’s delegation at last year’s COP28 climate conference in Dubai. The government has been forced to hold a series of public meetings, press conferences and speeches to defend the project, while surrogates have been sent to explain its position on television.

Authorities have demolished dozens of houses and buildings, including sections of the popular Landmark beach complex in the Lagos district of Victoria Island. That’s led to protests from businesses and residents in the area, home to many of Nigeria’s richest people and local headquarters of TotalEnergies SE and Standard Chartered Plc. Nigeria is littered with ambitious projects that are abandoned after huge amounts of money have been spent, and those that are completed often experience lengthy delays.

Chagoury, 78, has been a fixture of Nigerian politics and business for decades. In 2000, he was convicted in Switzerland of laundering money for Sani Abacha, the notoriously corrupt Nigerian dictator, and has admitted to making illegal campaign contributions in the US. The Chagoury Group didn’t respond to a request for comment.

Hitech has built a number of major infrastructure projects, including the privately developed Banana Island luxury housing estate and the 10-square-mile Eko Atlantic development — both on land reclaimed from the sea. The firm has constructed two highways in Lagos that are 16 miles and 31 miles long, but critics question its capability for large-scale projects.

“We don’t feel like we caught the best deal,” Lagos opposition politician Gbadebo Rhodes-Vivour said by phone. “Because this whole project did not go through the Senate, did not go through the regular due process and we’re just being stuck with the bill that seems extremely overbloated.”

The bidding process for the contract wasn’t conducted publicly, which has also drawn criticism from civil society groups and opposition politicians.

Works minister Dave Umahi told journalists that the government approved a “restrictive bidding” round for the project, without elaborating on what other companies were involved or why it wasn’t made public.

“People say it was not listed in the 2024 budget,” he said during a May 14 speech at the presidential villa in Abuja, the seventh time he has addressed the controversy around the highway since April. “Yesterday, I quoted the budget number and so everything about coastal road followed due process.”

This year’s budget contains two line items for the project totaling 1 billion naira, a fraction of the 2.6 trillion naira ($1.8 billion) approved so far, according to the version posted on the website of the budget office in January.

“It is curious that the terms of such an audacious project continue to be shrouded in secrecy,” opposition leader Atiku Abubakar, who lost to Tinubu in last year’s presidential election, said in a statement. “It is no secret that both Tinubu and Chagoury are business partners.”

The president’s office didn’t respond to a detailed list of questions, instead referring to an April 8 statement that called the highway an “economic gamechanger.”

Tinubu, who was governor of Lagos from 1999-2007, has long been dogged by allegations of corruption, which he denies. He was being investigated by Nigeria’s anti-graft authorities as recently as June 2021, two years before he was elected president. In 1993, he forfeited $460,000 to resolve a lawsuit in Chicago after US federal authorities said bank accounts in his name held the proceeds of heroin trafficking. Tinubu’s lawyers have said he was never charged over the matter.

Nigeria ranks among the world’s most graft-ridden countries, according to a Corruption Perceptions Index published by advocacy group Transparency International, a key reason why the economy is mired in crisis. Since coming into office, Tinubu has talked about enhancing transparency in government and vowed to fight corruption. In April, he described corruption, self-interest and fraud as “an enemy” of the country.

The task of completing the coastal road project will extend beyond Tinubu’s first term, and cost more than Nigeria’s 9-trillion naira budget deficit for this year. Civil society groups and opposition leaders have questioned the rationale behind spending so much on a highway while ordinary Nigerians battle a cost-of-living crisis and citizens have died in stampedes to get food.

“With the cost involved, you can see that it’s an inflated contract that has been given simply because some people believe that they will make money out of it,” said Auwal Rafsanjani, Nigerian head of Transparency International. Lack of transparency around Nigerian projects like this is “the reason why we are not making any progress in terms of improving transparency and accountability in public sector.”

23-Year Plan

Estimated at 15 trillion naira, the Lagos-Calabar Coastal Highway is part of Nigeria’s 23-year plan to improve the nation’s infrastructure. The project was first designed as a railway under President Goodluck Jonathan and awarded to the China Civil Engineering Construction Corp. for $12 billion, but fell apart when he left office in 2015.

The following year, the plan was revived by President Muhammadu Buhari’s administration for $11 billion and given a timeline of three years, which expired without significant progress.

Minister Umahi then announced the project had been resurrected once again, but as a coastal highway alongside some rail, and this time awarded to Chagoury’s Hitech.

As much as 30% of the funding for the highway is expected to come from the government, with Hitech sourcing the rest, according to Umahi. The road will also be tolled, costing as much as 3,000 naira to use for a one-way trip — the equivalent of two day’s salary at the current national minimum wage.

By Nduka Orjinmo, Bloomberg

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Starlink Becomes Third-largest ISP in Nigeria Q4 2023

According to the Nigerian Communications Commission, Starlink Services, LLC, is Nigeria’s third-largest Internet Service Provider (ISP) by subscriber count in the fourth quarter (Q4) of 2023. The satellite internet constellation company has an aggregate of 23,897 active subscribed customers, cementing its status as one of the leading ISPs in the country. In addition, the NCC’s data showed that Starlink had 11,207 customers as of Q3 2023. The Q4 figure represents a 113 per cent increase in customers quarter over quarter.

However, the Nigerian-based internet provider Spectranet leads with 113,869 active customers, followed by FiberOne with 27,000 active subscribers. In 2022, Starlink services were approved to provide high-speed, low-latency broadband internet in Nigeria, with a monthly subscription of USD 110 and USD 599 for the complete Starlink kit.

By Deborah Faboade, SPACE IN AFRICA

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Nigeria becomes first country in Africa to have Starlink

 

 

 

Inmates escape as rainstorm destroys correctional centre in Nigeria

Some inmates have escaped from the old Suleja Correctional Centre in Suleja Local Government Area of Niger State after a rainstorm destroyed parts of the facility Wednesday night.

Sources in Suleja said the storm during heavy rainfall destroyed parts of the custodial centre around 9 p.m., allowing many inmates to escape from the facility.

The rainstorm destroyed parts of the prison building and exposed the inner fence protecting one of the cells where inmates were kept.

A resident of Suleja town confirming the incident said: “We helped to arrest two of the inmates and handed them over to the prison authorities.”

It was learnt that security agents have been deployed to blackspots in Suleja in search of the fleeing inmates.

Meanwhile, it was observed that security had been beefed up on the Minna-Suleja and Suleja-Kaduna roads, including the Madalla axis of the Minna-Abuja road.

The state’s Comptroller of Prisons could not be immediately reached for his reaction, but a senior officer of the Nigerian Correctional Service (NCoS), who spoke on condition of anonymity because they were not authorised to speak to journalists, confirmed the development.

By Maimuna Raji Egigogo, Premium Times

Relates story: Set them free! The judge who liberates Nigerians forgotten in jail

AMN Deploys Starlink Connectivity in Rural Villages in Nigeria

Africa Mobile Networks (AMN) has deployed the company’s first base station in Nigeria that has connectivity via SpaceX’s Starlink constellation, AMN announced last week.

AMN has deployed over 4,000 base stations for cellular backhaul via satellite across Africa and Latin America since 2018. Last year, the company signed a commercial agreement to use the Starlink Low-Earth Orbit (LEO) constellation to connect its mobile network base stations with high-speed, low-latency broadband services.

The company said that with Starlink terminals providing low-latency satellite backhaul, the company was able to deliver the full capability of its multi-carrier radio access node (the ARN) with 3G and 4G as well as 2G. AMN said LEO backhaul also paves the way for AMN to deliver 5G services, targeted before the end of the year.

Installation of new sites continues throughout 2024 in Nigeria, DRC, Cameroon, Madagascar, Ivory Coast, Benin and Rwanda.

By Rachel Jewett, Via Satellite

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Video - Concerns over electricity rate hike in Nigeria

An increase in electricity prices by nearly three times has sparked a backlash in Nigeria. The decision to remove electricity subsidies is part of President Bola Tinubu's reform drive to ease pressure on the economy as the government targets up to 2.6 billion U.S. dollars from the subsidy removal.

CGTN

Related stories: Consumers in Nigeria upset at electricity rate hike

Nigeria to cut electricity subsidy to ease pressure on public finances

 

 

Consumers in Nigeria upset at electricity rate hike

A sudden hike in electricity rates in Africa's most populous country, Nigeria, has sparked a backlash.

Until now, Jude Okafor has spent an average $25 on electricity to run a frozen fish and meat business that he started in 2021. But since last week, when the government announced a rate hike of nearly 300 percent for electricity, Okafor says running his business has been tough.

"There is no escape. Light has gone high, fuel has gone high. And for a businessman, there's no way we can cope with that,” Okafor said. “If there's no light or fuel to ice our fish, what are we going to do? Our business is running down. This is [a] first-class act of wickedness."

The Nigerian Electricity Regulatory Commission (NERC) announced the price change last Wednesday and said only its bigger power consumers, about 15 percent overall, would be affected by the subsidy cut.

Authorities said consumers in that category enjoy up to 20 hours of electricity a day and that the rate hike was only fair to customers who receive fewer hours of light.

The decision to remove electricity subsidies is part of President Bola Tinubu's reform drives to ease pressure on the economy.

Authorities argue that state-controlled electricity rates are too low to attract new investors or allow distribution firms to recover their costs, leaving the sector with huge debts.

Economic analyst Ogho Okiti says the government’s move is a good one.

"The government is not able to pay those subsidies on time, and because they're not able to [pay] them on time, gas companies are withdrawing their gas supplies,” Okiti said. “The timing is right. I think the government had waited till April to do this because they expect power supply to improve from now because of [the] rainy season."

But the decision is being criticized by many, including businesses, manufacturers and workers' unions.

This week, the Abuja chapter of the Nigerian Association of Chambers of Commerce, Industry, Mines, and Agriculture, or NACCIMA, said the decision would threaten the survival of many thousands of businesses already struggling to cope with soaring inflation.

"First of all, the timing is wrong,” said Dele Oye, national president of the NACCIMA. “We all know that electricity is underpriced, but to some extent, there must be some level of subsidy. There's nowhere in the world where there's no subsidy. We cannot compete if we have to pay everything at market value when we don’t see market value service from the government. We do our roads. We do our security as investors."

Nigeria last revised electricity rates four years ago. Authorities say the country could save up to $2.6 billion from the subsidy removal.

But a similar reform applied on petrol last year worsened a cost-of-living crisis for many Nigerians after the annual rate of inflation rose to more than 30 percent — its highest level in three decades.

Critics will be watching to see how this newest subsidy removal unfolds.

By Timothy Obiezu, VOA

Related stories: Nigeria to cut electricity subsidy to ease pressure on public finances

Nigeria thrown into darkness as power grid collapses

Video - Nigeria suffers from most power cuts in the world

Nigeria thrown into darkness as power grid collapses

Nigeria was thrown into darkness on Thursday afternoon following the collapse of the electricity grid controlled from Osogbo, Osun State, around 4:32 p.m.

A source in one of the distribution companies (DisCo) said the feeders for most DisCos nationwide were out of supply.

The development, the source added, has left virtually all franchise areas for DisCos across the 36 states in darkness.

According to the source, as of 4p.m, the grid output was 2984 megawatts. But by 5 p.m., the 21 plants on the grid had zero output.

In February, a grid collapse also left the nation in darkness.

A last check with the source when filing this report revealed that Azura was the only plant on the grid with an output capacity of about 54 megawatts.

Egbin, Afam, Geregu, Ibom Power, Jebba, Kainji, Odukpani, and Olorunsogo, among other plants, all had zero output.

In November 2013, the federal government privatised all generation and 11 distribution companies, with the FG retaining the ownership of the transmission company. This was to improve efficiency in the sector.

However, since privatisation, the grid has collapsed more than 140 times.

By Olawunmi Ojo, Premium Times

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Video - Nigeria suffers from most power cuts in the world

 

 

 

Video - Nigeria to fast-track construction of $25 billion gas pipeline to Morocco

The Nigeria-Morocco Gas Pipeline spans 5,600 kilometres and will likely shape Africa's energy landscape. Officials hope the pipeline will also become a major gas supplier to Europe.

CGTN

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Video - Manufacturing firms reporting challenges in Nigeria

Nigeria’s manufacturing sector continues to report sluggish growth, as more factories either shut down or become severely distressed. Analysts say their most pressing concerns include the country's poor infrastructure and difficulties getting access to foreign exchange to buy raw materials.

CGTN

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Video - Nigeria SMEs turn to alternative energy sources to address chronic power crisis

One such small business owner operates a hotel in Nigeria's capital, Abuja. He says he lost a lot of business due to electricity issues. But an investment of 1,000 U.S. dollars in converting his electrical system to solar power is helping to lure customers back.

CGTN

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Fifth electricity transmission line vandalised in one month in Nigeria

 

 

 

Sovereign fund of Nigeria to pilot development of 20 megawatts solar plant

Nigeria's sovereign fund plans to build a 20 megawatts solar power plant in partnership with a local firm, first phase of a 300 megawatts project, the country's Vice President Kashim Shettima said on Tuesday.

Shettima did not disclose the cost of the project or when construction will start.

Nigeria, with a population of more than 200 million people, has installed power generation capacity of 12,500 megawatts (MW) but produces a fraction of that, leaving millions of households and businesses reliant on petrol and diesel generators.

The vice president said on Tuesday in Abuja at the signing of the joint venture between the Nigerian Sovereign Investment Authority (NSIA) and North South Power (NSP) Company Ltd for the establishment of the Shiroro Generating Company, the country's pioneer on-grid solar-hydro hybrid project.

The Shiroro Generating Company is hybrid project is located in Shiroro, in Nigeria's northwest of Niger state.

Shettima said the 20 megawatt pilot project is embedded within a 300 megawatt solar programme, to be co-located within NSP's existing 600 megawatt Shiroro Hydroelectric Power Plant concession area in Shiroro, Niger State.

"As a nation, our resolve is to take proactive steps to diversify our energy sources, reduce our carbon footprints and ensure a more sustainable future for generations to come," the vice president said in a statement.

"This project will catalyze the realization of other hydro-solar projects and serve as a test case for deployment of solar energy on to the national grid." 

Reuters

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