Nigeria invests $ 1.5 bn in gas network infrastructure
The Nigerian Federal Government has so far provided $ 1.5 bn for investment in gas network infrastructure to enhance
stable power supply in the country. President Umaru Yar'Adua made this disclosure in Abuja in a message to mark the
second anniversary of his administration.
He stated that the huge investment was meant to ensure adequate supply of gas to the nation's thermal stations, among other things.
The President said, "We said, from the outset of our tenure, that stable power supply was critical for both
individual actualization and collective growth. We set a target of generating 6,000 MW of electricity by December
this year as an initial measure for ensuring relatively stable power supply across the country. I am pleased to
report that we have taken concrete steps towards this target and achieving 10,000 MW by early 2011."
He assured Nigerians that the targets would be met by building on the latent power generation capacities currently being restored through the aggressive plant rehabilitation programme of the government.
Yar'Adua noted that the oil and gas industry remained the backbone of the nation's economy, contributing over 30 % of
GDP, 85 % of government revenues and over 95 % of foreign exchange earnings.
"This strategic industry is in dire need of reform and this administration has presented before the National Assembly a comprehensive Petroleum Industry Bill (PIB) that will govern the industry in the areas of policy, regulation and commercial asset management. This is going to be complemented by efforts to rid the downstream petroleum sector of the fraudulent activities and racketeering that have not only allowed corruption and inefficiency to fester but have equally made attempts to develop the sector by establishing domestic self-sufficiency in refining petroleum products practically impossible," he added.