Anietie Udobit,Abuja
The Federal Government has canceled a $717.7 million World Bank power intervention loan amid mounting concerns over Nigeria’s electricity infrastructure challenges and underutilization of existing grid capacity.
Grow your business with us
The decision has sparked intense reactions within the energy sector, with experts divided over whether the move reflects strategic financial discipline or a worrying setback for the country’s struggling power reforms.
Officials familiar with the development say the cancellation followed disagreements over implementation frameworks, project execution timelines, and questions surrounding the effectiveness of previous intervention programs.
Nigeria continues to grapple with unstable electricity supply despite billions of dollars invested in the sector over the years.
Industry stakeholders warn that without aggressive reforms, transmission upgrades, and stronger generation capacity, Nigeria’s ambition of industrial expansion may remain difficult to achieve.
The cancellation also comes at a time when businesses and households are facing soaring energy costs nationwide.
About The Author