The federal government says it will need a $10 billion investment in the electricity sector through a public-private partnership over the next five to 10 years, to achieve power supply 24 hours a day.

The Minister of Energy, Adebayo Adelabu, disclosed this during the courtesy visit of the Director General of the Infrastructure Concessions Regulatory Commission (ICRC), Jobson Ewalefoh.

A statement on the visit was delivered to the News Agency of Nigeria (NAN) in Abuja on Wednesday by Ifeanyi Nwoko, acting head of the ICRC’s Media and Publicity Department.

In the statement, Mr Adelabu said government alone could not afford the $10 billion when other critical sectors needed funding.

“The government cannot do this alone. This is why we must seek organized private sector financing, while retaining government interest and ownership.

“This is where the ICRC comes in. We must do this in collaboration with the private sector and the best way is through concessions,” he said.

Earlier, Mr. Ewalefoh said it had become imperative to seek private sector contribution through public-private partnership to improve the power sector.

He said given the importance of energy to the economic development of the nation, it was imperative to optimize the performance of existing infrastructure as well as finance new ones.

The ICRC boss said the sector’s challenges were numerous and went beyond funding from the federal government alone.

According to him, through inter-institutional collaboration and partnership with the private sector, these limitations could be overcome.

The Director-General said that through its regulatory processes, the ICRC could leverage private sector investment to raise part of the $10 billion needed for the sector to regularly provide electricity.

He added that the ICRC could also attract more foreign direct investment to other sectors and ultimately grow the economy.

“Reshaping the electricity sector requires planning, investment and time. We must therefore work together to solve the problems in this sector.

“The investment required in the power sector is very huge and the government cannot finance it alone. We must therefore leverage the financing capacity of the private sector.

ALSO READ: Nigeria needs $10 billion investment to get regular electricity – Minister

“This is why the ICRC was created to regulate this leverage,” he said.

Mr. Ewalefoh commended the Minister for his vast knowledge of the sector, noting that President Bola Tinubu’s decision on his choice was commendable.

He recalled that in a bid to accelerate PPP investments, in line with the President’s directives, the commission has issued a six-point policy direction that streamlines the PPP service delivery process.

The DG said the commission would not relent or compromise on its strong regulatory function to prevent potential liabilities or unnecessary delays by companies that lacked the required capacity.

(NAN)