Thread by @BudgITng

Hello Nigerians,

To improve electricity access, FG plans to spend N661bn ($1.74bn) through the Nigerian Distribution Sector Recovery Program (DISREP)

Of this $1.74bn, 72.1% will be funded by loans. This will increase Nigeria's N31tn debt burden by 1.54% #WatchTheDebt

Thread!

For context, a brief review of Nigeria's current electricity distribution status reveals that;

85m Nigerians currently have no access to grid electricity, and Nigeria records N10.1tn annually as economic losses due to lack of reliable power supply, among others.👇 #WatchTheDebt

N476.3bn, which represents 72.1% of the total sum of N664bn for DISREP, will be funded with loans.

The loan consists of N265.3bn from @AfDB_Group and N189.5bn from @WorldBank.

#WatchTheDebt #AskQuestions

A breakdown of what the money will be used for;

• On-lending to Electricity Distribution Companies (DISCOS) to provide electricity meters for accurate billing.

• Design "Consumer Assistance Fund", to absorb the shock of electricity subsidy removal on vulnerable households. 👇

To access this loan, Electricity Distribution Companies must meet certain criteria and performance metrics. Here's what they must do 👇👇 #WatchTheDebt #AskQuestions

To reiterate, the N476.3bn loan will increase Nigeria's N31tn total debt burden by 1.54%; thus, this increase should translate into real value for DISCOS and Nigerians. FG and Implementing agencies must ensure this. #WatchTheDebt

@nigeriagov and President @mbuhari must also ensure that DISCOS stick to the performance metrics for accessing the loans. #WatchTheDebt #AskQuestions #GetInvolved