Nigeria needs $3 trillion to fix infrastructure deficit in the country over the next three decades, Africa Finance Corporation (AFC) has said.
Speaking at the weekend in Lagos, AFC President/Chief Executive, Andrew Alli called on government to allow cost-reflective tariffs so as to boost power supply in the country.
Represented by a top executive of the corporation, Fowler Fagbule, Alli said the Nigerian government ability to spend is limited based on what it earns.
He explained that the power sector recently privatized, is still significantly government driven with challenges of transmission, gas supply, tariffs, payment security, and operational limits which has left the industry in critical state regarding suitability for long-term investment.
According to him, the overall effect is that Nigeria still struggles to provide an adequate supply of reliable power to its population of approximately 170 million people, as generation capacity was still about 3,038 megawatts at March, 2017. He believes that the country should generate 5000 megawatts by 2018.