The Federal Executive Council (FEC) has approved significant funding for power infrastructure upgrades to boost electricity supply and drive industrial growth.

Minister of Power, Adebayo Adelabu, told reporters after Wednesday’s FEC meeting that four major proposals were approved. The first will see ₦13 billion allocated for compensation payments under the Lagos Industrial Transmission Project, funded by a $238 million loan from the Japan International Cooperation Agency (JICA).

The project will enhance power supply to industrial corridors in Lagos and Ogun States, ensuring manufacturers receive dedicated, stable electricity. Compensation will be paid to property owners and communities affected by transmission line routes.

The other three proposals involve the procurement of 14 high-capacity transformers worth $34 million and ₦5.2 billion, to replace aging and overloaded units across the national grid. These include two 150MVA units, five 100MVA units, five 60MVA units, and two 30MVA units.

Adelabu noted that much of the grid infrastructure is over 50 years old, with frequent failures due to overload. He stressed that the upgrades would improve reliability, support increased generation, and help power local industries.