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FG seeks $500m World Bank loan for dam safety, others


 

T he Federal Government has requested a $500 million loan from the World Bank to improve dam safety and enhance water resource management across Nigeria. This loan aims to address the country's water security challenges and boost agricultural productivity through the Sustainable Power and Irrigation for Nigeria Project (SPIN).

According to the World Bank’s Project Information Document for the proposed project, posted on its website on Monday, the SPIN project focuses on four critical areas: institutional strengthening and capacity building, irrigation modernization, improvements in dam operations and safety, and project management. The proposed approval date for the SPIN project is September 26, 2024.

The project aims to reinforce federal and state institutions responsible for water resource management. This includes developing national dam safety guidelines, training for water resources and irrigation management, and creating a comprehensive hydropower master plan.

The document stated, “Nigeria faces water security challenges, which impact water availability for drinking water, energy and food production, and are increasingly exacerbated by climate change, putting livelihoods and economic development at risk. Harnessing water storage and dam safety is central to climate change adaptation and mitigation in Nigeria. It is a prerequisite to improving water management for water supply, irrigation, and hydropower generation and offers protection from floods and droughts."

Nigeria has over 400 dams with an estimated total combined storage of 59 billion cubic meters. Forty-six percent of these dams are federally owned and managed by the Federal Ministry of Water Resources and Sanitation through River Basin Development Authorities. Forty-eight percent are state-owned and managed by state ministries. Many dams remain incomplete, and more than 50 percent of the large dams built in the 1970s and 1980s require rehabilitation.

The document noted, "This situation is due in part to institutions responsible for dam management, whether at the federal or state level, having inadequate budget, human resources, and capacity to ensure dam management, operation, and maintenance, and non-adherence to operational manuals where they exist."

The devastating floods of 2022, which caused an estimated $6.7 billion in economic damage, highlighted the urgent need for improved dam safety and water management.

Under the SPIN project, the Federal Government plans to rehabilitate and modernize 40,000 hectares of irrigated land. This includes establishing and empowering Water User Associations to manage irrigation schemes efficiently. Additionally, the project will focus on rehabilitating and enhancing the safety of priority dams by conducting risk assessments, preparing emergency action plans, and implementing structural safety improvements.

To ensure effective project implementation, monitoring, and evaluation, the project will establish a Federal Project Management Unit and Technical Units at both federal and state levels.

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