Enugu secures $100m for sustainable water connectivity project
The Enugu State Government and Austrian firm WANDE NEXUS have signed an agreement to carry out the Sustainable Last Mile Connectivity and Advanced Metering Infrastructure Project in Enugu.The agreement, signed on Monday in Enugu with Austrian Ambassador to Nigeria Thomas Schlesinger present, will see WANDE Nexus invest $100 million in Foreign Direct Investment to modernise water infrastructure, improve service delivery, and ensure equitable access to clean water for all households in Enugu City.
Governor Peter Mbah spoke at the ceremony, describing the arrangement as a model for the partnership between a sub-sovereign and a sovereign, as well as a key step towards bringing water to Enugu City's last mile.
Mbah said in a statement, "We now have a $100 million investment to deal decisively with the last mile connection, the downstream part of our water system." This large number demonstrates that the federal government's economic reforms and our efforts to establish Enugu as the leading investment destination are paying off, since this is a significant FDI not only for us as a state, but also for the country.
"To be clear, we are not simply signing an exploratory arrangement. We signed this arrangement today so that the monies will begin to flow. This topic began eight months ago. We signed an MoU, a Terms Sheet, and a Concession Agreement before signing the final agreement today, and we expect the investment funds to begin flowing immediately, as they should have with the connectivity to the last mile, and the procurement of meters will begin."
The governor noted that while the administration had raised water production from an occasional two million litres to 120 million litres, the most difficult task remained expanding the network and linking tertiary pipelines to households.
He stated that by signing the FDI agreement, this issue will be rectified.
"This is just a $100 million investment in our downstream water sector, and it is our obligation as a state government to continue managing the upstream sector.
"If you look at our budget for 2025, there is a sum set aside for water, which is primarily to improve our water production capacity. Mbah indicated that the amount will increase from 120 million to 200 million litres per day.
In his speech, Schlesinger stated that the Austrian government strongly supported the investment and praised Governor Mbah for building critical foreign contacts and exhibiting a strong commitment to improving the lives of his constituents.
Schlesinger remarked, "Governor Mbah is an excellent friend of Austria. He has twice visited Vienna, where he has met with ministers, international organisations, and members of the business community; he is also a strong supporter of Austrian enterprises in Enugu.
"This investment in the amount of $100 million is, therefore, a testimony of his excellent work and his vision for Enugu State."
Schlesinger also expressed confidence that Dr. Ugochukwu Ugbor, Chairman of WANDE Nexus Group, will successfully oversee the development of the downstream water industry.
"In order to carry out the governor's strategy, strong leadership at the top of the project is required, as represented by Dr. Ugochukwu Ugbor, Chairman of WANDE NEXUS. He spent more than 20 years in Austria, where he held major positions in international institutions addressing essential infrastructure and sustainability issues, as outlined in another United Nations Sustainable Development Goal," he stated.
In his remarks, Ugbor stated that he and Austrian investors were motivated to invest in the project because of the rapidly rising ease of doing business, the favourable investment environment, and the Mbah administration's integrity.
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