The federal government and the Global Fund on Tuesday inaugurated the expanded Abuja Premier Medical Warehouse (APMW) to strengthen the storage and distribution of health commodities nationwide.

The Coordinating Minister of Health and Social Welfare, Muhammad Pate, described the facility as a critical national asset that would improve commodity security and support the delivery of healthcare services.

Represented by the Permanent Secretary of the ministry, Daju Kachollom, Mr Pate said the project aligns with ongoing reforms aimed at expanding storage capacity and improving the distribution of essential medicines.

“The significance of this project cannot be overstated, as it represents a leap forward in ensuring that public health products, vaccines and medical supplies maintain integrity,” he said.

He said the inauguration is to showcase achievements recorded through the partnership between the federal government and the Global Fund while reinforcing commitments to supply chain reforms.

Mr Pate assured the Global Fund that the federal government would provide the resources required to maintain the facility and its assets.

He noted that delays in the supply of health commodities could negatively affect service delivery, underscoring the importance of adequate storage infrastructure.

The minister commended development partners, including UNICEF and the Gates Foundation, for their continued support of Nigeria’s health sector.

“To the Global Fund, the support goes beyond infrastructure. It represents a commitment to a shared vision of equity, access and excellence in healthcare,” he said.

Mr Pate also urged officials responsible for managing the facility to ensure its sustainability through diligence, accountability and effective utilisation.

“Today’s commission is a reminder that with determination, partnership and innovation, we can overcome challenges and build a robust health system capable of delivering quality and affordable healthcare for all,” he said.

Successful collaboration

In her opening remarks, Ms Kachollom described the commissioning as a testament to successful collaboration among government, development partners and stakeholders.

Represented by the Director, Food and Drugs Services, Adeola Olufowolabi-Yusuf, she said the project demonstrated what could be achieved through collective commitment to improving citizens’ health and wellbeing.

“This moment is a testament to what can be achieved when government, development partners and stakeholders unite in the shared mission of improving the health and well-being of our citizens,” she said.

Ms Kachollom described the expansion of the warehouse as a game-changer for Nigeria’s healthcare system.

She expressed appreciation to the Global Fund for supporting the project and acknowledged UNICEF, the warehouse contractor and Land Designs Ltd. for their contributions to its successful completion.

Also speaking, Peter Sands, Executive Director of the Global Fund, said strong supply chains depended not only on infrastructure but also on people, systems and governance.

“It is not just about a building or available infrastructure. You need trained and committed people, good management and governance, technology and systems,” he said.

Mr Sands said the warehouse would provide a critical foundation for a stronger and more efficient supply chain capable of delivering essential health commodities when needed.

In his goodwill message, Charles Lolika, Deputy Representative, Operations, United Nations Children’s Fund (UNICEF), said the expanded warehouse and 22 state medical warehouses would improve storage capacity, inventory management, commodity security and distribution efficiency.

According to him, the facilities are expected to benefit an estimated 149 million people across 21 states, including about 68 million children.

“We extend our sincere appreciation to The Global Fund for its generous funding support, which made this critical investment in health infrastructure possible,” he said.

Mr Lolika added that the partnership between UNICEF and the Global Fund was also supporting the upgrade of more than 150 primary healthcare centres across the country.

He said the initiative demonstrated the value of coordinated efforts among government, funding partners, implementing agencies and technical service providers.

The World Health Organisation Representative in Nigeria, Pavel Ursu, described the warehouse as a foundational investment for the country’s health system.

“When we think about the warehouse, this is a foundational element and building block for a health system, and it is definitely not to serve only three diseases,” he said.

Mr Ursu said the project reflected years of consistent implementation and commitment by stakeholders involved in its execution.

He commended UNICEF for successfully navigating the challenges associated with major infrastructural projects and delivering the facility.

Mr Ursu said stakeholders must sustain the momentum generated by the project to achieve measurable improvements in health outcomes.

Also speaking, Nkata Chuku, Deputy Director, Health Systems Strengthening, Gates Foundation Nigeria, said commodity security remained central to reducing deaths among women and children and combating infectious diseases.

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Mr Chuku said the investment aligned with the foundation’s efforts to strengthen health systems and improve last-mile delivery of health commodities.

He expressed optimism that the investment would improve the availability of critical commodities in health facilities across Nigeria and strengthen supply chain visibility nationwide.

The News Agency of Nigeria (NAN) reports that the warehouse serves as a central hub for storing and distributing essential medicines, vaccines and other public health commodities.

Its expansion is expected to boost national storage capacity, improve inventory management and strengthen the distribution of life-saving supplies nationwide as part of efforts to upgrade 22 warehouses across 21 states.

This move, authorities noted, could improve healthcare delivery and reduce the impact of persistent power shortages in hospitals.

The initiative, known as the Nigeria Power for Health Initiative (NPHI), was launched on Monday at the National Healthcare Electrification Investors Matchmaking Forum in Lagos.

Speaking at the event, the Minister of State for Health and Social Welfare, Iziaq Salako, said inadequate electricity remains a major challenge for healthcare facilities, affecting critical services such as surgeries, vaccine storage, laboratory diagnostics, oxygen delivery and emergency care.

He said the new framework seeks to mobilise private capital to deploy and manage sustainable energy solutions across health facilities, reducing reliance on conventional government-funded infrastructure projects.

“Electricity is not merely a utility in a healthcare facility. It powers life-saving services and technologies that underpin healthcare delivery. When electricity fails, healthcare delivery stagnates,” Mr Salako said.

New model for healthcare electrification

Under the framework, healthcare facilities will adopt an Energy-as-a-Service (EaaS) model, under which private energy companies will finance, install, operate and maintain power systems while guaranteeing electricity supply to participating institutions.

Mr Salako said the arrangement would allow hospitals to focus on healthcare delivery while energy providers take responsibility for power infrastructure and maintenance.

He said the initiative is a key outcome of discussions held during the National Stakeholders’ Dialogue on Power in the Health Sector and noted that it represents a shift towards more sustainable financing for healthcare infrastructure.

Focus on tertiary hospitals

According to Mr Salako, the current phase of the programme will focus on federal tertiary health institutions, with plans to expand to primary and secondary healthcare facilities across the country.

He said the framework is built around blended financing, combining government support, development finance, climate finance, and private-sector investment to scale healthcare electrification nationwide.

To coordinate implementation, the government has established an Inter-Ministerial Steering Committee, a 24-member Inter-Agency Technical Committee, Facility Energy Management Teams and a Project Secretariat within the Federal Ministry of Health and Social Welfare.

Preparing hospitals for investors

Mr Salako said the ministry has also begun strengthening the investment readiness of federal hospitals by training directors of finance and accounts on energy economics, project finance, sustainable business models and investor engagement.

He noted that the government was creating conditions that would make healthcare facilities more attractive to investors and energy developers.

Mr Salako also acknowledged the support of the UK Partnership for Accelerating Climate Transitions (UK PACT) and Landell Mills International in developing the framework.

Addressing investors, commercial banks, development finance institutions, and climate financiers at the forum, Mr Salako said healthcare electrification presents significant investment opportunities while strengthening health outcomes.

Electricity in hospitals

According to the World Health Organisation (WHO), electricity is a fundamental requirement for safe and effective healthcare delivery, powering everything from lighting and communications to critical medical equipment used in surgeries, diagnostics, vaccine storage and emergency care.

The government’s latest push for healthcare electrification comes amid recurring power supply challenges in public hospitals, many of which have struggled with rising electricity costs, mounting debts, and prolonged blackouts.

In recent years, several tertiary health institutions have faced disruptions linked to electricity shortages.

Earlier this year, the University College Hospital (UHC) in Ibadan grappled with a prolonged blackout after it was disconnected from the national grid due to unpaid electricity bills.

The months-long outage disrupted clinical services, affected medical training, and triggered protests by students and health workers. Resident doctors also cited the prolonged power crisis as one of the reasons for industrial action at the facility.

Hospital authorities said the disconnection stemmed from accumulated electricity debts running into billions of naira, highlighting the growing financial burden energy costs imposed on public health institutions. During the blackout, departments relied heavily on generators and emergency power sources to sustain critical services.

Concerns over energy costs are not limited to UCH Ibadan.

Last year, the management of a teaching hospital in Akwa Ibom State disclosed that electricity bills accounted for about 40 per cent of its internally generated revenue, highlighting the pressure rising energy costs place on healthcare institutions already facing funding constraints.

Against this backdrop, the federal government has in recent years turned to alternative energy solutions for health facilities.

In February 2025, it announced plans to transition hospitals nationwide to solar energy following prolonged power disruptions at UCH, Ibadan, which severely affected clinical services during a major blackout.

The plan, which formed part of the 2025 health sector energy strategy, was to be implemented through the Rural Electrification Agency (REA) as a long-term response to rising diesel costs and unstable grid supply.

Intensifying its efforts, government officials had also disclosed efforts to solarise 371 Primary Health Care Centres (PHCs) across 16 states and the Federal Capital Territory as part of ongoing reforms in the sector. This is also aimed at reducing dependence on the national grid and improving service continuity in critical care units, theatres and laboratories.

More recently, in January 2026, the government inaugurated a 24-member Inter-Agency Technical Committee under the NPHI to coordinate the implementation of healthcare electrification projects nationwide.