"I Can Confirm:" Big Boost For Electricity as Power Plant Worth $1.2bn Begins Operation in Nigeria

"I Can Confirm:" Big Boost For Electricity as Power Plant Worth $1.2bn Begins Operation in Nigeria

  • The Minister of Power, Adebayo Adelabu, has revealed that a new power plant is set to begin operation in Nigeria
  • The Minister said the $1.bn 700MW Zungeru Power Plant in Niger State is ready for operation
  • He said that engineers are working on evacuating the 700MW into the national grid

Pascal Oparada has over a decade of experience covering Tech, Energy, Stocks, Investments, and Economy.

The Minister of Power, Adebayo Adelabu, has revealed that the Zungeru hydropower plant is set to begin operation by November end.

During a journalist conversation, the Minister revealed this in Abuja on Wednesday, November 8, 2023.

Power Plant, Adelabu, Electicit
Minister of Power, Adebayo Adelabu confirms Zungeru power plant is ready Credit: Vithun Khamsong
Source: Getty Images

Tinubu approves operation of new power plant

The Nigerian government had said the $1.2 billion power plant built in Niger State would be ready for inauguration in the first quarter of 2023.

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But in a twist of events, the Minister revealed that the Zungeru hydropower is ready.

According to Adelabu, President Bola Tinubu has approved the operation of the plant by the end of November.

"Mr President has also approved the concession. So we will start operating Zungeru probably before the end of this month," Adelabu said.

Engineers working to evacuate power to the national grid

He revealed that the only thing left in the plant was to complete the evacuation infrastructure so that the 700MW could be evacuated into the transmission grid.

TheCable reports that the Minister stated that the structure and infrastructure can only evacuate about 300 megawatts, saying the plant is ready to add to Nigeria's power-generating capacity.

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Adelabu said.

"As it is today, the structure and infrastructure we have there can only evacuate about 300 megawatts, so Zungeru is ready as an addition to our power generating capacity. I can confirm that to you."

Tinubu stops tariff increase by DisCos

In an earlier report by Legit.ng, the Minister said President Tinubu halted moves by electricity distribution companies to hike tariffs and instead opted for subsidies in the power sector.

The Minister said the Nigerian government would probe the legality of the five-year license extension given to power distribution companies.

He announced that the companies' operating licenses expired on October 31, 2023.

Adelabu said he would sack any inactive and non-performing chief executive in the agency under the ministry if their actions affected his performance as a minister.

He revealed that the power industry is sensitive to any leader.

The Minister said Nigerians now pay about N70 per kilowatt hour, and it must be at least N130 or N140 at today's exchange rate if the country is to implement a cost-reflective tariff.

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He said part of the reason for the tariff increase is the gas price, which is paid in dollars.

Minister frowns at the appalling rate of power supply

According to the Minister, 75 to 80% of Nigeria's power comes from gas plants and reflects on tariffs immediately after gas prices rise. Per the Minister, 4,000 megawatts of power generation in Nigeria was disgraceful and unacceptable, and efforts are on to increase it.

He said he would fire non-performing officials based on President Tinubu's saying that ministers must perform or be fired.

Nigerians lament poor electricity supply despite power generation peaking at 4,735.1MW

Legit.ng reported that Power generation in Nigeria rose to 4,735.1 megawatts on Sunday, November 6, 2022, showing a 3% increase from 4,594.6MW recorded last week.

According to a report by the Nigeria Electricity System Operator, an organization under the Transmission Company of Nigeria (TCN). According to Vanguard, the body is responsible for operating the transmission system.

Even though power generation has experienced a slight improvement for most of 2022, it is still lower than the 5,000MW target by the Federal Government.

Source: Legit.ng

Authors:
Pascal Oparada avatar

Pascal Oparada (Business editor) Pascal Oparada is a Mass Communications Graduate from Yaba College of Technology with over 10 years of experience in journalism. He has worked in reputable media organizations such as Daily Independent, TheNiche newspaper, and the Nigerian Xpress. He is a 2018 PwC Media Excellence Award winner. Email:pascal.oparada@corp.legit.ng

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