Egbin Power Plc has unveiled plans to invest $1.2 billion (N432 billion) for the construction of 1,575 Mega Watts in Nigeria.The plant which is expected to be completed by 2020, is expected to increase the supply of electricity to homes and businesses in the country,
According to the Managing Director and Chief Executive Officer, Egbin Power Plant, Dallas Peavey, the environmental assessment for the proposed plant has been completed. “We are beginning the preliminary engineering for the design and we have already secured the land.
Speaking during the during the visit of United States Ambassador to Nigeria and some Congressmen to the premises of the company, Peavey stated: “We want to double the capacity by 2020, which we have started talking to international organizations to help with that. We are talking to our partners that will work with us to achieve that. We are looking at around $1.2 billion investment to achieve this.”
He listed some of the challenges facing the company to include the nonpayment of proceeds of power sales, which reached N125 billion as at August 1, 2017, and over 700MWs of idle power generation available to supply Lagos-and Nigeria
He said that at the time of takeover of Egbin Power, the power plant was operating at less than 30 per cent capacity and Unit-06 had not been operational for over 10 years.
Peavey noted that despite the extensive regulatory challenges, KERL have successfully moved the plant to original generation levels and operate the assets based upon international standard position, investing substantially (over $400 million) in the plant since take over.
He said that the Egbin Power Plant is now operating at over 88 per cent with Unit-06 returned to full original operational service.Peavey said that with the successful restoration of Unit-06 and the overhauling of the units halfway complete, there has been an increase of over 70 per cent in the generation and a significant reduction in unscheduled shut-downs reduced unit forced outage occurrences, and improvement to original installation Unit efficiency.
He said Egbin Power needs current availability to generate 1,320-MW with gas availability. “With the completion of the remaining Unit Overhauls, Egbin will be operating at a minimum of 95 per cent of its capacity for Nigeria.”
In his comment, a Director at Egbin and Chairman of Sahara Group, Mr. Tonye Cole, stated: “The privatization that happened in Nigeria is first of its kind in Africa. Everyone knows that when Nigeria succeeds, others will. This is the reason we have put so much efforts so that it does not fail.
“We have had a lot of discussions with people engaged in power, and the most important thing for the power sector in Nigeria has to do with the policies, advocacy and making sure that all that are in place make sure that investment growth. So there is a lot that we need to do as far as working out investment and making it happen.