FG To Complete Sale Of Calabar NIPP Power Plant

In Breaking News, Business & Economy, National News, Reports

By CrossRiverWatch Admin

The federal government says the Calabar electricity generation company (Genco) built by the Niger Delta Power Holding Company (NDPHC) under its National Integrated Power Project will soon be sold to private investors in continuation of the 2013 privatization bid which was suspended.

The Managing Director of the NDPHC, Mr. Chinedu Ugbo disclosed this in an interview at the weekend in Abuja where he said the resumption of the privatization processes of the 634 megawatts (MW) plant in Calabar and the 1,076MW combined cycle in Alaoji as well as the 506MW plant in Geregu have been approved by the government.

The plant is located at Ekemkpo community in Odukpani local government area, less than 20 kilometers away from Calabar, the Cross River State capital.

And, THISDAY quotes Ugbo as saying the challenges that faced the company had been resolved with the preferred bidders still very interested as well with the market risks associated with the sector currently being addressed.

He said: “This privatization process started in 2012 and moved to 2013 with the emergence of the preferred bidders. At that time it was a mix of market issues and internal issues that had to do with gas supply, completion of the power plants and evacuation.

“Alaoji and Calabar had no evacuation facilities; the plants on the west side of Delta, from Sapele, Benin had gas supply problems. Shortly before I came in, the company got approval that once we finish resolving the issue of a particular plant we should go ahead and sell the plant.

“So, we were able to rush and finish the Ikot-Ekpene switching station and the transmission line to Calabar and the transmission line to Alaoji, as both of them come to Ikot-Ekpene where the power is sent to Ugwuaji and from there to the rest of the grid.

“So, that resolved the transmission challenge for Calabar and Alaoji. Total has finished the dedicated pipeline to Alaoji power plant and they have started supplying gas to the plant. Alaoji and Calabar both have gas evacuation facilities. We got approval for Calabar to be privatized; Alaoji was not included because it was under litigation. But the issue has been handled and Alaoji is back.”

Mr. ugbo noted that the NDPHC was working with the Bureau of Public Enterprises and the National Council on Privatization to conclude the process and lamented that the NIPP plants in operation were selling power to the national grid at a discounted rate of (NGN18 and NGN23 for other Gencos) and were not allowed to claim capacity payments.

Since You Are Here, Support Good Journalism

CrossRiverWatch was founded on the ideals of deploying tech tools to report in an ethical manner, news, views and analysis with a narrative that ensures transparency in governance, a good society and an accountable democracy.

Everyone appreciates good journalism but it costs a lot of money. Nonetheless, it cannot be sacrificed on the altar of news commercialisation.

Consider making a modest contribution to support CrossRiverWatch's journalism of credibility and integrity in order to ensure that all have continuous free access to our noble endeavor.


New Feature: Don't miss any of our news again.Get all our articles in your facebook chat box.Click the Facebook Messenger Icon below to subscribe now

Text Advert by CRWatch :Place Yours

Will You To Learn How To Make Millions Of Naira Making Special Creams From Your Kitchen?.Click Here

Expose Your Business And Make More Sales. Advertise On CrossRiverWatch.com Today

You may also read!

Updated: Cross River Co-Governor, Frank Ayade’s In-Law In EFCC Net Over Multiple Withdrawal, Chief Of Staff Struggles For His Release

By CrossRiverWatch Admin Our newsroom has confirmed that Mr. Kenneth Ishamali, aka Abacha, in-law to Cross River Co-Governor, Dr. Frank


TechShack Opens Entry For Calabar Coding Class 2

By Archibong Jeremiah TechShack has concluded plan to hold second edition of Calabar Coding Class. Coordinator of the hub,


Document: Supreme Court Judgement On Stephen Odey Vs Chief John Alaga, Jarigbe Agom And INEC

By Archibong Jeremiah CrossRiverWatch has obtained the Supreme Court judgement delivered by Tijjani Abubakar, JSC on Thursday 25th February,


Leave a reply:

Your email address will not be published.

Mobile Sliding Menu

Share this now