Nigeria’s federal government plans to find strategic investors who will purchase 80% stakes in 10 thermal power stations spread across the country, many of these built under the National Integrated Power Project (NIPP). The sale, which is in line with the objectives of Niger Delta Power Holding Company (NDPHC) a special purpose firm owned by the three tiers of Nigerian government, will see the prospective investors bidding for the purchase of the 80% stakes in these power stations.
The NIPP was conceived in 2004 as a fast-track government funded initiative to stabilise Nigeria’s electricity supply system while the Electric Power Sector Reform Act (EPSRA) of 2005 took effect. The NIPP was originally designed around seven medium sized gas fired power stations in the gas producing states, and the critical transmission infrastructure needed to evacuate the added power into the national grid.
The NDPHC says that prospective investors must be encompass an experienced power generation company, a company that owns and/or operates utility size power plants, while in the case of a consortium at least one of the consortium members must be an experienced power generation company (the technical partner). The technical partner shall be responsible for providing operation, maintenance and management services under a long term agreement.
The 10 generation companies for which bidding is invited are; Alaoji Generation Company Limited-situated near Aba in Abia state with installed capacity of 831.3 MW, Benin Generation Company Limited with installed capacity of 507.6 MW, Calabar Generation Company Limited with installed capacity of 634 MW, Egbema Generation Company Limited near Owerri in Imo State with installed capacity of 380.7 MW, Gbarain Generation Company Limited near Yenagoa in Bayelsa State with installed capacity of 253.8 MW; Geregu Generation Company situated in Ajaokuta in Kogi State with installed capacity of 506.1 MW; Ogorode Generation Company Limited Sapele, Delta State with installed capacity of 507.6 MW; Olorunsogo Generation Company Limited situated in Ogun State with installed capacity of 754 MW; Omoku Generation Company Limited Port Harcourth, Rivers State with installed capacity of 264.71 MW; and Omotosho Generation Company Limited in Ondo State with installed capacity of 512.82 MW. NDPHC says prospective bidders should register their interest by completing requisite forms online www.nipptransaction.com, or submit to its Abuja office on or before June 28, 2013.
