Tbite
August 14th, 2007, 11:05 AM
NIPP Project Calabar to Generate 2744 Megawatts
Location: Calabar, South Eastern Nigeria
Capacity of Calabar Gas Turbine: 561 Megawatts
Total Capacity of Calabar NIPP: 2744 Megawatts
Combined Nigerian IPP Capacities: 3874 Megawatts
Contractors: Marubeni Corporation (Japan) & Gitto Group Nigeria
The Project will add 2744 Megawatts to the Local Grid.
Construction has already started.:)
THE Power Holding Company (PHCN) said the administration of President Olusegun Obasanjo according to the amount released for its operations in the last eight years was N521 billion ($4.07 billion).
Statement issued by the General Manager, Public Affairs of PHCN, Mrs. Efuru Igbo, on Monday said the amount, which represents government funding of two companies in the sector that is - PHCN/National Electric Power Authority (NEPA) and National Independent Power Project (NIPP) /Niger Delta Power Holding Company Plc (NDPHC) - were received from 1999 to date.
According Igbo, PHCN/NEPA received N264 billion ($2.06 billion) of the above amount while the balance of N257 billion ($2.01 billion) went to projects handled by NIPP/NDPHC Plc.
"In order to put the record straight, the actual amounts received by PHCN/NEPA and NIPP/NDPHC Plc are N264 billion ($2.06 billion) and N257 billion ($2.01 billion) respectively, which translates to a total of N521 billion ($4.07 billion)," she stated.
While acknowledging the fact that the last administration spent a lot of money in the sector when compared with the previous governments, the management of PHCN said the amount quoted in the newspaper editorials was not correct and misleading.
Igbo noted that before 1999 the power sector was in deplorable state due to poor funding and inadequate infrastructural development.
She said "for over 10 years, the sector did not witness substantial investments in infrastructure, while poor funding left existing infrastructure in a state of decay".
The PHCN spokesperson stressed that lack of maintenance and replacement of damaged equipment led to a wide gap between demand and supply, a situation she said brought generation down from installed capacity of about 5,600 Mega Watts (MW) to 1,750MW, as compared to a load demand of 6,000MW.
The general manager added that at that time, only 19 out of the 79 installed generating units in the nation's generation plants across the country were in operation.
Igbo said "in its determination to revamp the power sector, the Federal Government between 1999 and 2007 approved a total budgetary allocation of N396 billion ($3.1 billion) for PHCN (NEPA). To date, PHCN (NEPA) received the sum of N264 billion ($2.06 billion)."
She explained that out of the amount received, the sum of N126 billion ($986 million) was for the rehabilitation of six existing thermal and hydro power stations at Afam, Delta, Egbin, Kanji, Sapele and Shiroro, the construction of the following power stations: 150MW Delta, 414MW Geregu/Ajaokuta, 335MW Omotosho pointing out that the three have been completed and connected to the grid.
Igbo added that the 335MW Olorunsogo/Papalanto already commissioned by Obasanjo's administration is awaiting connection to the grid while the 230MW Omoku in Rivers State and 504MW Alaoji in Abia State are currently under construction.
According to her, PHCN/NEPA funded the construction of 276MW Afam Power Station at the cost of N22 billion (?130 million) from Internally Generated Revenue and not from government fund.
She explained further that the sum of N106 billion ($826 million) was for the reinforcement and construction of transmission lines and substations, which included among others the completed Abuja - Shiroro 330KV double circuit line and substations at Katampe and Central Area, Abuja, Owerri - Ahoada- Yenagoa 132KV line and substations, Kano - Dutse - Azare 132KV and associated sub-stations.
"Also, the sum of N25 billion ($192 million) was released for the reinforcement of distribution infrastructure including construction of sub-stations, procurement of transformers and meters, while the sum of N7 billion ($57 million) was for other operational expenditures," Igbo stated.
She stated further, that the Federal Government in collaboration with the states and local governments in 2005, embarked on the construction of new power stations under the National Integrated Power Projects (NIPP) of Niger Delta Power Holding Company Plc (NDPHC).
According to her, the power stations are 561MW Calabar, 338MW Egbema, 225MW Gbarain, 451MW Ihovbor/Eyaen, 451MW Sapele and 230MW Omoku, stressing that the NIPP project also involves the construction of transmission lines, associated substations and reinforcement of distribution infrastructure in which the sum of N257 billion ($2.01 billion) has so far been funded.
"It should be appreciated that power sector is capital intensive and have long gestation periods. The international bench mark price for the construction of a new 100MW power plant is $100 million (N12.8 billion)," Igbo stated.
Citing similar development in the sector by private operators, Igbo said Chevron Nigeria Limited and Shell Petroleum Development Company of Nigeria (SPDC) are currently constructing a 780MW power station at Agura, Lagos at a cost of $750 million (N96 billion) a 1000MW power station at Afam, Rivers State at a cost of $1 billion (N128 billion) respectively.
Further Information;
http://www.jel.com.sg/download/Bulletin/2007/JEL%20Bulletin%20May_2007.pdf
Location: Calabar, South Eastern Nigeria
Capacity of Calabar Gas Turbine: 561 Megawatts
Total Capacity of Calabar NIPP: 2744 Megawatts
Combined Nigerian IPP Capacities: 3874 Megawatts
Contractors: Marubeni Corporation (Japan) & Gitto Group Nigeria
The Project will add 2744 Megawatts to the Local Grid.
Construction has already started.:)
THE Power Holding Company (PHCN) said the administration of President Olusegun Obasanjo according to the amount released for its operations in the last eight years was N521 billion ($4.07 billion).
Statement issued by the General Manager, Public Affairs of PHCN, Mrs. Efuru Igbo, on Monday said the amount, which represents government funding of two companies in the sector that is - PHCN/National Electric Power Authority (NEPA) and National Independent Power Project (NIPP) /Niger Delta Power Holding Company Plc (NDPHC) - were received from 1999 to date.
According Igbo, PHCN/NEPA received N264 billion ($2.06 billion) of the above amount while the balance of N257 billion ($2.01 billion) went to projects handled by NIPP/NDPHC Plc.
"In order to put the record straight, the actual amounts received by PHCN/NEPA and NIPP/NDPHC Plc are N264 billion ($2.06 billion) and N257 billion ($2.01 billion) respectively, which translates to a total of N521 billion ($4.07 billion)," she stated.
While acknowledging the fact that the last administration spent a lot of money in the sector when compared with the previous governments, the management of PHCN said the amount quoted in the newspaper editorials was not correct and misleading.
Igbo noted that before 1999 the power sector was in deplorable state due to poor funding and inadequate infrastructural development.
She said "for over 10 years, the sector did not witness substantial investments in infrastructure, while poor funding left existing infrastructure in a state of decay".
The PHCN spokesperson stressed that lack of maintenance and replacement of damaged equipment led to a wide gap between demand and supply, a situation she said brought generation down from installed capacity of about 5,600 Mega Watts (MW) to 1,750MW, as compared to a load demand of 6,000MW.
The general manager added that at that time, only 19 out of the 79 installed generating units in the nation's generation plants across the country were in operation.
Igbo said "in its determination to revamp the power sector, the Federal Government between 1999 and 2007 approved a total budgetary allocation of N396 billion ($3.1 billion) for PHCN (NEPA). To date, PHCN (NEPA) received the sum of N264 billion ($2.06 billion)."
She explained that out of the amount received, the sum of N126 billion ($986 million) was for the rehabilitation of six existing thermal and hydro power stations at Afam, Delta, Egbin, Kanji, Sapele and Shiroro, the construction of the following power stations: 150MW Delta, 414MW Geregu/Ajaokuta, 335MW Omotosho pointing out that the three have been completed and connected to the grid.
Igbo added that the 335MW Olorunsogo/Papalanto already commissioned by Obasanjo's administration is awaiting connection to the grid while the 230MW Omoku in Rivers State and 504MW Alaoji in Abia State are currently under construction.
According to her, PHCN/NEPA funded the construction of 276MW Afam Power Station at the cost of N22 billion (?130 million) from Internally Generated Revenue and not from government fund.
She explained further that the sum of N106 billion ($826 million) was for the reinforcement and construction of transmission lines and substations, which included among others the completed Abuja - Shiroro 330KV double circuit line and substations at Katampe and Central Area, Abuja, Owerri - Ahoada- Yenagoa 132KV line and substations, Kano - Dutse - Azare 132KV and associated sub-stations.
"Also, the sum of N25 billion ($192 million) was released for the reinforcement of distribution infrastructure including construction of sub-stations, procurement of transformers and meters, while the sum of N7 billion ($57 million) was for other operational expenditures," Igbo stated.
She stated further, that the Federal Government in collaboration with the states and local governments in 2005, embarked on the construction of new power stations under the National Integrated Power Projects (NIPP) of Niger Delta Power Holding Company Plc (NDPHC).
According to her, the power stations are 561MW Calabar, 338MW Egbema, 225MW Gbarain, 451MW Ihovbor/Eyaen, 451MW Sapele and 230MW Omoku, stressing that the NIPP project also involves the construction of transmission lines, associated substations and reinforcement of distribution infrastructure in which the sum of N257 billion ($2.01 billion) has so far been funded.
"It should be appreciated that power sector is capital intensive and have long gestation periods. The international bench mark price for the construction of a new 100MW power plant is $100 million (N12.8 billion)," Igbo stated.
Citing similar development in the sector by private operators, Igbo said Chevron Nigeria Limited and Shell Petroleum Development Company of Nigeria (SPDC) are currently constructing a 780MW power station at Agura, Lagos at a cost of $750 million (N96 billion) a 1000MW power station at Afam, Rivers State at a cost of $1 billion (N128 billion) respectively.
Further Information;
http://www.jel.com.sg/download/Bulletin/2007/JEL%20Bulletin%20May_2007.pdf