Nigeria's Power Play: A $1.15 Billion Bid to Electrify the Future

(Minister of Power, Adebayo Adelabu)

 Pursuing a transformative shift in Nigeria's energy landscape, the nation stands on the precipice of a historic transaction—the sale of five pivotal power plants, poised to inject a staggering $1.15 billion into the economy. This strategic sale is not merely a transaction but a cornerstone of the government's ambitious blueprint to revitalize the energy sector, enhance operational efficiency, and magnetize private capital.

The conclusion of the bidding process heralds a pivotal juncture in Nigeria's quest to remedy the persistent power deficits that have long shackled its economic potential. Adebayo Adelabu, the Minister of Power, has confirmed the culmination of the bidding process, with a comprehensive report now resting in the hands of the National Council of Privatisation (NCP). The council, chaired by the astute Kashim Shettima, Nigeria’s Vice President, is poised to unveil the preferred bidders in a forthcoming session.

While speaking at a recent power conference, Minister Adelabu articulated the government's vision thus:

"The forthcoming NCP assembly will be the stage where we unveil the architects of our energized future," he declared."

"These assets are more than mere revenue generators for our governmental tiers; they are the catalysts for heightened efficiency within our power corridors."-Adebayo

The quintet of power plants at the epicenter of this deal includes the 434-megawatt Geregu II gas-fired colossus in Kogi, the 451MW Omotosho II in Ondo, and the 750MW Olorunsogo II in Ogun State. 

Complementing this trio are the 563MW Odukpami powerhouse in Calabar, Cross River State, and the 451MW Benin-Ihovbor plant in Edo State.

The financial contours of the deal sketch a picture of strategic investment: the Benin-Ihovbor plant, boasting five power-generating turbines, commands a price tag of $420 million. The Calabar Odukpami plant is valued at approximately $260 million, while the Geregu plant's four turbines have set the bar at $215 million. the Omotosho plant, with its quartet of turbines, is on the block for an estimated $85 million; the Olorunsogo National Integrated Power Project (NIPP), also housing four turbines, rounds out the offering at $170 million.

Kashim Shettima

As Nigeria stands at the threshold of this monumental energy overhaul, the world watches the nation's commitment to a brighter, electrified future.

By Ruth Macaulay