FG Approves Concession of Five Hydropower Dams
The Federal Executive Council (FEC) has approved over five key power projects to improve electricity supply and distribution in the country, Communication Adviser to the Minister of Power, Work and Housing, Hakeem Bello, said yesterday.
Bello said FEC approved distribution expansion programme to off-take part of the stranded 2,000 megawatts (MW) to provide dedicated power.
Final payment for the completion of Afam 240MW Power Plant in Rivers State was also approved.
Apart from approval for construction of dedicated solar power system for the ministry in Mabushi to facilitate clean and renewable energy, Bello stated that the concession of five hydro dams to facilitate electricity in rural and agrarian communities had been approved.
To him, chief among the approvals, received over the last two FEC meetings from memos presented by the minister, Babatunde Fashola, is the Aso Villa, which will benefit from the Eligible Customer Policy as FEC approved a Distribution Expansion Programme to off-take part of the stranded 2,000MW to provide dedicated power to the Villa.
The Eligible Customer Regulation, issued by the Nigerian Electricity Regulatory Commission (NERC) in 2017, permits electricity customers to buy power directly from the generation companies in line with the provisions of Section 27 of the Electric Power Sector Reform Act 2005.
The approval by for the concessioning of the five hydro dams was sequel to the recommendation of the ministry and its water resources counterpart that six hydro power resources be concessioned to private sector investors to increase the nation’s power supply by 16.49MW to cater for rural communities.
The five small and medium hydro power plants to be concessioned include the 6MW Ikere Gorge Dam in Ekiti State to be concessioned to Messrs Power Control and Appliances Limited, the 2MW Omi-Kampe Dam in Kogi State to be concessioned to Messrs Quaint Power and Infrastructure Nigeria Limited, the 300KW Zobe Dam and 4MW Jibiya Dam in Katsina State to be concessioned to Messrs Pan-African Global Infrastructure, and the 3MW Bakolori Dam in Zamfara State to be concessioned also to Messrs Pan-African Global Infrastructure.
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