Following the refusal of gas companies to supply gas to power- generating companies due to the huge debts owed to them, the Federal Government yesterday, directed the Nigerian Bulk Electricity Trading Plc (NBET) to enter into fast-track negotiation with Agip Oil (NAOC) on an interim energy sales agreement with a view to bringing the new Okpai Il Power Plant on the grid.
This, according to the government, would contribute additional 400MW of power.
In a statement, the Minister of Power, Abubakar Aliyu, said that the “pigging” of the gas pipeline supplying gas to the Odukpani Power Plant was scheduled for completion on March 21, 2022, thus ramping up generation by about 400MW.
It reads in part, “In order to optimise the capacity utilisation of the power plants owned by the Niger Delta Power Holding Company Ltd (NDPHC), the Nigerian Electricity Regulatory Commission (NERC) has approved a special gas pricing for emergency contracting of gas from the Nigerian Gas Marketing Company Limited.
“We expect an on-grid improvement of about 800MW generation capacity from the NDPHC plants.
“In the medium-term, we have agreed with NGPIC (a subsidiary of Nigerian National Petroleum Corporation) on the framework for the overhaul of the Okoloma Gas Processing Plant thereby restoring the full capacity of the 650MW Afam VI combined cycle power plant.
“While the recent spate of system collapse is regrettable, it was a direct consequence of a snap on a 330kV transmission line. The mitigation measures for avoiding such incidence of blackouts are being implemented through several interventions including the Presidential Power Initiative.
