Electricity: FG completes 105 power projects, adding 6,216MVA to national grid – Minister

…as senate probes bid to concession Zungeru power plant

By Hauwa Ali and Fatima Saka

The Minister of Power, Abubakar Aliyu, has disclosed that the Federal Government has completed total of 105 Power Transformer projects between 2015  to 2022, adding a capacity of 6,216MVA to the national grid.

The minister disclosed this on Tuesday in Abuja at the 11th edition of the President Muhammadu Buhari (PMB) ‘Scorecard Series (2015-2023)’.

The event was  organised by the Ministry of Information and Culture to showcase the achievements of the Buhari Administration.

According to Aliyu, 73 of the power transformers  installed by the Transmission Company of Nigeria (TCN) engineers in substations across the nation.

The minister said the feat had changed the narrative of the power sector from consumption spending (on subsidies) to real infrastructure spending.

He listed some of the completed Power Transformer/Substation projects to include: The 150MVA 330/132kV Interbus Power Transformer at Ughelli, Delta IV Transmission Substation and the 150MVA 330/132kV Power Transformer at Ayade Transmission Substation

Others were the 2x150MVA 330/132/33kV Substation at Lafia, Nasarawa State, and the 2x60MVA 132/33kV Dawaki/Gwarinpa Substation recently completed in November 2022 under the Abuja Feeding Scheme.

The projects also included the 2x60MVA 132/33kV Gagarawa Substation, 2x60MVA 132/33kV Substation at Adiabor, 2x30MVA 132/33kV Yelwa Yauri the1x30MVA 132/33kV Ilashe Substation and the 1x40MVA 132/33kV Substation at Bichi, Kano State among others.

According to the minister, a number of substations and bay extensions were nearing completion and expected to be inaugurated by the First and Second Quarter of 2023.

He said a total of 900km of reconductoring and construction of new transmission lines were completed during the period 2015 – 2022.

Some of the key lines, according to him, included  reconductoring of 140km 132kV Birnin- Kebbi to Sokoto transmission line (April 2021) and completion of 330kV Aloji – Ikot Ikot Ekpene transmission line.

Others were the 132kV Ihovbor – Okada transmission line, completion of 330KV Gombe – Damaturu transmission line, among others.

The minister said some transmission line projects nearing completion and expected to be inaugurated by Q1  and Q2 of 2023 included the Kaduna – Jos Double Circuit Transmission Line and  Benin – Ajaokuta 330kV Single Circuit.

Meanwhile, the President of the Senate, Ahmad Lawan revealed reasons why the Senate decided to organize an investigative hearing on the ongoing bid to concession the Zungeru Hydroelectric Power Plant(ZHPP) located in Niger State.

The investigative hearing which was held on Tuesday in Abuja, organized by the Senate Committee on Power in line with the resolution adopted by the Senate at its Plenary Sitting of Wednesday 23rd November, 2022.

Declaring the event open, Lawan explained that the thrust of the motion, sponsored by the chairman of the committee, Senator Gabriel Suswan was to request the Senate to invoke its oversight constitutional responsibility to avert the transfer of unresolved liabilities and future third -party claims to Government.

The motion, he said, was also to ensure that the proposed concession of the  Zungeru Hydroelectric Power Plant (ZHPP) was conducted on a ‘value for money criteria’ bearing in mind huge external loans and annual budgetary releases expended on its construction.

“I am glad to note that the Committee has extended an invitation to all concerned stakeholders to come forward with their inputs, observations and contributions to the work of the Committee in carrying out its mandate.

“The concerns of the Senate which culminated into this investigative hearing must be seen by all well-meaning Nigerians from the context of the Government’s recent experience with the privatization of power assets in Nigeria which has continued to attract public outcry and criticism.

“It is noteworthy that while a segment of the public has applauded the modest gains of the privatization of government -owned power assets in Nigeria, mounting challenges that emerged after the exercise have made many questioned the credibility of the process that produced the successor companies and the viability of such companies hence the need for extreme caution in the concessioning  of the remaining  government -owned power assets including the ZHPP. 

“The precarious condition of the Nigerian power sector is indeed puzzling considering relentless investments and special interventions made by successive administrations to change the fortunes of the sector for the better.

“Available data indicates that between 2015 and 2022 alone, the Nigerian national grid collapsed 98 times. This immediately brings to question whether the power to be generated from the ZHPP upon commencement of operation will be successfully and fully evacuated and if not, what will be the implication on the capacity of the Concessionaire to meet its obligations under the Concession Agreement being contemplated. 

“Failure to address such issues in the past have put Government in an unenviable position where billions of Naira are currently being paid to service contractual obligations that should have been avoided by Government if proper due diligence and consultation was done by relevant MDAs.

“It is therefore,  expected that in the course of this investigative hearing, concerned stakeholders invited by the Committee will take advantage of this avenue to answer the above posers and many more as may be directed at them by the chairman and members of the Committee towards reaching informed recommendations that will form the final decision of the Senate at Plenary regarding the bid to concession the ZHPP.

“Before I conclude, I wish to state here that while the Senate recognizes the respective statutory roles of the Infrastructure Concession Regulatory Commission (ICRC), the National Council on Privatization and its Secretariat, the Bureau of Public Enterprises(BPE) and other MDAs involved in the proposed concession of the ZHPP, the Senate has a higher constitutional responsibility to carry out this investigative hearing to expose any semblance of  corruption, inefficiency and waste as envisaged by sections 88 and 89 , 1999 Constitution.

“You must therefore, take this investigative hearing seriously as its outcome would determine the final position of the Senate on the proposed concession of the ZHPP,” Lawan said.

In his opening remarks, the Chairman of the committee, Senator Gabriel Suswan said the hearing afforded key players in the proposed concession on the ZHPP, the opportunity to shed light on the many questions that have trailed the concessioning process since was made public.