The Federal Government of Nigeria, through the Niger Delta Power Holding Company (NDPHC), has announced the successful restoration of 450 megawatts (MW) of electricity generation capacity to the national grid. This achievement follows the completion of scheduled maintenance on the Geregu National Integrated Power Project (NIPP) plant located in Kogi State.
The maintenance, described as a four-week extended minor inspection, was carried out by Siemens Energy. Its primary objective was to enhance the reliability and operational efficiency of the power plant. The intervention also aimed to extend the plant’s Equivalent Operating Hours, thereby reinforcing one of Nigeria’s key strategic power generation assets.
NDPHC’s Broader Recovery Efforts
This restoration at Geregu is part of a larger initiative by NDPHC to revitalize previously inactive assets within its power generation fleet. According to Jennifer Adighije, the Managing Director/Chief Executive Officer of NDPHC, the company has been actively working to bring back online several gas turbines that had been idle for extended periods.
- Restored Gas Turbines: Over the past year, NDPHC has successfully restored six gas turbines that had been out of operation for several years. These include:
- GT4 at the Calabar NIPP
- GT1 at Omotosho II
- GT1 and GT2 at Benin NIPP
- GT4 at Sapele NIPP
- GT3 and GT4 at Alaoji NIPP (currently awaiting pre-commissioning pending resolution of gas supply issues)
The combined capacity of these restored units is approximately 875 MW, which will significantly boost NDPHC’s mechanically available capacity. This represents one of the most substantial single-year recoveries achieved by a power generation company in Nigeria in recent years.
Gbarain NIPP Restoration
In addition to the gas turbine recoveries, NDPHC has also commenced restoration work on the 225 MW Gbarain NIPP plant in Bayelsa State. This plant has been out of service since 2020. Adighije characterized this project as a crucial step towards reclaiming dormant national power assets. The rehabilitation of the Gbarain plant is expected to support NDPHC’s commercialization plans, which are focused on providing power to key industrial and commercial centers in the Niger Delta region.
Overcoming Challenges and Achieving Milestones
Despite facing ongoing challenges such as gas supply shortages, grid instability, and liquidity constraints within the power sector, NDPHC reports that it has made significant operational and financial progress.
Recovery of Abandoned Containers: The company successfully recovered 110 containers containing critical turbine parts and Heat Recovery Steam Generator components. These containers had been abandoned at Onne Port for over nine years.
Light Up Nigeria Project: NDPHC has initiated the Light Up Nigeria project, targeting the Agbara industrial cluster. This project aims to deliver a stable and reliable electricity supply to the Agbara Industrial Estate.
Embedded Solar Plant: The company is developing a 10 MW embedded solar power plant for an industrial zone in Kano.
Transmission and Distribution Projects: NDPHC has completed key transmission and distribution projects in Borno and Delta States.
Afam–Ikot Ekpene 330kV Line: The long-delayed Afam–Ikot Ekpene 330kV double-circuit line, a critical grid expansion project, has been completed.
Financial Recoveries: NDPHC has recovered over $10 million in legacy debts from bilateral customers and secured $15 million in insurance claims related to a fire incident at the Alaoji power plant. The company is also collaborating with the Nigerian Electricity Regulatory Commission (NERC) to establish mechanisms for recovering its investments in the Transmission Company of Nigeria’s (TCN) infrastructure.
Gas Supply Agreement Amendment: NDPHC has resolved long-standing commercial disputes with ACCUGAS, leading to an amendment of the gas supply agreement. This amendment is expected to reduce the Federal Government’s financial exposure.
Internal Reforms and Staff Welfare
Beyond infrastructure development and financial recoveries, NDPHC has implemented internal reforms aimed at enhancing accountability and improving staff welfare. These reforms include:
Procurement Benchmarking Desk: Establishment of a procurement benchmarking desk to streamline procurement processes.
Computer-Based Testing: Implementation of computer-based testing for performance evaluation.
Management Support Allowance: Introduction of a management support allowance to mitigate the impact of fuel subsidy removal on employees.
Commitment to Sustainable Electricity Supply
Adighije reaffirmed NDPHC’s commitment to its long-term mandate, emphasizing the company’s dedication to restoring dormant capacity, stabilizing operations, and supporting Nigeria’s objective of establishing a more reliable and sustainable electricity supply chain. She added that the management will continue to prioritize transparency, accountability, and stakeholder engagement as it strives to achieve universal access to electricity, powering businesses and households across the country.
NDPHC, established in 2005, serves as the special-purpose vehicle responsible for managing Nigeria’s National Integrated Power Project. The company was created to accelerate the development of power infrastructure in the country. However, many NIPP plants have faced challenges such as gas shortages, delays in transmission projects, and liquidity issues within the electricity market, leading to underutilization. The recent restoration efforts represent a renewed and intensified drive by NDPHC to address these challenges and maximize the potential of its power generation assets.
