• Sunday, July 21, 2024
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Heritage Bank finances 8.5MW power project in Lagos

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The management of Heritage Bank has announced that the recently completed Peninsula Independent Power Project (PIPP) financed by the bank, and will be commissioned in March.

The project is in fulfilment of the bank’s commitment in the provision of a strong backbone for capital intensive projects in the state.

It is also a reaffirmation of its growing stature as an emerging national bank with strong passion for financing alternative solutions in the nation’s power and other sectors.

Available data show that, as of today, the power requirement of Lagos is estimated at about 10,000MW – 12,000MW. This is in sharp contrast to the less than 1,000MW available from the national grid.

This situation prompted the Lagos State government to resort to alternative power projects.

The Peninsula Independent Power project, located in the Lekki Peninsula area of the state, is a public private partnership (PPP) between Lagos State government and Peninsula Integrated Power Limited, which seeks to provide alternative solutions to the inconsistent power supply from the national grid.

Ifie Sekibo, managing director/CEO of Heritage Bank, said the bank was proud to be part of the project conjectured by the Lagos State government to provide power supply for businesses and industries around Lekki Peninsula.

He said the bank’s involvement in the project was borne out of its business objective of continuously offering ingenious financial support and advisory services on investment, project finance, business expansion, modernisation, production process and capacity improvement and restructurings that would create multiple economic advantages for the benefits of vast majority of its stakeholders.

According to him, “the project finance facility granted to the Peninsula Independent Power Project was to set up an 8.5 megawatts captive power generating plant with a 22km distribution network which has the potential of upgrading to a 25MW power generating plant that will run on Compressed Natural Gas (CNG). The Peninsula Integrated Power Project (PIPP) will provide power for the Lagos State government water works and public lighting within Lekki, Victoria Island and Ikoyi.”

Facilities to be connected to the Peninsula Integrated Power Project include: Lekki Phase 1 Waterworks, Ligali Ayorinde Waterworks, Victoria Island, Saka Tinubu Waterworks, three boreholes located at Adeola Odeku Street, Victoria Island, and Alexander Road Waterworks Ikoyi.

Others include 10km of new public lighting within Lekki Phase 1, 15km of new public lighting within Victoria Island and Lekki-Ikoyi bridge.

He said that with the recent acquisition of Enterprise Bank, Heritage Bank was set to play more active role in sustainable economic initiatives as well as the CBN’s efforts to promote financial inclusion and all national banking operational standards.

The official commissioning of the project will be performed by Governor of Lagos State, Babatunde Fashola, in March.