• Friday, April 26, 2024
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Why Nigerians are yet to feel impact of expansion of 1000mw Okpai Power Plant

Okpai Power Plant

The multi billion naira Okpai Power Plant is yet to realise its full potentials even after upgrading its capacity from 480 megawatts (mw) to 1000mw. But the effect of this upgrade is yet to be felt by Nigerians that are daily yearnings for improvement in electricity supply.

This is because the plant, jointly owned by Nigerian National Petroleum Corporation (NNPC) and  Nigerian  Agip  Nigeria Oil Company (NAOC),  has  been unable  to sign any  power  purchase  agreement (PPA) with Nigerian Electricity Bulk Trader  (NBET), which  would have been able to encourage the evacuation of the power through  the Transmission Company of Nigeria (TCN) to distribution companies.

Other reasons the operators of the plant may not be pushing aggressively for the PPA, an industry says, may be because of grid inadequacies and the fear that distribution companies are rejecting power.

However, some industry analysts believe that generation capacity is more than sufficient. According to them, there are up to 6000mw capacity from plants constructed by international oil companies ( IOCs) that are locked down and unable to be generated, sadly because of inadequacy of the grid system and lack of buyers.

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The nation has 13,000mw installed generating capacity, with capacity for transmission of 7000mw, but currently distributes only 3000mw.

To support the provision of power supply in the country, the Independent Power Plant (IPP) Okpai Phase II project was initiated by the Nigerian Agip Oil Company (NAOC) to increase the plant’s existing power generating capacity of 480mw by a further 450mw to provide a total 930mw output into the Nigerian power supply grid.

The additional power generation is provided by means of a combined cycle gas turbine plant with two gas turbine generators and one steam turbine generator located 60km Southwest from Onitsha in Anambra State, close to the River Niger.