• Thursday, February 22, 2024
businessday logo

BusinessDay

FG Endorses Transcorp Power as bidder for Abuja DisCo

FG Endorses Transcorp Power as bidder for Abuja DisCo

Yemi Osinbajo, Vice President of Nigeria, on Tuesday at the commissioning of the Afam three-fast power plant, Oyigbo Local Government Area (LGA) of Rivers State, said Transcorp Power is the chosen bidder for the Abuja Electricity Distribution Company (AEDC).

According to him, the decision was given by the National Council on Privatisation (NCP), noting that it is a historic development in the country’s power sector.

“A major breakthrough of our privatisation process, which of course, as you know, started in 2005-2006, was and has been inadequate of private investments and real cash injections,” said Osinbajo.

Read also: Oyetola accepts Supreme Court verdict, congratulates Adeleke

“From the time we started, indigenous firms such as Transcorp Power and Heirs Holding have been making significant investments such as this 100 percent acquisition of installed capacity Afam Power Plc and Afam Three Fast Power Limited, jointly referred to as Afam GenCo. The acquisition cost, I am sure you have heard already, is N105.3 trillion.

According to the vice president, “Only yesterday, the National Council on Privatization (NCP) formally delisted Transcorp Power Plc, formerly known as Ughelli Power Plc, from routine monitoring and evaluation by the BPE, indicating yet another successful power investment.”

“I can say the last few days belong to Transcorp Power because, at the meeting of the National Council on Privatisation (NCP), the council approved Transcorp Power Consortium as the preferred bidder of the acquisition of the Abuja Distribution Company.”

In total, there are three mobile gas turbines newly installed at the Afam 3 power plants with a power generating capacity of 240 megawatts.