• Thursday, December 07, 2023
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NDPHC signs pact to strengthen electricity distribution to APL Electric, Eko Disco

Mr President, fight for power

Niger Delta Power Holding Company (NDPHC) following the epileptic power supply currently experienced across the country has signed power purchase agreement (PPA) to strengthen electricity distribution to customers under APL Electric Company Limited and Eko Electricity Distribution Company.

The Managing Director of NDPHC, Chiedu Ugbo signed the PPA with Patrick Umeh, Managing Director, APL Electric Company Limited (APLE), the electricity distribution company with franchise to service Aba and its environment in Abia State to deliver 100MW of electricity to the distribution company.

The agreement with APLE Company will see NDPHC delivering 100MW of electricity to the 12th distribution company through its Alaoji Power Plant in Abia State through a dedicated pillar.

Similarly, it signed a PPA with Eko Electricity Distribution Company (EKEDC) for the direct supply of electricity.

The pact, which took immediate effect, will ensure adequate electricity supply to manufacturing companies in Agbara, higher institutions within the EKEDC franchise area and other existing customers.

In the second agreement, NDPHC will deliver about 200MW of electricity directly to EKEDC also through Alaoji.

Read also: Global Electricity grew by over 6% in 2021, largest since 2010

NDPHC, with over 3,000MW of electricity has only been able to take about 800MW, due to various constraints including transmission, distribution and shortage of gas.

Speaking during the signing of the agreement, Ugbo noted that Aba before the agreement was getting a maximum of 60MW of electricity from the national grid “but now, APLE will be served directly from NDPHC’s Alaoji Generation Company Limited in Abia State through a dedicated pillar.

“To ensure that homes and business premises gain access to much needed electricity, Niger Delta Power Holding Company (NDPHC) Limited pioneered the bilateral and eligible contracting programme to ensure improved utilization and offtake of NIPP power plants despite the grid/network challenges that have seen many power plant capacities stranded in the country,” he said.

In her remark, the Executive Director, Corporate Services of NDPHC, Nkechi Mba said “this power purchase agreement has the potential to unlock more of the enterprises in our people. With adequate supply of electricity, micro, medium and large-scale businesses will be able to produce to their maximum capacity and expand while foreign investments begin to pour in.

“We at NDPHC are proud of this strategic partnership with APLE at this threshold of history. It is universally acknowledged that Igbo people are great entrepreneurs and businesspeople, and Aba is one the most important centres of MSMES in Africa.

“It will also position Nigeria at the vantage point of getting maximum benefits from the African Continental Free Trade Agreement.”

The groups also disclosed plans to immediately provide metres in every premise and so eliminate the estimated billing system.