Nigeria’s NNPC unveils $15 billion power plants construction programme

March 21, 2017 | Company Operations, Nigeria

Abuja, Nigeria |  – The Nigeria National Petroleum Corporation (NNPC) on Monday unveiled a power plant construction programme that will all but double Nigeria’s power generation capacity over the next 10 years.

According to NNPC’s chief operating officer tasked with overseeing gas and power, Saidu Mohammed, the company aims to add 4 GW to the country’s current power generation capacity of some 3.8 GW.

The programme, which is expected to require USD 15 billion in investment, is projected to commence within three years. The so-called Incorporated Joint Venture Companies are expected to lead the effort, with partnerships to be modelled on the Nigeria Liquefied Natural Gas entity structure.

Mohammed also said the construction drive would be accompanied by an expansion of Nigeria’s gas pipeline network, such as the Ajaokuta to Abuja-Kaduna-Kano (AKK) project.

“The main base-loads to justify such infrastructure are power plants that would consume the gas and for that, we are planning to build about 2,000 to 3,100 megawatts plants, combined, in these three cities,” he pointed out.

“Power generation is a big business. As at today, NNPC has interest in two power plants located in Okpai, Delta State and Afam in Rivers State, which were built by our Joint Ventures with Nigerian Agip Oil Company (NAOC), and Shell Petroleum Development Company (SPDC) respectively,” Mohammed added.