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Anambra gets $2.5bn 1500mw power plant under Power Africa Initiative

By BusinessNews Staff on July 30, 2014

Nigeria’s formal agreement to work with the government of the United States (US) to increase access to and availability of electricity in Nigeria through the US-backed Power Africa initiative will bequeath to Anambra State, a brand new 1500 megawatts (MW) thermal power plant.

The new thermal power project, to be built at the cost of $2.5 billion by international power firm, Global Edison Corporation, which is to be sited in Anambra State will expectedly take gas for its fuel from the gas rich eastern supply axis.

Senior Vice President for Africa of Global Edison Corporation, Peter Nwangwu disclosed at a recent signing of a Memorandum of Understanding (MoU) with the federal government in Abuja power to be generated from the plant when completed will however be transmitted into Nigeria’s national grid, .

The project which is coming on the framework of the US government backed Power Africa initiative that was launched last year in Cape Town, South Africa by US President, Barack Obama, will however be fully funded by Global Edison Corporation even though the company is part of beneficiaries of the initiative.

It was activated alongside with Nigeria’s formal signing of a MoU with the US to formally activate the Power Africa initiative which hopes to double the number of people with access to power in Sub-Saharan Africa, starting with six countries including Nigeria.

The MoU, which was signed by the Minister of Power, Prof. Chinedu Nebo on behalf of the federal government and US Ambassador to Nigeria, James Entwistle for the US government in Abuja now proffers a framework to coordinate the implementation and support of institutional reforms, privatisation and regulation of Nigeria’s power sector within the Power Africa initiative.

Through Power Africa, African governments, private sector and other development partners such as the World Bank and African Development Bank (AfDB) are expected to improve their power generation by 10,000 megawatts (MW), by unlocking the substantial wind, solar, hydropower, natural gas, and geothermal resources in the region.

The initiative was primed to further enhance energy security, decrease poverty and advance economic growth by building up clean, efficient electricity generation capacity as well as expanding mini-grid and off-grid solutions.

While speaking on the MoU that was signed by his company and the ministry of power, Nwangwu stated that in addition to the 1500Mw gas power plant, the company will also build a 70MW solar panel manufacturing plant in the country.

He said that: “There are two MoUs that were signed today with Global Edison, the first one is the one that we are building a 1500MW gas fuelled power station in Anambra.

The second MoU is that which we are building a 70MW solar panel manufacturing plant in Nigeria and this will be the largest in West Africa.”

“The significance of this is that we will be able to now power our rural areas and villages with reliable solar panels that will last for 30 to 50 years; imported panels have given solar energy bad names across the world but when properly designed and installed, they can be almost maintenance frees for 20 to 30 years and that is what we intend to achieve here,” Nwangwu added.

[This Day]

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