EKEDC, firm partner on 30MW embedded IPP Worth $50m
The Eko Electricity Distribution Company (EKEDC), and Elektron Energy have unveiled a 30 megawatts embedded Independent Power Plant (IPP) worth $50m, to boost electricity supply within Victoria Island, Lagos.
The IPP, planned to supply uninterruptible electricity through dedicated 33KV and 11KV distribution networks exclusively to identified customers, is expected to serve businesses and residents in Victoria Island with improved electricity.
Speaking at the inaugural ceremony for the power plant in Victoria Island, the Chairman of EKEDC, Oritsedere Otubu, said the need to deliver optimal power supply to Lagosians triggered the conversations on the project as far back as 2015, when Eko Disco pioneered the discussions on embedded generation.
Otubu said currently, the industry still records about 4,000MW as its peak generation, which according to studies was not enough to service Lagos State, with estimated population of over 27 million people.
He said: “These real issues contributed to the discussions that culminated into the project.
“The project effectively took off with the invitation of tenders from prospective bidders and Elektron Energy qualified as the preferred bidder for the project.
“The emergence of Elektron Energy birthed the partnership between it and EKEDC and that has, over these past years, led to the unlocking of premium power access to Lagosians within Eko Disco’s franchise network.”
He expressed optimism that with an increased capacity, there is the incentive to surpass the demand soon, adding that the project would enable more power supply to Lagos at cost reflective tariff.
“Beyond any doubt, the gains, which this project presents are humongous. Not only for the communities and stakeholders, but also the gains this project presents equally extends to the partners,” he said.
He added that the Power Plant would generate countless job opportunities, driving economic growth, and empowering communities.
Speaking also, Chief Executive Officer, Elektron Energy Development Strategies Ltd., Mr. Tola Talabi, said the project is a natural gas fired embedded generation plant developed through the collaborative effort of Elektron and EKEDC.
Talabi said the embedded IPP would supply uninterrupted electricity through a dedicated 33KV and 11KV distribution network, exclusively to identified customers.
“We hope to replicate this kind of project across the landscape of Nigeria as this is the first time an embedded power plant has been built in partnership with a distribution company.
“This project is the first of its kind, where a natural gas IPP will be directly embedded into a Disco’s distribution network for supply to Identified end-user customers,”Talabi said.
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