The Managing Director of the Niger Delta Power Holding Company Plc (NDPHC), Jennifer Adighije, has disclosed that the company is finalising plans to free and commercialise about 200 megawatts (MW) of its stranded 2,000MW capacity before the end of the year, through new Power Purchase Agreements (PPAs) with eligible off-takers and traders.
Adighije, who made this known during a courtesy visit to the newly established Nigerian Independent System Operator (NISO) in Abuja, said the agreements, currently awaiting regulatory approval, are part of a wider strategy to unlock idle capacity, improve liquidity, and ensure the commercial sustainability of the government-owned generation company.
Recall that in May this year, Adighije lamented the poor uptake of available power by electricity distribution companies, which, according to her, continues to hamper the company’s operations.
Leading a delegation of senior executives on a visit to strengthen collaboration and address sector challenges with NISO’s leadership, Adighije said: “Now that we’re also improving our mechanical availability, we can significantly improve on the commercialisation of our stranded electricity.
“The Electricity Act (EA) has also empowered us to go into successful bilaterals with bankable customers, off-takers and traders, and I can tell you that we have already signed some Power Purchase Agreements (PPAs) with some traders and some off-takers, which are before the regulator for approval. I’m sure you know that for us to activate those transactions, we will need to get the approval of the regulator, which is already ongoing.
“So, before the end of the year, we should be able to commercialise about 200MW of our stranded electricity, which is awaiting approvals before the Nigerian Electricity Regulatory Commission (NERC) as we speak.”
According to her, the company’s recent improvement in plant availability has positioned it to ramp up supply and meet off-taker demands.
She noted that the revival of key assets, including the Omotosho and Alaoji power plants, would further boost generation capacity.
Adighije appealed to the NISO management to support improved dispatch levels, especially given the company’s absence of a formal PPA with the Nigerian Bulk Electricity Trading Plc (NBET). She warned that without stable off-take arrangements, much of NDPHC’s available capacity would continue to lie idle.
