NDPHC announces restoration of Alaoji power plant after years of shutdown

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Alaoji power plant (Photo credit: NDPHC)

Alaoji plant (Photo credit: NDPHC website)


 

The Niger Delta Power Holding Company (NDPHC), has restored the 450 megawatts Alaoji Open Cycle Power Plant in Abia State after it was shut down over gas supply and metering disputes.

The NDPHC Managing Director and Chief Executive Officer, Jennifer Adighije, disclosed this during a meeting with the Governor of Abia State, Alex Otti, where she briefed the governor on efforts taken by the company to revive the power plant.

Alaoji power plant is one of the ten National Integrated Power Project (NIPP) plants managed by the NDPHC. Located in Alaiyi, a community near Aba in Abia State, South-Eastern Nigeria. It is proposed as a combined cycle plant with an installed capacity of 1,074MW (at ISO) on completion.

The open cycle of the project was commissioned in March 2015, but the combined cycle part has faced some delays.

Earlier in March, the NDPHC said the power plant project is now at 16 per cent completion.

Reason for shutdown

Ms Adighije explained that the plant was shut down in 2023 after disparities emerged between metering and trading points, leading gas supplier TotalEnergies to suspend supply to the facility, while debts also accumulated.

She said upon assuming office in 2024, the restoration of the plant became a priority for the company.

“The good news is that we have carried out and fixed all the remedial works on the defective gas line. We’ve also been able to completely defray our past due obligations to Total, and Total has restored gas supply to the plant,” Ms Adighije said.

375MW available for grid dispatch

She added that extensive electromechanical works had also been completed on the plant, leading to the restoration of three generating units, GT1, GT22 and GT23, which are now available to dispatch about 375 megawatts to the national grid.

She noted that the plant has adequate transmission infrastructure with no major evacuation constraints, describing it as a viable generation facility for grid-imported electricity.

The NDPHC boss commended the Abia State government for reforms in the electricity sector, especially the Aba ring-fenced power arrangement and the establishment of the state electricity regulatory agency.

She said the company was leveraging the Electricity Act and the evolving bilateral electricity market to partner with states and eligible customers to improve power supply across the country.

“We would love to form a strategic alliance with Abia State considering the fact that you are very driven and determined to secure uninterruptible electricity for the good people of Abia State,” she said.

Economic growth

In his remarks, Governor Otti praised the management of NDPHC for bringing the Alaoji plant back to life, describing the development as critical to economic growth and industrial development in the state.

READ ALSO: Alaoji power plant project nears 16% completion – NDPHC

“The last time I visited the Alaoji plant, it was regrettable that such capacity was wasting away. I’m glad to learn that you have brought it back to life,” he said.

Mr Otti revealed that the plant could eventually be expanded to 800 megawatts and later to about 1,100 megawatts, subject to the availability of funds.

He reiterated that power remained one of the most critical drivers of economic development, noting that his administration prioritised electricity infrastructure since assuming office in 2023.

The governor added that the state government had ring-fenced the Umuahia electricity market and entered into an agreement with the Enugu Electricity Distribution Company to acquire electricity distribution assets covering Umuahia and surrounding areas.

He said the state would require about 100 megawatts to service the eight local government areas under the Umuahia ring-fence, while investments in renewable energy and mini-grid projects were also ongoing.

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