The recently inaugurated 3.6-megawatt Ekiti Independent Power Project (IPP), established through a Public-Private Partnership (PPP), emerges as a transformative force in liberating the state from the throes of erratic power supply, reports RASAQ IBRAHIM
In Nigeria, the quest for reliable electricity supply has been an enduring challenge, plaguing both households and industrial operations. Despite the concerted efforts of successive administrations to enhance energy accessibility in Africa’s most populous nation, the issue of electricity supply remains a persistent and widespread problem.
Amid high expectations, the administration of Goodluck Jonathan embarked on a significant initiative in 2014 by privatising the power sector. This move involved the sale of a 60 per cent stake in the power distribution sector to private companies.
Nigeria boasts an installed capacity to generate up to 14,000 megawatts of electricity, as reported by the Association of Power Generation Companies (APGC). This capacity primarily emanates from hydro and gas-fired thermal plants, with a predominant reliance on fossil fuels, particularly gas, constituting 86 per cent of the total installed capacity. Despite this potential, challenges persist in translating this capacity into consistent and reliable electricity supply for the Nigerian populace.
Despite having the capacity to generate up to 14,000 megawatts of electricity, Nigeria consistently faces challenges in fully utilising this potential. On many days, the country struggles to dispatch more than 5,000 megawatts, significantly falling short of the demand in a nation with over 200 million people and an estimated energy requirement exceeding 120,000 megawatts. The disparity between capacity and actual dispatch underscores the persistent issues in the electricity sector.
Despite the privatisation of the power sector, successive governments have consistently provided financial interventions in an effort to improve the electricity situation. These interventions include budgetary allocations, direct efforts by the Federal Government, and funding from international financiers like the World Bank and the African Development Bank (AFDB). Despite these combined efforts, the delivery of electricity remains significantly below expectations, indicating persistent challenges in the sector.
The privatisation of the distribution aspects of the power sector in 2013 has seen successive administrations inject over N1.7 trillion into the energy sector. Unfortunately, this significant financial commitment has not translated into tangible improvements, and Nigerians continue to experience daily power outages. This chronic electricity shortage has severely impacted businesses across the country, including in Ekiti State, where small and medium enterprises struggle to survive amid the power supply challenges.
In 2021, the administration of Governor Kayode Fayemi in Ekiti State sought a solution to the persistent power supply shortage by partnering with Fen-Church Power Nigeria Limited to establish a 3.6 Mega Watt Independent Power Plant (IPP). The aim was to supplement the electricity supply from the national grid and alleviate the challenges faced by residents and businesses in the state. Despite Governor Fayemi’s inability to complete the IPP project before the end of his tenure in 2022, Governor Biodun Oyebanji, who succeeded him, demonstrated unwavering commitment and renewed vigour in continuing the initiative. This decision signalled a dedication to addressing the long-standing power supply issues in Ekiti State and fostering sustainable development.
On November 24, 2023, Ekiti State marked a historic milestone with the inauguration of its Independent Power Plant (IPP), situated on Bank Road, Ado-Ekiti, the state capital. This momentous event marked the second IPP in the Southwest, following Lagos State’s initiative. Just a month prior, Governor Biodun Oyebanji had already inaugurated power projects in various communities across four local government areas, which had been without electricity for over a decade.
The 3.6MW power plant stands as a significant power source, equipped with cutting-edge infrastructure. It features an 11-kilometer underground distribution network, multiple sub-stations, and Ring Main Units (RMUs). The strategic location of the IPP allows it to power essential government facilities and infrastructure, including Ekiti State University Teaching Hospital (EKSUTH), Ekiti State University, the state secretariat, the Government House, and the Governor’s Office. Furthermore, it ensures uninterrupted lighting for crucial streets in Ado-Ekiti, contributing to the overall development and well-being of the state.
During the inauguration of the plant, Governor Oyebanji emphasised the transformative impact the project would have on addressing power challenges faced by residents and the local business community. The governor highlighted the potential for the IPP to stimulate economic activities, drive industrialisation, and enhance the overall quality of life for the people of Ekiti State. Characterising the IPP as a game-changer, he underscored its significance as a testament to his administration’s unwavering commitment to achieving energy self-sufficiency.
Governor Oyebanji outlined the pivotal role the IPP would play in propelling rapid industrial development, fostering economic growth, and creating employment opportunities that contribute to the state’s progress.
Governor Oyebanji highlighted several key interventions his government has undertaken to enhance the energy infrastructure and address power challenges in Ekiti State. Among these initiatives, the rehabilitation and reconnection of the Gbonyin/Aiyekire and Ekiti-East 33KV line to the national grid were emphasised, demonstrating a commitment to strengthening the state’s connection to the broader energy network. The governor also mentioned the successful evacuation of energy from the 30MVA transformer at the Transmission Company of Nigeria (TCN) facility at Omisanjana to critical areas such as the Industrial and Tourism zone of Erijiyan and Ikogosi.
Governor Oyebanji also pointed to the rehabilitation of the 33KV network from Ilumoba to Ikole-Ekiti, a critical step in improving the distribution network. In terms of improving the state capital’s commercial hours, the governor outlined the transition from conventional streetlight lamps to solar lamps, a move aimed at boosting economic activities in Ado-Ekiti. He expressed his administration’s commitment to replicating similar improvements across all local government areas, underscoring the comprehensive approach to addressing energy-related challenges and fostering sustainable development.
Governor Oyebanji expressed appreciation to Fenchurch Power Limited for the timely delivery of the Independent Power Plant project, underscoring the importance of private sector participation in the power sector. He specifically called on investors in the power sector to explore opportunities in Ekiti, emphasising the electricity law that facilitates independent meter vendors supplying to willing customers.
Besides, Governor Oyebanji urged residents to take ownership of electrical facilities in their communities and protect them from vandalism. This call not only emphasises the importance of community involvement in maintaining critical infrastructure but also highlights the need for collective responsibility in ensuring the sustainability of energy projects.
“It is my pleasure to be here today to inaugurate the first Independent Power Project (IPP) in Ekiti State. Today’s event is another testimony to our unstoppable race to greatness as a people and a homage to our determination to succeed in the face of daunting challenges. This project is a major pointer to the fact that we are on course. And we will not rest until energy, which is the bedrock of industrialisation, is in abundant supply to support the productive energy of our people. I also wish to urge our people to see all electrical facilities in our communities as our properties and to jealously guard and protect them from vandalism. This way, the ongoing investment in the power sector will bring the desired shared prosperity result to our people. For us, we are irrevocably committed to the rapid industrial development of Ekiti for employment and growth,” the governor said.
The Commissioner for Information, Taiwo Olatubosun, said the project was one in a series of interventions to address inherent challenges in electricity supply to the state. Olatunbosun stressed that the IPP is currently guaranteeing uninterrupted power supply to the Governor’s Office, Government House, State Secretariat Complex, House of Assembly Complex, Ekiti State University Teaching Hospital, (EKSUTH), Broadcasting Service of Ekiti State, Ekiti State University, Ado-Ekiti and streetlights in the metropolis, among others.
The Commissioner for Infrastructure and Public Utilities, Prof. Bolaji Aluko, said the project was an indication that the Biodun Abayomi Oyebanji administration fully recognises that electricity is a major game-changer for industrialisation and economic development. Prof. Aluko explained that the independent power project is the only utility-scale generation facility in the state capable of boosting the state’s energy availability by at least two megawatts with a potential of increasing from five to 10 megawatts.
As industries and businesses benefit from more consistent power, the ripple effect extends to the local economy, promoting growth, and potentially attracting further investments. The positive response from residents underscores the significance of reliable electricity in fostering economic development and enhancing the overall quality of life. The success of the power plant in positively impacting the community serves as a testament to the effectiveness of strategic infrastructure investments in addressing critical issues and driving positive change at the grassroots level.
This project is a major pointer to the fact that we are on course. And we will not rest until energy, which is the bedrock of industrialisation, is in abundant supply to support the productive energy of our people. I also wish to urge our people to see all electrical facilities in our communities as our properties and to jealously guard and protect them from vandalism. This way, the ongoing investment in the power sector will bring the desired shared prosperity result to our people
