The Nigerian Electricity Regulatory Commission (NERC) has issued four on-grid licences to Zuma Energy Nigeria Ltd to operate a combined 1,200 megawatts (mws) power plant at Itobe, Kogi State.
The licence is an amendment to an earlier one issued in 2011 to enable the company assign the licence to four different special purpose vehicles (SPVs) and ease of project finance.
This is even as the minister of power, Prof. Chinedu Nebo, has said that an additional 500mws would soon be added to the national grid via coal which is expected to be realised from the agreement with One Nation Energy Platform Ltd.
The minister also noted that the coal-power project will also provide stable power, devoid of challenges of sabotage from vandals who are determined to frustrate the present administration’s effort at providing adequate and reliable power to all Nigerians.
Meanwhile, each unit of the Zuma power plant has the capacity to generate 300mws. They are Itobe 1: 300mws, Itobe 2: 300mws, Itobe 3: 300mws and Itobe 4: 300mws, all coal powered plants.
Speaking at the event, the NERC’s chairman, Dr Sam Amadi, said that Zuma Energy was a major stakeholder and a pathfinder in coal-powered generation which is guiding Nigeria towards diversifying electricity generation. In line with the Transitional Electricity Market (TEM) stage recently declared by the commission, Amadi urged Zuma Energy to work towards securing a power purchase agreement through the Nigeria Bulk Electricity Trading (NBET) so that it could commence operations as soon as possible.
Amadi advised the company to expedite actions on its construction work with the same vigour with which it pursue its licences and make electricity available to Nigerians through the power plants.