Nigerian billionaire businessman Femi Otedola has unveiled his ambitious plans to develop a power transmission project in collaboration with the Lagos state government under a Public-Private Partnership (PPP) arrangement.
The announcement was made following a meeting held on Tues., July 11, between Femi Otedola, Lagos State Governor Babajide Sanwo-Olu, and Akinwunmi Adesina, the African Development Bank Group president.
In a statement shared on his official Instagram account, Otedola expressed his optimism about the ongoing talks, which aim to establish Nigeria’s first-ever PPP power transmission project.
This recent development by Otedola and the Lagos state government emerged in the wake of the Nigeria Electricity Act 2023, which was recently signed into law by President Bola Tinubu. The act empowers state governments and private individuals to transmit electricity in areas covered by the national grid, ultimately aimed at decentralizing electricity regulation.
Geregu Power Plc, Otedola’s power-generating company, is expected to play a pivotal role in the power transmission project, which is currently in discussion. The company presently owns three natural gas-fired power plants that generate a combined capacity of 435 megawatts, constituting 10 percent of Nigeria’s total power generation capacity.
With such a strong presence in the country’s energy generation sector, Geregu Power has established itself as a formidable player. In line with its vision for growth, Geregu Power aims to expand its operations and enhance its power generation capacity.
Over the next two years, the company plans to increase its total capacity from the current 435 megawatts to an impressive 1,300 megawatts. This strategic move not only showcases Geregu Power’s dedication to meeting the energy needs of Nigerians but also underscores its objective to bolster revenue and earnings by capitalizing on the thriving power sector.
As Otedola and the Lagos state government forge ahead with their plans, the spotlight shines on Geregu Power as it takes center stage in Nigeria’s power industry.
The forthcoming PPP power transmission project signifies a significant step toward achieving a more sustainable and efficient power infrastructure, thereby driving the nation’s development and progress.
