The Lagos State Government has signed a series of Power Purchase Agreements (PPAs) with three power generation firms as part of efforts to strengthen energy security and improve electricity supply across the state.
The agreements were signed with Mainland Power Limited, Fenchurch Power Limited, and Viathan Engineering Limited at a ceremony held at Lagos House, Marina, with Governor Babajide Sanwo-Olu in attendance.
Also present were the Attorney-General and Commissioner for Justice, Lawal Pedro (SAN); Commissioner for Energy and Mineral Resources, Biodun Ogunleye; and Special Adviser on Public-Private Partnerships, Bukola Odoe, alongside representatives of the partner companies.
Speaking at the ceremony, Governor Sanwo-Olu described the agreements as a key component of his administration’s urban renewal agenda, aimed at addressing persistent power challenges and creating a more conducive environment for businesses and residents.
He noted that the partnerships would help decentralize electricity generation in the state, enhance reliability, and reduce dependence on the national grid.
Sanwo-Olu characterized the initiative as a milestone in the state’s Public-Private Partnership (PPP) drive, commending Mainland Power Limited for its consistent performance since 2015 and urging all partners to deliver efficiently under the Independent Power Producer Procurement (IPPP) framework.
In his remarks, the Commissioner for Energy and Mineral Resources, Biodun Ogunleye, highlighted the importance of the Mainland Power Plant located in Ikeja GRA.
He noted that the facility, which has an installed capacity of 8.8 megawatts and a contracted capacity of 5.8 megawatts, plays a critical role in Lagos’ embedded generation network.
According to him, the plant supplies electricity to key areas from Ikeja to Oshodi, including strategic infrastructure such as the Lagos State University Teaching Hospital (LASUTH).
He added that the Viathan Engineering Island Power Limited and Peninsula Integrated Power Project, covering Lekki and Marina power plants with a combined installed capacity of 21 megawatts, would further strengthen the electricity supply on Lagos Island.
Ogunleye explained that the Lekki plant operates a hybrid system of natural gas and diesel, while the Marina facility runs on a dual-fuel configuration, ensuring flexibility and reliability.
The plants are expected to provide dedicated electricity to critical infrastructure, including the Lagos State Government House, the Deputy Governor’s residence, Lagos Island General Hospital, and Lagos Island Maternity Hospital.
Similarly, the Fenchurch Power Limited and Aggregate Utilities Limited concession is set to revitalize the Akute Independent Power Plant, which has a base contracted capacity of 26 megawatts and significant expansion potential.
The Commissioner disclosed that the facility is currently undergoing rehabilitation and, upon completion, will restore electricity to surrounding communities and support key infrastructure like the Adiyan Water Works.