FG to sell five power plants at $1bn – BPE

The Federal Government plans to sell five power plants in Nigeria under the National Integrated Power Projects at about $1.15 billion.

Director-General, Bureau of Public Enterprises, BPE, Ignatius Ayewoh, confirmed this in reaction to the development on Tuesday.

“The transaction is ongoing,” he stated, adding that “it is not concluded”.

Ayewoh, however, did not give details of the ongoing transaction.

Meanwhile, sources familiar with the development explained that the cost of the plants should exceed $5 billion based on international benchmarks, revealing that the BPE was planning to sell the facilities at a little above $1.1 billion.

The bureau named the five power plants to include the 434 megawatts gas-fired Geregu II power plant, located in Kogi; the 451MW Omotosho II plant in Ondo; and the 750MW Olorunshogo II plant in Ogun State.

Others include the 563MW Odukpani power plant in Calabar, Cross River State, and the 451MW Benin-Ihovbor plant in Edo State.

It was gathered that the Omotosho plant, which has four power-generating turbines, would be sold at about $85 million, while the Olorunsogo NIPP, which also has four turbines, would cost $170 million.

The Benin-Ihovbor plant with five power-generating turbines would go for $420 million; the Calabar Odukpami plant with five turbines would be sold at about $260 million; while the Geregu plant with four turbines would go for $215 million.