Cummins, Sapele Power plan 300MW plant

The move to ensure steady electricity supply in the country has received a boost as Cummins Cogeneration Limited and Sapele Power Plc have signed a Power Purchase Agreement in London, the United Kingdom.

 

The Chairman, Cummins Cogeneration Limited, Mr. Deepak Khilnani, said the pact was part of the company’s plans to build one of Africa’s largest gas-fired power plants of 300 megawatts capacity.

He said in a statement on Thursday that the partnership came just weeks after Cummins signed an agreement for a similar investment in Ghana.

Khilnani expressed hope that the synergy between the two firms had the capacities that would deliver a clean and sustainable long-term solution for Nigerians.

He said, “We are excited about our partnership with Sapele Power Plc because this project will be operated using Cummins combined heat and power gas generator sets, which emit up to five times less nitrogen oxide than diesel generator sets and near-zero particulate matter.

“In addition to this, it offers a 48 per cent reduction in carbon dioxide emissions compared to traditional steam turbine engines, which makes this a highly efficient and environmentally sustainable project.

“Currently, Sapele Power Plc operates Nigeria’s second largest power plant with an installed capacity of about 1,020MW, capable of meeting the energy needs of around 750,000 homes at full capacity. Upon this partnership, the plant will distribute electricity generated from the plant directly to the Nigerian Bulk Electricity Trading Plc, supplying millions of homes and businesses with clean power.”

Expressing delight in the signing of the agreement, the Chairman, Sapele Power Plc, Anthony Onoh, said, “We know that Nigerians have high expectations from the privatised power sector and that is why the company has a strong focus on sustainable power generation focused on capacity recovery from its existing assets, as well as expansion from a mix of projects, which will double the plant’s installed capacity within the next three years.

“The project will be split into two phases; the first phase is expected to be completed and exporting power by July 2016; and the second phase is for inauguration by December 2017. Upon completion, the project will supply approximately three billion kilowatt-hour of electricity to the Nigerian grid per annum, which is approximately 10 per cent of the total production today.

“We are innovatively rising to the challenge of improving performance at our generating station as well as integrating more renewable energy into the grid.”