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Home»Energy»Oil & Gas»Sahara Groups Fears Power Sector Challenges Affecting Its $1Billion Investment
Oil & Gas

Sahara Groups Fears Power Sector Challenges Affecting Its $1Billion Investment

By orientalnewsngJune 11, 2018No Comments2 Mins Read
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Yemisi Izuora 

Sahara Group, has expressed concern about the challenges facing the Nigeria’s power sector, saying it has invested about $1 billion investment in the sector since 2013.

The company is the only indigenous firm that has invested in the vertical corridor of Nigeria’s energy industry, which include, upstream, midstream and power generation and distribution.

The Sahara Power Group following partial privatization of the sector acquired the majority shareholding stake Egbin Power the largest power generating plant in Nigeria and Ikeja Electricity Distribution, and also acquired 70 per cent of First Independent Power Limited, FIPL, which reinforced the groups quest to enhance its competitive advantage and footprint in the power sector.

Chief executive officer of the group Mr. Kola Adesina said, the company has made investments of about $1 billion in the sector, but expressed deep concern that the system is not presently supporting its expansion vision.

Adesina said the company has invested about $400 million to rehabilitate the Egbin thermal power plant.

Sahara Power and its technical partner, Korea Electric Power Corporation, KEPCO have a 70 per cent stake in the plant the largest gas fired plant in Africa, and Nigeria’s industrial power hub.

Egbin was commissioned in in 1985 and consists of Six units of 220 megawatts steam turbines and total installed capacity of 1,320 megawatts but Adesina said the group plans to increase current capacity to 2,640 megawatts but present policy circumstances is causing a snag.

Adesina also disclosed an ongoing Project Creek, which involves the development of an integrated energy logistics base in old Abonnema Wharf area of Port Harcourt in Rivers state.

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