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Delta re-opens probe into controversial N23 billion power project

5th December 2016
in Cover, National
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Delta re-opens probe into controversial N23 billion power project
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(By Paul Osuyi – ASABA)

The last has not be heard of the controversial Independent Power Plant (IPP) project in Oghara, Ethiope West Local Government Area of Delta State, as the state government has raised a high-powered committee to look into the contract.

The now abandoned project was awarded to DavNotch Engineering Company by the previous administration of Governor Emmanuel Uduaghan.

Earlier this year, the state House of Assembly had raised a committee to investigate the controversial project but the work of the committee was abruptly stopped after an initial visit to the project site.

Commissioner for Energy, Mr. Newworld Safugha told journalists in Asaba during the on-going ministerial press briefing that the governor, Dr. Ifeanyi Okowa, has set a high powered committee to look into the controversial project.

He listed the members of the three-man committee to include himself and his counterparts in the Ministry of Justice, Mr. Peter Mrakpor, and Ministry of Finance, Mr. David Edevwie.

According to him, the state government has signed a number of Memoranda of Understanding (MoUs) with foreign investors toward generating sustainable power and energy.

The investors include Luxra Nigeria Limited, a UK-based investor, the Yutai-Li Nigeria Limited, a China-based investor, and Bastanchury Power Solutions Limited.

Safugha said Luxra was expected to generate 300 megawatts of electricity from Solar PV Plants in the state, and Yutai-Li would construct 100 megawatts of Solar PV Plant at Otolokpo/Umunede in Ika North East Local Government Area.

He added that Bastanchury would develop 8.5 megawatts Gas-Turbine in Asaba Integrated Power Project to provide electricity power to all government offices, residential quarters and facilities in the state. 

The commissioner explained that the projects would be operated under Build-Operate-Transfer (BOT) by the investors for about 25 years.

“So much is involved in the power generation drive. Apart from provision of infrastructure aimed at boosting power supply from the national grid, the state government has gone on to exploit opportunities provided by alternative sources of power supply,” he said.

Safugha listed Solar Energy Development, Bio Energy Development and Wind Energy Development among the renewable sources of power supply being explored by the state.

He said a leasing agreement has been signed with Messrs Wall’s Integrated Services Limited to utilise the LED Display Boards in the area of dissemination of information and advertisement.

Philip Nwosu

Philip Nwosu

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