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Monday, 10 February 2014

Over N20bn to be invested in Power Companies by Delta State Government.



Emmanuel Uduaghan

Press Briefing

The sum of N4.5 billion is to be invested in some of the newly privatized electricity generating and distribution companies in the country by the Delta State Government.

This was disclosed by the state Commissioner for Power and Energy, Mr. Charles Emetulu during a recent press briefing at Asaba, the State capital.

Emetulu said that N15.7 billion earlier contributed by the State Government towards the development of power supply infrastructure in the country has become equity contribution for Delta State.

He listed Benin Power Distribution Company, Sapele Power Generating Company and Ughelli Generating Company, as the companies where the State bought some equities.

The Commissioner said that the State spent N48.4 billion on 391 power supply projects from 2007 and 2013.

He added that N29.7 billion was spent on 95 power projects between 2011 and 2013.

According to him, Government is not a good manager of investments, but the State Government ventured into acquiring equities in power companies to protect the interest of the rural communities.

He said, “With the private sector taking over the generation and distribution of electricity in the country, we should all look forward for an upward review of tariffs”.


He also said that “This is why the State Government has invested the sum of N4.5 billion as equity in the power generating and distribution companies in Benin, Sapele and Ughelli. Government will plough back its profits on investment to ensure safety nets for those in the rural communities who may not be able to pay for this product.”

Emetulu Stated  that from May 2011 to November 2013, the State Government acquired and distributed over 2000 transformers and other accessories to various communities to improve power supply in the State.

He told pressmen that the State Government planned to discuss with the new owners of the power infrastructure on how the State would benefit from the facilities located in the State.

The Commissioner assured that the State Independent Power Project (IPP) at Oghareki, Ethiope West Local Government Area, would be completed before the end of 2015.

He added that the State would partner with the private sector to run the plant.

Emetulu said the State was also partnering with the Energy Commission of Nigeria (ECN) and the Phillips Company to build renewable energy sources in Delta.

The Commissioner said the plan was to ensure power supply to the rural areas of the state, especially the riverine communities.


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