The Minister of Power, Professor Chinedu Nebo, has disclosed that the Federal Government would soon enter into an agreement with the Federal Ministry of Petroleum Resources to provide enough gas to fire all thermal power stations of National Integrated Power Projects (NIPPs) and Independent Power Producers (IPPs).

Professor Nebo, made this known during the signing ceremony of agreement between the managers of Azura Power Holding Limited, a new independent power producers located in Edo State and Transmission Company of Nigeria (TCN) on Monday, 5th May, 2014, in Abuja.

The Minister stated that the Federal Government was putting in place transmission infrastructure for the evacuation of all generated power, create market stabilization and attain equilibrium that will enable it declare the electricity market open for all players in the industry.

He noted that Azura-Edo Power Station stands out not only as independent power plant, but also serves as consultant and template for many others who would want to take advantage of the present administration of President Goodluck Jonathan’s commitment to power sector reforms to invest in the country.

Professor Nebo also used the occasion to acknowledge the support of the United States Government, World Bank and other financial institutions in ensuring that more than $500 million direct foreign investment in power is coming from Azura to Nigeria.

According to him, the coming on stream of Azura is a testimony to the fact that privatization of Power Holding Company of Nigeria (PHCN) has come to stay as the Nigerian Electricity Regulatory Commission (NERC), Transmission Company of Nigeria (TCN), Nigeria Electricity Liability Company (NELCOM) and Nigerian Bulk Electricity Trading (NBET), have all had direct investment contacts with the players in the industry.

Earlier, the Co-ordinating Minister of Economy and Minister of Finance, Dr. Ngozi Okonjo-Iweala, stated that the Federal Government was excited about the entrance of Azura-Edo Power Station into the nation’s power sector as she noted that Azura was a quality investor in the nation’s power industry with the capacity to generate over 450 megawatts.

She re-affirmed the Federal Government commitment in providing conducive environment for investors as this will snowball into the build up of confidence in government efforts in the power sector initiatives.

The Deputy Managing Director, Transmission Company of Nigeria (TCN), Dr. Abubakar Tambuwal Atiku, explained that the strategic objective of the company was to evacuate all the power generated by various power stations to distribution companies for end-users.

He disclosed that by 2020, TCN will be able to wheel over 20,000 megawatts of electricity and assured both local and international investors that the company will leave no stone unturned in ensuring that this objective is attain.

The high point of the occasion was the signing of Grid Connecting Agreement (GCA), by      Dr. Abubakar  Atiku, on behalf of TCN and Dr. David Ladipo, for Azura Holding Limited. The Grid Connecting Agreement is the contract that governs the connection of Azura’s power plant to the national electricity grid.

Beside the Grid Connecting Agreement with TCN, the company also signed agreements with other companies such as Siemen, Julius Berger, Seplat, Nigeria Bulk Electricity Trading, and the World Bank.

The ceremony was witnessed by Edo State Governor, Comrade Adam Oshiomhole, Permanent Secretary, Ministry of Power, Dr. Godknows Igali, Chairman, Nigerian Electricity Regulatory Commission (NERC), Dr. Sam Amadi and Managing Director/ Chief Executive of Nigerian Bulk Electricity Trading, Mr. Rumundaka Wonodi. Other were World Bank Country Director, Ms. Marie-Francoise Marie-Nelly, chief executives of financial institutions, captains of industries and other major players in the power sector.