Jonathan Flags-off First Phase Of The $1bn Azura-Edo Greenfield Power Plant - Business

President Goodluck Jonathan on Friday flagged- off the first phase of the $1 billion Azura-Edo power plant, the first fully privately financed independent power plant (IPP) in the country, located in Ihovbor/Orior Odemwende communities of Edo State. He called on communities around the country who are hosts to several federal, state and private sector projects to play their roles as there is development in partnership. This is even as he said the Federal Government will continue to ensure that the growth of the electricity industry becomes self-sustaining and sustainable. Speaking at the groundbreaking of the Azura-Edo independent power plant in Edo State, the president said, “I want to use this opportunity to call on all the local communities around the country who are hosts to several federal, state and even private sector projects, that have been hindered by community disruptions, to recognise that in partnership there is development and so, everyone must play their roles”. He added, “My administration is fully committed to continuously improving the framework and enabling environment based on sound policy formulation, access to long-term low interest finance, and transparent and consistent regulatory guidelines”. The first phase of the Azura-Edo IPP is a 450 megawatts greenfield, open cycle gas turbine power station, with a total capital cost of $735 million. It represents the first phase of a 1,500 megawatts power plant facility. It is the first fully financed private sector power plant project. It is also the first power generation project to receive the World Bank Partial Risk Guarantee and Multilateral Investment Guarantee Agency (MIGA) support. The IPP project, a 450-megawatt of new generation capacity, which is expected to be completed by early 2017, has attracted almost a billion dollars, mainly in foreign direct investment, into the power sector, comprised of $700 million in construction of the power plant, and $300 million in associated gas supply infrastructure. The president said he was greatly encouraged at the progress made so far towards reforming the power sector, since the launch of the road map on power sector reform back on August 26, 2010. He said the flag-off of the project is the first signal from the global financial industry that the years of work that the Federal Government has dedicated to the reform of the power sector, in order to attract private sector developers and financing, is finally yielding results. According to President Jonathan, the Azura project demonstrates without a doubt, that “we have laid a strong foundation on which we are building a sound and sustainable electricity industry, with great expectations for robust growth in the sector. However, success in any endeavour does not happen by accident, but is facilitated by sound decisions, conscious effort, and immense persistence”. He further said government is committed to irreversibly repositioning the Nigerian power sector as a pivot for the attainment of the nation’s developmental targets. “We are also maintaining our policy push for increased diversification of our energy, expanding investments in large hydro power projects through public-private partnerships, and the provision of necessary support to accelerate the exploitation of our coal resources”, he said. http://businessdayonline.com/2014/10/jonathan- flags-off-first-phase-1bn-azura-edo-greenfield- power-plant/#.VDgbHl2t-o8