Draft:Aba Power Plant

The Aba Power Plant, also known as the Aba Integrated Power Project (IPP), is a privately-run power generation and distribution facility located in Osisioma Industrial Layout, Aba, Abia State, Nigeria..

Project Details

Capacity: 188 megawatts (MW)

Fuel Source: Natural Gas [1]

Developer: Geometric Power Limited.

Distribution Company: Aba Power Limited [2]

Project Cost: $800 million (including a 27km gas pipeline)

Concession: 20-year concession from the Federal Government of Nigeria

History

The Aba Power Plant is a significant development aimed at addressing the longstanding electricity challenges in Aba, a major industrial city in southeastern Nigeria. Developed by Geometric Power Limited, the project involved the construction of a 188 MW gas-fired power plant, a dedicated 27km gas pipeline, and a distribution network within a "ring-fenced" area encompassing nine of Abia State's 17 local government areas.

The project achieved a major milestone in February 2024 with the official commissioning of the power plant, marking a pivotal moment for Aba's energy landscape. This independent power project (IPP) is the first of its kind in Nigeria, integrating power generation, transmission, and distribution under one entity

Impact

The Aba Power Plant is expected to significantly improve the reliability and availability of electricity in Aba. This stable power supply is crucial for boosting economic activity, particularly for the city's many small and medium-sized businesses (SMBs) in the textile and manufacturing sectors. With reliable power, these businesses can operate more efficiently and competitively.

Controversy

The Abia State Government's investment in the Geometric Power Plant is disputed. The Geometric Power Plant claims the Abia State government under the previous administration (2015-2023) agreed to a 5% equity stake for $5 million and made a partial payment of N1.41 billion (around $3.6 million), leaving a balance of N565 million. However, the current governor (as of February 2024) denies having any documentation to verify this investment and initiated an investigation to determine the facts.