Wednesday, 20 July 2016

Anambra attracts $560.3M on power, hits 40MW.

By John Ndu

Anambra state government has continued her determination to increase the supply of power generation needed by the people of the state.

This was revealed yesterday after signing a Memorandum of Understanding (MoU) with Zolt Energy Limited, making it the fourth MoU signed by the state government with power and oil gas companies.


Others signed by the state government with power generation companies were UD Integrated Petroleum Production Company (UDIPPCO), Falcon Corporation Limited (Power, Oil and Gas), Shiraan Limited Nigeria and finally Zolt Energy Limited.


The MoUs would attract $250M, $200M, $65.3M and $45m respectively, making it a total of $560.3m so far attracted on power generation.


Signing the MoU for the state, Governor Willie Obiano said Zolt Energy Limited would undertake the setting up of a 40MW Embedded Power Generation Plant in Onitsha to generate and sell electricity to the Enugu Electric Distribution Company (EEDC).


Governor Obiano noted that the project was in line with the state government's economic objectives for power generation, saying the project would be completed in line with state's approved plans within 18 months from the commencement date.


The Governor stressed that the State would provide three hectares of Land of its equity contribution.

Chief Obiano regretted that the vandalization by the Niger Delta Avengers had thwarted the level of power generation by the EEDC, maintaining that when the projects would be completed, they would bridge the gap and boost the state's power generation.


He however, restated that the state government would fulfil her part of the agreement, as the revenue sharing is based on net profit where the community the project is situated would receive 2.5%, the investor 92.5%, while the state gets 5%.

The Managing Director of Anambra State Investment Promotion and Protection Agency (ANSIPPA), Chief Joe Billy Ekwunife said "the expected total investment is approximately N9.45b ($47.25m). Of this, the State's equity contribution amounts to about N450m ($2.25m) with the investors, investing N9b ($45m).

Speaking on the benefits of the project, Chief Ekwunife observed that the improved Power would boost enterprises, from small to large as well as local economy, adding that it would generate 250 direct and over 1500 indirect Jobs, which 75% would be reserved for Ndi Anambra except with respect to highly skilled and technical personnel requirements.


He noted that the project would create activities, increase incomes and growth and enhance the State's capacity to internally generated revenue.

The chairman of Zolt Energy Limited , Dominic Ekeson expressed satisfaction to Governor Willie Obiano for attracting investors into power sector.

He however promised to meet the time schedule slated out for the project as the financial aspect of the project had been set aside.

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