The Federal Government has formally handed over the $1.3 billion Zungeru Hydroelectric Power Plant to a concessionaire, Penstock Limited.
The plant was handed over to the concessionaire at the 2024 inaugural session of the National Council on Privatisation (NCP) held at the Presidential Villa in Abuja and presided over by Vice President Kashim Shettima.
The 700-megawatt plant in Zungeru in North-Central Nigeria was facilitated by a $1.3 billion loan from China.
The Concession Agreement was signed on December 13, 2023, by the Bureau of Public Enterprises (BPE) and Penstock Limited.
The plant is estimated to generate 2.64 billion kilowatt-hours (kWh) of electricity a year, which will meet close to 10% of Nigeria’s total domestic energy needs.
The Zungeru hydropower project is billed to provide power generation, flood protection, and water for irrigation.
The official handover ceremony, transferring the plant’s operations to Penstock Limited took place on January 23.
By: Babajide Okeowo