Adelabu: FG Will Provide Conducive Environment for Private Energy Investors

Says excess energy from PH refinery to go to national grid •Insists government cannot single-handedly fund power sector Emmanuel Addeh in Abuja The federal government has promised to provide the enabling environment for private sector participation in the power sector, to ensure that the current reforms being undertaken in the sector yields maximum results. Minister of Power, Chief Adebayo Adelabu, made this known during a facility tour of the Genesis Energy company, at the Port Harcourt refinery, Rivers State, a statement by the Special Adviser, Strategic Communications and Media Relations to the minister, Bolaji Tunji, said. He praised the partnership of the company with the Nigerian Petroleum Company Limited (NNPC), in their efforts to improve the electricity supply in the country, stressing that the partnership would improve sufficiency, efficiency and reliability of power supply. He said: “All we need to do as a government is just to make sure that we make available the conducive atmosphere and environment for the private sector investors to thrive. And to be very comfortable with bringing new investment and be assured of recovery of their investment. “My visit today to the power institutions, which is a partnership between Genesis Energy and the NNPC, is to look at the facilities outside here and to see how the excess power being generated here can be fed onto the national grid.” He noted that his visit would accelerate the take-off of the project and also to meet all the needed agreements to be entered into. “It’s something I believe within 90 to 180 days it can all be concluded. What matters most is to conclude on the infrastructure arrangement to off-take the power from here and supply to the grid,” he added. The Minister expressed the readiness of the federal government to ensure that the relationship between private sector investors and government is smooth. “And again, the commercials are very important. At what price, at what tariff are they going to be giving to Port Harcourt Disco to ensure that the power is taken up and supplied to end-user customers? Even at a price that will also be comfortable and convenient for the end-user customers. That is all they need to do. I don’t think this should take too long. Since I’m here today, we’ll track the talk and ensure that it takes off very, very soon. “There are a few things that we are doing as a government to ensure this. Number one is the regulatory environment, I mean the policy environment. You are all aware that we just launched the National Integrated Electricity Policy (NIEP). “After two decades, we just have such a comprehensive policy. So it is clear now to every investor what are the responsibilities expected of them. What are the things expected of the government to ensure that coming into the power sector is quite easy. “And it is something that will not lead to loss to any of the private sector investors. So we have a comprehensive policy in place for any investor to look through, understand before they come in. Number two is the regulatory environment, which to a large extent is being consistent and quite friendly to new investors,” he said. Adelabu promised that whatever the government needs to do that would make it easy for private sector investors to come in, it will do, stressing that the government cannot single-handedly fund the power sector in Nigeria. “The investment required is too huge for it to be left in the hands of the government alone. So we are ready to do everything possible to attract investors, to ensure they support us, so that industries, businesses, households can have uninterrupted, functional and reliable electricity”, he said. The minister expressed satisfaction with the facilities available at the site. “All I can say simply is that I’m quite impressed with the facilities I’ve met on the ground. Given the age and the operational hours of these facilities, and they are still in this form, I’m quite impressed that they are doing very well. “All we want to eliminate is the inherent inefficiencies by ensuring that all that excess energy being generated is taken off and given to where it will be used. I believe once we use this as a proof of concept and it works well, they have an expansion plan of an additional 120 MW with commitments to build infrastructure, transmission infrastructure, to off-take this new huge energy supply, not only to Port Harcourt DisCo, but to the entire country at large. “And I believe that once this initial proof of concept is successful, the new expansion will also follow”, the minister said. Genesis Energy operates an 84MW Gas-fired Power Project at the NNPC Port Harcourt Refinery (PHRC). The facility, powered by three GE TM2500+ gas turbines (25 MW each), is dedicated exclusively to supplying electricity to the refinery, guaranteeing a continuous and stable power supply essential for refining operations. The plant operates under a structured scheme where at least two turbines run simultaneously while the third remains on standby to ensure uninterrupted service and rapid response in the event of a trip. Since its commissioning in 2014, the plant has achieved over 99 per cent availability with zero Loss Time Injury (LTI) incidents, the statement added.