Egbin Power Plc at the weekend declared plans to double its generation to 2, 670 mega watt by 2019. Chairman of the company, Mr. Kola Adesina, who said this at a media briefing to assess activities of the firm, two years after it took over the assets of the unbundled Power Holding Company of Nigeria (PHCN) in Lagos, maintained that the idea behind doubling the power generation capacity of the plant was to make Egbin a global hub.
This would enable companies come in and establish, thereby making the zone a confluence of industrial activities. He added that the power plant was generating a paltry 500 megawatt, adding that the huge investment injected into the asset had boosted power generation to 1,100 mw, with the support of 400 workers from the initial 800 at take-over.
“As part of its power generation expansion strategy, the company has concluded plans to double generation to 2,670mw from 1,320mw by the year 2019,” he said. The highlight of the main plant rehabilitation, according to the chairman, occurred in the first quarter of 2015, when the company successfully rehabilitated ST Unit 6, which had been completely out for 10 years, bringing an additional 220MW to the national grid and restoring the power plant to its installed capacity of 1,320MW.
Adesina, however, said that its operations were being threatened by about N39 billion debt. The huge debt profile was owed the company by the Federal Government for electricity generated since its takeover in November 2013 to date. According to him, the N39 billion debts were taking a negative toll on the operations of the company.
The Egbin Power Plc boss explained that funds paid to the Federal Government for the acquisition of the power assets were sourced from banks, lamenting that interest rate on the fund was accumulating, a development, he said, was not good for the business.
On manpower, he said that the company has employed 107 young engineers, who have successfully completed a training programme in South Korea and are back to Nigeria and fully integrated into the system. He explained that the need to replace the ageing workforce, which was inherited at take-over, informed the decision of the management to recruit young engineers who would easily fit into the new vision of Egbin power plant.
He maintained that the company was equally considering the option of renewable energy. In this regard, he said the power plant would be exploring the option of solar energy for its new staff quarters.