Nigeria Maintains Pressure on Power Projects and Hydrocarbon Energy Sources

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Written by Richard Finlayson, Senior International Editor for Industrial Info Resources (Sugar Land, Texas)--Nigerian government ministers and officials have announced continued initiatives in the power and energy sector. Professor Bart Nnaji, the Power Minister of Nigeria, said that the government is planning to construct three coal-fired power stations in the Enugu, Kogi and Gombe states, with a combined generation capacity of 3,000 megawatts (MW). The new plan would help to diversify Nigeria's sources of electrical power, he said.

The federal government would only make reasonable investments in the projects with a view to attracting other investors in parallel with progress made on power sector reform. Nnaji said that the federal government would hold about 25% of the projects, with state governments and private-sector investors holding the balance. The projects could take about four years to complete.

In regard to possible environmental-based criticism from the international community on new coal-burning power stations, Nnaji said that environmental groups were not expected to display double standards when countries like the U.S. and South Africa produce more electricity from coal other sources.

In addition to huge coal resources, Nigeria also has the cleanest type of coal. In particular, coal from Enugu and Benue has low ash and is of high calorific value, and Kogi coal is friable and easy to use in the production of smokeless coal briquettes, Nnaji said.

On the question of options on the revival of the old Oji River coal-fed power station, which was destroyed during the 1967-70 civil war, the minister said that the unit was obsolete, only produced 35 MW, and did not match the current level of population and economic activity in Nigeria.

Nigeria's Ministry of Petroleum Resources, Africa Petroleum Producers Association (APPA) and a consultant Ametrade are organising the first Oil and Gas Africa Finance and Investment Conference, which is to be held in Nigeria in mid-November of this year.

Objectives of the conference include cooperation among member countries in hydrocarbons; exploitation; production; refining petrochemicals; manpower development; legal considerations on the acquisition and adaptation of technology; the promotion of technical assistance among member countries in the areas in which individual members have acquired valuable experience; the coordination of marketing policies; strategies of member countries; and the exchange of information.

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