News
BPE Shortlists 174 Investors for Thermal
Stations, Distribution Coys
The Bureau of
Public Enterprises (BPE) has short listed a total of 174
investors, out of 331 applications that submitted bid to acquire
and manage the distribution companies and their thermal
stations.
According to the
spokesman of the privatisation agency, Chukwuma Nwokoh, a
total of 331 applications were received by the BPE on Friday,
March 4, 2011—being the deadline for the submission of
Expressions of Interest (EOIs) in the privatisation of the
successor companies created out of the Power Holding Company of
Nigeria (PHCN.) The statement said that seven applications were
also received for two hydro stations.
One hundred and
seventy four applications were received from prospective
investors/concessionaires interested in acquiring the four
thermal stations and the two hydro stations. One hundred and
fifty seven applications were harvested from prospective
investors interested in acquiring the eleven distribution
companies.
It would be
recalled that the BPE, had between December 13 and 20, 2010,
published adverts in local and foreign media inviting
prospective core investors to express interest in the eleven
distribution companies unbundled from the Power Holding Company
of Nigeria (PHCN.)The BPE also invited prospective core
investors to express interest in the four thermal power stations
and as concessionaires for the two hydro power stations. The
initial deadline for receipt of EOIs was Friday, February 18,
2011.
But
following representations by prospective investors who attended
the five-city Electric Power Investors’ Forum which was to court
world class investors to participate in the privatization of the
successor companies, the Federal Government approved the
extension of the deadline for the submission of EOIs to Friday,
March 4, 2011. The approval was granted by the Chairman of the
National Council on Privatization (NCP), Vice President Mohammed
Namadi Sambo. The fora were held in Lagos (January 18-19, 2011);
Dubai (January 24-25); London (January 27-28); New York
(February 1-2); and Johannesburg (February 10-11.)
The core investor
sales to be carried out through international competitive
bidding will cover the eleven electricity distribution companies
in the country. They are Abuja Electricity Distribution Company
Plc; Benin Electricity Distribution Company Plc; Enugu
Electricity Distribution Company Plc; Eko Electricity
Distribution Company Plc; Ibadan Electricity Distribution
Company Plc; and Ikeja Electricity Distribution Company Plc.
Others are Jos Electricity Distribution Company Plc; Kaduna
Electricity Distribution Company Plc; Kano Electricity
Distribution Company Plc; Port Harcourt Electricity Distribution
Company Plc; and Yola Electricity Distribution Company Plc.
The privatization
of thermal and hydro power stations, which will also be carried
out through international competitive bidding, will cover the
following companies:
Thermal Power
Generating Companies:
(1)Ughelli Power
Plc – situated in Delta area in South-South region of Nigeria
with a total installed capacity of 972 MW;
(2)Geregu Power
Plc- situated in Kogi State in North Central Nigeria with a
total installed capacity of 414 MW;
(3)Afam Power Plc
comprising of Afam I-V power stations located in Rivers State in
South-South Nigeria with an installed capacity of 776 MW; and
(4)Sapele Power Plc
located in Sapele, Delta State in South-South Nigeria with an
installed capacity of 1020 MW.
Hydro Power
Generating Companies:
(1)Kainji Power Plc
comprising Kainji Power Plants and Jebba Power Plants located in
Niger and Kwara States respectively in North-Central Nigeria;
and
(2)Shiroro Power
Plc located at the Shiroro Gorge, Niger State in North-Central
Nigeria.
Potential bidders
should be existing power distribution companies or core investor
groups with power distribution companies as long-term technical
partners. Successful bidders will be responsible for operating
the distribution companies, making the necessary investments to
improve the distribution network and customer service in line
with the objectives of the Federal Government of Nigeria set out
in the National Electric Power Policy (NEPP.)
As for the
generating companies, potential bidders/concessionaires, who
should be existing local and/or international power generators
or investors with power generators as long-term technical
partners, will be responsible for operating the stations,
improving the generation capacity and making the necessary
investments in line with the objectives of the Federal
Government of Nigeria set out in the NEPP.
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