Oando Plc Favour Ifeoluwa & Akinola Ajibade Oando Plc says it has completed and won the bid for the operatorship of oil block KON 13 in Angola. The firm which recently acquired Eni of Italy’s oil assets in Nigeria, said that the award of the oil block located in Angola’s onshore Kwanza Basin followed a competitive bidding process by the country’s oil and gas sector regulator. It further said hat the asset in which it owns 45 per cent participating interest, has estimated prospective resources of 770 to 1,100 million barrels of oil. Oando is handling its operations relating to the asset through its upstream subsidiary, Oando Energy Resources (OER). “Oando Plc, Africa’s leading indigenous energy solutions provider listed on both the Nigerian Exchange Limited and Johannesburg Stock Exchange is pleased to announce that its upstream subsidiary, Oando Energy Resources (OER), has been awarded operatorship of Block KON 13 in Angola’s Onshore Kwanza Basin, following a...
By Favour Ifeoluwa & Akinola Ajibade
Minister for Power, Adebayo Adelabu says Olorunsogo and Omotosho power plants are working below their capacity level.
Both plants located in Ogun and Ondo states were originally installed to generate 1,250 megawatts(Mw of electricity( 750Mw and 500Mw) respectively.
Recall that the two are some of the electricity generation plants under the Niger Delta Power Holding Company owned by the Federal Government.
Speaking during a visit to the plants, Adelabu said that the two power generation plants are highly underutilised, stressing that they operate below 25 per cent.
He said: “I am amazed at the level of underutilization of these power installations. Each of them operates below 25per cent capacity when we are still complaining that power generation is low in this country.
According to him, issues such as shortage of gas, energy invoice settlement, TCN evacuation corridor, multiple-taxation and forex are some of the factors affecting the operation of the plants.
“The under capacity utilization is due to a variety of reasons. The major part of it is the shortage in gas supply to these installations. This is why I needed to see these plants myself. To look at what can we do to improve the operational capacity of these plants.
“What we can do to repair those turbines that are down, what we can do to support these power plants to operate at impressive capacity so that power supply will improve nationwide,” he said.
The minister, who expressed delight at the size and technology of the power plants, added that their operational history is also impressive.
Adelabu said the visit is part of the nationwide visit to power installations of the Federal Government to fiscally inspect and monitor the physical state and the operational state of these power plants.
“And I have seen for myself when we get to the office, we will discuss with the management of these companies to see how we can collaborate and cooperate to ensure that the federal government comes into their assistance to support them to improve the operational capacity and consequently improve the level of power supply to the distribution companies.
“I believe that these companies are currently undervalued and before they can be disposed. I think a number of things need to be carried out by the federal government. To ensure that they are brought to a higher capacity and their valuation improves.
“If they are sold as they are currently in state. I believe the country will be losing. We have invested so much in these power installations.
“I mean they are just about 12 years old. But if you look at the running hours of all the plants that we have they are almost close to being new plants, almost all of them are below 30,000 running hours since inception.
“So with a little overhaul here and there, I believe we can get a higher generation from the combined capacity of these two plants.
“We are not stopping at Olorunsogo and Omotosho power plants alone. We are only starting from here; we will still get to other plants,” the minister said.
Chief Executive Officer, Niger Delta Power Holding Company Limited, Chiedu Ugbo, said the plants have great technical availability as well as strategic national assets adding that Nigerians need electricity and therefore no need keeping them non-functional.
Ugbo said the company has commenced a program tagged “Light Up Nigeria “ which was aimed at attracting industrial cluster who are not on the grid by providing them electricity at cost reflective tariff through distribution companies.
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