Oyo State Govt. Set To Commence Independent Power Project

The Oyo State Government has started an independent power project to supply electricity to government institutions in Agodi, Ibadan, and the surrounding areas.

Engineer Seyi Makinde, the governor of Oyo State, announced this in a message posted on his Twitter page on Saturday.

“Earlier today, we flagged off the Oyo State Independent Power Project. The 11MW hybrid power plant is being executed by Elektron Energy on a Build-Operate-Transfer model.

“It will provide power to government facilities within the Oyo State Secretariat, Agodi, Ibadan and environs,” he tweeted.

In his remarks, the Governor debunked the myth that energy distribution is solely the responsibility of the federal government, and that any power generated at the state or municipal level must first be fed into the national grid before being distributed.

“Subject to such terms and conditions as the National Electricity Regulation Commission (NERC) may fix in the licence, a distribution license will authorize the licensee to construct, operate, and maintain a distribution system and facilities,” according to Section 67(1) of the Electric Power Sector Reform Act 2005. Independent electricity distribution, according to the Governor, is legal.

Makinde stated that “based on this, the Oyo State Government is entering into a contract with Elektron Energy to finance and develop an 11MW hybrid power solution for the Oyo State Government, and some of its facilities within the Oyo State Secretariat, Agodi, Ibadan and environs.”

“The Special Purpose Vehicle that Elektron Energy will use to execute this contract is Ibadan Hybrid Power Limited (IH Power). IH Power will also be responsible for managing the distribution infrastructure through Ibadan Hybrid Distribution Limited, which will hold an Independent Electricity Distribution Network (IEDN) license,” he continued.

The 11MW hybrid power solution offered consists of a 10MW gas-fired power generation system and a 1MW PV solar system.

According to the Governor, the 11MW hybrid power solution will power 12 healthcare facilities, including Adeoyo Maternity Teaching Hospital, State Hospital Ring Road, Adamasingba’s Lekan Salami Sports Complex, the judicial complexes at Iyaganku and Ring Road, the state’s House of Assembly, and a selection of schools within a defined catchment from the Oyo State Secretariat’s generation plant.

This IPP will also power not less 10km radius of public lighting under the ‘Light-Up Oyo’ project,” he continued.

Makinde also assured that while the present project will initially serve government facilities, other projects “to facilitate the expansion of the state’s economic base by making power available to industrial catchments,” are also being considered.

The project’s overall cost, which would last eight months, is estimated to be above eight billion naira (N8,027,430,214 ).

About the author


Leave a Comment