NDPHC Restores Alaoji Plant After 3-year Shutdown, Eyes 800MW Expansion

The Niger Delta Power Holding Company (NDPHC) has restored the Alaoji Open Cycle Power Plant in Abia State after a three-year shutdown and is exploring expansion of the facility to about 800 megawatts.

NDPHC managing director and CEO Jennifer Adighije, who made this known, said the plant was closed in 2023 following gas supply and metering disputes that left the facility offline.

Adighije, who disclosed this during a meeting with Governor Alex Otti of Abia State, explained that the 450 megawatt plant was shut down after disparities emerged between metering and trading points, leading gas supplier TotalEnergies to suspend supply to the facility, while debts also accumulated.

According to her, upon assuming office in 2024, the company made the restoration of the Alaoji plant a priority.

“We have carried out and fixed all the remedial works on the defective gas line. We’ve also been able to completely defray our past due obligations to Total, and Total has restored gas supply to the plant,” Adighije stated, according to a release from the agency.

Adighije added that extensive electromechanical works had also been completed on the plant, leading to the restoration of three generating units, GT1, GT22 and GT23, which are now available to dispatch about 375 megawatts to the national grid.

She noted that the plant has adequate transmission infrastructure and no major evacuation constraints, making it a viable generation facility for grid-imported electricity.

The NDPHC boss also commended the Abia State government for reforms in the electricity sector, especially the Aba ring-fenced power arrangement and the establishment of the state electricity regulatory agency.

She said the company was leveraging the Electricity Act and the evolving bilateral electricity market to partner with states and eligible customers to improve power supply nationwide.

“We would love to form a strategic alliance with Abia State, considering the fact that you are very driven and determined to secure uninterrupted electricity for the good people of Abia State,” she said.

Responding, Governor Otti commended the management of NDPHC for bringing the Alaoji plant back to life, describing the development as critical to the state’s economic growth and industrial development.

“The last time I visited the Alaoji plant, it was regrettable that such capacity was wasting away. I’m glad to learn that you have brought it back to life,” the governor said.

Otti revealed that the plant could eventually be expanded to 800 megawatts and later to about 1,100 megawatts, subject to the availability of funds.

He reiterated that power remained one of the most critical drivers of economic development, noting that his administration prioritised electricity infrastructure since assuming office in 2023.

The governor also disclosed that the state government had ring-fenced the Umuahia electricity market and entered into an agreement with the Enugu Electricity Distribution Company to acquire electricity distribution assets covering Umuahia and surrounding areas.

According to him, the state would require about 100 megawatts to service the eight local government areas under the Umuahia ring-fence, while investments in renewable energy and mini-grid projects were also ongoing.

He directed the state Commissioner for Power to work with NDPHC officials on modalities for wheeling electricity from the Alaoji plant to Umuahia and other parts of the state.

Otti assured the NDPHC management of the state government’s support, urging the company not to relent despite challenges in the power sector.

Speaking after a tour of the plant, the Abia State Commissioner for Power and Public Utility, Engr. Monday Ikechukwu assured Adighije of the state government’s willingness to partner with the company.

He said the state was ready to commence commercial negotiations with NDPHC, stressing that adequate power supply remains a priority for the government.

Earlier, the acting chief operating officer, Alaoji Power Plant, Emenogu Augustine Uzoma explained that the plant was ready for full operations.