NERC Grants Green Energy 40MW Power Generation Licence


Kasim Sumaina in Abuja 

The Nigerian Electricity Regulatory Commission (NERC) has granted Green Energy International Ltd (GEIL), the operator of the Otakikpo Marginal field an embedded Licence for 40 Megawatts of electricity (40 MW) power plant.

The approval was sequel to the company’s application for power generation licence, to utilise its gas resources for power generation, as part of its commitment to the federal government’s use of gas from the field for power and domestic gas projects.

Director Corporate Affairs, Green Energy International Limited, Olusegun Ilori, in statement, quoted the Chairman of the company, Prof Anthony Adegbulugbe, to have disclosed that the company had earlier secured a generation licence for 12 MW to increase its projected power generation capacity to 40 MW following the increase in associated gas that would be produced from enhanced oil production during the second phase of the Otakikpo field.

Adegbulugbe, added that in addition to providing electricity for company’s field power requirements and access to electricity for the host communities (Ikuru town, Asuama  Ayama Ekede,Ugama Ekede and Asu Oyet), the 40MW power plant would provide power to the Otakikpo Industrial Park which would be sited in Ikuru town in Andoni local government, Rivers State.

“Some of the committed projects to be located at Industrial Park include an Onshore Oil Terminal, 5000bpd modular refinery and a mini LNG plant to serve the domestic market.”

He said the company has already on site six MW electric power plant undergoing installation under the first phase of the small-scale gas utilisation program (SSGUP).

The 6MW would be commissioned in third quarter 2019, while the 40 MW would come on-stream by Q2 2020.

He also disclosed that the 12mmscfd gas processing plant for which the approval to construct (APC) was received from the federal government in Q4 of 2018 was currently undergoing FAT (Factory Acceptance Test), at the manufacturing facilities of the Chinese company -Peiyang Chemical Equipment Co. Ltd (PCC), the original equipment manufacturer (OEM). 

“The LPG extraction plant will be operative in Q4 2019 thereby increasing the source of LPG to the local market.”

He, however, expressed gratitude to the NERC for approving the licence, saying it underscored the government’s determination to increase access to power for economic development of the Niger Delta.