Press Releases

Fashola Commissions 10MW Island Power Project
…Calls for urgent implementation of nation's Power Sector Programme

May 25, 2011 - Lagos State Governor, Mr Babatunde Fashola (SAN) on Wednesday formally commissioned the 10 Megawatts Island Power Project with a call for an urgent completion of the implementation of the nation's Power Sector Programme.

Speaking at the Cable Street, Lagos location of the power plant, Governor Fashola who pledged that his administration would embrace the power sector reform programme enunciated by President Goodluck Jonathan, however, declared, "I hope that all those entrusted with the responsibility of implementing the power sector programme will find the courage, urgency and dedication that is necessary to finally free up the sector and let private capital come into it".

Governor Fashola said the 10MW Island Power Project is a modest beginning from which the administration intends to expand to many areas in the Lagos Island and ultimately the entire State adding that the State Government has already conducted a power audit for 500 buildings in the Central Business District (CBD).

He added that an IPP of about 114 Megawatts would be needed to power the 500 buildings in the CBD, stressing that already a group of investors are showing interest in the project.

The Governor who was very assertive about the intention of the Government to lead from the front informed that with the Island Power Project Government will save about 46 percent of the revenue of what would have been spent on diesel and generators as well as poisonous fumes which may reduce life expectancy.

He said what may prove to be a challenge to the plan is how to move gas which would be used to power the IPP from Ijora across the lagoon to the Island, which the government is committed to surmounting.

Governor Fashola also said another benefit of the new IPP is that it will take off about 30 generators with capacity ranging from 10 KVA to 100 KVA.

The Governor also informed that the State Government has commissioned a power audit for Shomolu which is unarguably the capital of printing business in Nigeria to provide independent power supply to the area adding, however, that the only challenge for the project is land as the government will need about 4000 square metres of land for the project.

According to him, a Power audit of the State Secretariat Alausa is almost completed and procurement will soon commence, adding that it is expected that the public power supply not taken up will be deployed by the Power Holding Company (PHCN) to members of the public who need it.

Also nearing completion Governor Fashola said is the power audit for the Matori Industrial Estate to provide power to manufacturers. He enumerated the structures and areas to benefit from the Island Power Project to include the Lagos High Court, J.I.C Taylor Magistrate Courts, the Island Maternity Hospital, the Lagos House, Marina and street lights in at least 20 streets on the island.

The 20 streets are Broad Street, Tinubu Square, Bamgbose Street, Igbosere Road, Lawson Street, Catholic Mission Street, Ganiyu Smith Street, Glover Street, Mobolaji Bank- Anthony Street, Brook Street, Joseph Street, Campos Street, Campbell Street, Ajele Street, Odunlami Street and Kakawa Street.

"Cumulatively, the Island Power Project will be powering over 230 street light installations, 40 courtrooms, eight operating theatres, 153 chamber mortuary, 16 clinics/centres which include 2 HIV/AIDS clinics, 2 emergency centres that harbor three fully equipped Lagos State emergency ambulances and a special babies unit", the Governor explained.

He said the project from conception to its commissioning took less than 18 months which makes it the fastest ever executed IPP in Nigeria, adding that an interesting innovation of the project is that it comes with a 24 hour dedicated call centre for street light queries which will ensure the immediate attention of relevant officials to issues relating to street lights.

The Governor said the second phase which is specifically designed for commercial off-takers and some public infrastructure, will focus on the supply of power to some other State Government facilities located in that axis including the E-learning Centre (Odunlami Street), Massey Children's Hospital (Massey Street), Onikan Health Centre (King George V street), City Hall (Catholic Mission Street and Freedom Park (Broad Street).

Governor Fashola also said the project is a strong evidence of the power of the private sector to drive change in any society adding that the Lagos Government takes pride in the project and the many PPPs that it has enabled, to expand the opportunities to the economy.

Speaking earlier, the Managing Director of First Bank Plc, Mr Bisi Onasanya said Lagos State has in Governor Fashola a good example of what good governance should be like.

He said with what the Lagos State Governor has already achieved in independent power supply, it has become a model and good example which other states in Nigeria should emulate.

Mr Onasanya disclosed that First Bank currently is not on public power supply but utilizes 4.5 MW electricity based on three marine generators of 1.5 MW each to power its office in Marina.

Describing the situation as shameful, the First Bank boss said the development is inevitable because the organization has to power its business outfit and expressed readiness of First Bank to finance the second phase of the Island Power Project once the state Government gives the go ahead.

In his address, the Managing Director of Fidelity Bank, Mr Reginald Ikejiahi commended the foresight of the state government in initiating the project which is the second to be handled by Fidelity Bank for the state after Adiyan power project.

While expressing optimism that the second phase will commence in earnest, Mr Ikejiahi said the Fidelity Bank as a bank is not only imbued with vision but has determination to 'walk the talk' concerning all such projects.

While also speaking, the Managing Director of the project management company, Negris Nigeria Limited, Chief Wole Ayoola expressed his sense of fulfillment at the completion of the project in a record time.

He expressed appreciation to Governor Fashola and his team for the implicit confidence reposed in the company to embark on the project which has an initial capacity of 10 Megawatts of power to the listed areas on a 24 hour basis.

He added that the Island Power Project will initially be fired on gas with prospects for using bio- fuel as time goes on.

The head of the power delivery team and Permanent Secretary in the Office of Works, Engineer Bamgbose Martins said the event is a milestone in the history of the commercial nerve centre of Nigeria. He added that for him and members of the power delivery team, it is indeed a rare privilege to have widwived the process which reinvigorated economic activities.

He said the IPP and the second phase will assist Lagos in overcoming the problem of power generation which has been a major problem in Nigeria and commended Governor Fashola for the opportunity to serve Lagos State.

Governor Fashola accompanied by the First Lady, the Deputy Governor, representatives of the financiers and the Project management team later switched on the power plant to the admiration of all before undertaking an inspection tour of its various component units.

The event was attended by Deputy Governor of Lagos State, Princess Sarah Adebisi Sosan, First Lady, Dame Emmanuella Abimbola Fashola, former members of the State Executive Council, the Director General of the Private Public Partnership office, Mr Ayo Gbeleyi, the Project Manager, Mrs Damilola Ogunbiyi, bank executives, permanent secretaries, captains of industries and members of the Organised Private Sector.


 

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