Transcorp lay out $2.5 Billion to boost Power Supply

Must Read

FG, States, LGAs share N528.39bn FAAC allocation in Jan 2021

The Federation Account Allocation Committee (FAAC) disbursed the sum of N619.34bn to the three tiers of government in December...

How To Block Your Bank Account And SIM Card In Case Of Emergency

Losing your phone and wallet or having them stolen can be very frustrating. However, in case that happens to...

List of Access Bank Sort Codes & Branches (with addresses) in Nigeria

The sort code is a number which usually identifies both the bank and the branch where an account is...
- Advertisement -

The Transnational Cor-poration of Nigeria Plc  says yesterday it plans to infuse $2.5 billion in the power sector to boost power supply across the country.

Transcorp lay out $2.5 Billion to boost Power Supply - Brand Spur


The investment will be made through its subsidiary, Transcorp Power Limited.

- Advertisement -

Transcorp Power has so far injected about $1 billion in projects with a combined capacity of 700Mw, Chairman, United Bank for Africa (UBA) and Transcorp Plc, Tony Elumelu said in Abuja.

The firm submitted bid for Afam Electricity Generation Co. earlier this month, which operates a natural-gas fired power generation plant in southern Rivers state. Two other offers were received, the Bureau of Public Enterprise (BPE) said, and if Transcorp Power acquires the facility, it would add 700Mw to the firm’s power portfolio.

“We’ve expressed interest in the acquisition of Afam power plant, which we’re going to spend a lot of money on. It’ll give us 1,400Mw and we can do more,” Elumelu.

He said the power sector is riddled by debt and Transcorp Power is owed about N90 billion ($250 million). “If they’re owing you that kind of money, it affects your ability to do more and more importantly, slows your enthusiasm,” he said.

Read Also:  The CBN's move against abuse of FX: Our thoughts
- Advertisement -

Africa’s most populous nation with almost 200 million people grapples with dire power supply which has impeded economic development for decades.

Generation peaked just below 4,500 megawatts (Mw) on February 28, with a maximum capacity of 7,650Mw, according to the latest data from Ministry of Power.  South Africa, with a population a third of Nigeria’s, has an installed generation capacity of more than 47,000Mw.

Under the current system, government-backed Nigerian Bulk Electricity Trading Company buys power from generating companies (GenCos) and sells  to distribution companies (DisCos) which have had problems paying NBET due to issues collecting receipts from consumers, leading to mounting liabilities.

In 2017, the Federal Government approved a $2.2 billion payment guarantee for GenCos to help alleviate money owed by distribution firms.

- Advertisement -

Elumelu declined to comment on reports that he is in talks to acquire two oil licenses from Royal Dutch Shell Plc. People familiar with the plan said in July that Heirs Holdings Ltd., another company run by the Elumelu, was discussing with Shell the purchase of oil mining licenses 11 and 17.

- Advertisement -
Transcorp lay out $2.5 Billion to boost Power Supply - Brand SpurTranscorp lay out $2.5 Billion to boost Power Supply - Brand Spur

Subscribe to BrandSpur Ng

Subscribe for latest updates. Signup to best of brands and business news, informed analysis and opinions among others that can propel you, your business or brand to greater heights.

- Advertisement -


Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Transcorp lay out $2.5 Billion to boost Power Supply - Brand SpurTranscorp lay out $2.5 Billion to boost Power Supply - Brand Spur

Latest News

Balyesa, Delta Beat Lagos To Become Top Investment Spots For Q1 2021 – NIPC

Nigerian Investment Promotion Commission (NIPC) reports that US$8.41 billion was tracked as investment announcements for Q1 2021, about 75%...
- Advertisement -
BrandsPur Weekly Cartoons
- Advertisement -Transcorp lay out $2.5 Billion to boost Power Supply - Brand SpurTranscorp lay out $2.5 Billion to boost Power Supply - Brand Spur