FG Relsolves On Concession For Zungeru Power To Cut Budgetary Allocation
In line with the decision to reduce the reliance on the federal government to fund the China Exim loans, the National Council on Privatisation (NCP) has resolved to concession the Zungeru Hydroelectricity Power Plant (ZHPP) in the Wushishi Local Government Area of Niger State to a private firm.
This decision was reached at NCP’s third meeting for 2022 held at the Presidential Villa, Abuja.
Consequently, the Council has decided to quicken the concession in a process that will enable the Bureau of Public Enterprises (BPE) to work with the Joint Technical Committee (JTC), chaired by the Chairman, Technical Committee of the NCP with members drawn from the Office of the Vice President (OVP), Ministry of Power, Ministry of Finance, Ministry of Water Resources, BPE, and Accountant General of the Federation to review and address all issues including approvals and regulations needed to proceed to the next phase of the transaction.
With this plan, a reduced time frame for obtaining approvals for key stages of the transaction process will be achieved within a short time.
The concession plan includes a Request for Qualification (RFQ) that will lead to a shortlist of successful prospective investors, Issuance of RFQ, evaluation of Technical proposals; and a shortlist of prospective investors for financial bid opening as well as setting a date for the financial bid opening.
The Zungeru Hydroelectric Power Station is a 700 megawatts hydroelectric power plant under construction in Niger State. When completed, as expected, it will be the second-largest hydroelectric power station in the country, behind the 760 megawatts Kainji Hydroelectric Power Station, also located in the North Central zone.
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