NDPHC explains fresh Alaoji plant revival delay
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The Niger Delta Power Holding Company on Sunday attributed the delay in bringing the Alaoji power plant back to the national grid to outstanding approvals for gas supply agreements and metering systems.
It said the process has shifted the plant’s return to the national grid.
The company had missed its self-imposed August 2025 deadline to revive the troubled Alaoji power plant, raising concerns over the government’s ability to restore idle generation assets and close Nigeria’s chronic electricity supply gap.
The 500-megawatt facility, built under the National Integrated Power Project, has been out of service for almost two years, worsening Nigeria’s crippling electricity shortages.
In July, NDPHC’s Managing Director, Jennifer Adighije, had pledged that the facility would resume operations by August, describing it as a “milestone” in the company’s efforts to revive dormant generation assets.
She said the effort was part of the company’s strategic push to recover dormant generation assets and improve grid supply.
Adighije made this known during a high-level visit to the headquarters of the Nigerian Independent System Operator, where she led a delegation to seek deeper collaboration with the new management of the transmission system operator.
“When we came on board, we came up with a robust recovery strategy for improving our availability, and I can tell you that in nine months. We have improved our availability by 100 per cent or more, and we are still working to recover one additional unit in Omotosho that will come up by the end of this month, and hopefully in the month of August, the Alaoji power plant, which has been offline for about two years, is also expected to come up to the grid in the month of August, she stated during the visit.
However, findings from the latest electricity market factsheet released by the Nigerian Electricity Regulatory Commission show that Alaoji remained idle through August, contributing nothing to national generation. The report confirmed that while plants like Olorunsogo I and Omotosho I operated at above 90 per cent of capacity, Alaoji posted a zero per cent load factor.
According to NERC, most of the company’s stations are underperforming, with only Ihovbor 2 in Edo State running close to its installed capacity.
Reacting after receiving enquiries, official sources at the agency told The PUNCH that the company had completed equipment procurement but was still awaiting certification from the Nigerian Gas Infrastructure Company Limited on a gas supply agreement.
The officials who spoke on condition of anonymity confirmed that while all required equipment for the restart had been procured and delivered to the site, the Nigerian Gas Infrastructure Company Limited was yet to certify the installations.
“The plant is not ready yet. We are currently working on terms to ensure gas supply to the station, as well as finalising the metering system. The equipment for these processes has been purchased and is already on site, but since gas will be supplied through the Nigerian Gas Infrastructure Company, they need to certify them before we can commence installation,” one of the officials said.According to the source, the certification process is expected to be completed by this quarter, after which the 500-megawatt plant would return to operation. “All of these processes should be done before the end of the year tentatively, and the plant will come online,” the official added.
Another senior insider corroborated the timeline, noting that once NGIC approval is secured, the plant could be reconnected to the grid within three weeks.
“The agency is ready, but finalising gas supply details is the only hurdle. Any moment from now, once approval is granted, installation will take about three weeks, and Alaoji will resume generation and transmit to the national grid,” the source stated.
The repeated delays have reignited public concern about the Federal Government’s ability to rehabilitate idle generation assets and bridge Nigeria’s yawning electricity gap.
The latest setback means consumers will have to wait longer for additional supply from the facility.
Meanwhile, Nigeria’s average daily generation stood at 4,106 megawatt-hours per hour in August, far below the estimated 17,000 MW peak demand required to stabilise supply, accounting for a 74 per cent load factor across the grid, according to the latest factsheet released by the Nigerian Electricity Regulatory Commission.
The Commission said the ten largest energy producers contributed 79 per cent of total generation during the month, underscoring the country’s heavy reliance on a few plants for bulk electricity supply.
Data from the regulator showed that Egbin, Delta, Kainji, Zungeru, Afam, Shiroro, Jebba, Okpai, Ihovbor, and Geregu dominated the energy market in August. Among them, hydro plants such as Kainji (94 per cent load factor) and Jebba (73 per cent) sustained high utilisation levels, while gas-based stations like Afam II posted an impressive 97 per cent load factor despite low availability.
In terms of installed capacity, Nigeria’s national grid boasts 13,625 megawatts. However, only 5,514 MW was on average available in August, translating to just 40 per cent availability.
This reflects Nigeria’s long-standing struggle with poor capacity utilisation, gas supply shortages, and frequent technical faults.
The data further revealed stark contrasts in plant performance. While Olorunsogo I and Omotosho I gas plants delivered load factors of 98 and 93 per cent, respectively, Sapele Steam Plant and Alaoji Station produced almost nothing, with plant availability of two per cent and zero per cent. Similarly, Ibom Power and Rivers IPPs remained idle during the review period.
For businesses and households, the impact of these figures is telling. Nigeria’s average electricity generation still lags behind peak demand, estimated by the Transmission Company of Nigeria at over 17,000 MW.
The shortfall has forced industries to rely on expensive diesel and gas generators, a development that raises production costs and dampens competitiveness.
