Abia govt seeks to buy part of EEDC

Governor Alex Otti of Abia State says his administration wants to buy the part of Enugu Electricity Distribution Company (EEDC) that supplies electricity to Umuahia, the Abia State capital.

Mr Otti explained that the decision was to provide an uninterrupted power supply to the Umuahia axis of the state, where Geometric Power does not cover.

The governor spoke on Monday at the Geometric Power Station in Aba during an event in the facility, according to a Monday statement from his spokesperson, Ukoha Njoku.

The event, which was a reception, was organised by the management of Geometric Power.

Nigeria’s former President, Olusegun Obasanjo, performed the commissioning ceremony of the company’s new “2 X 15 MVA, Ogbor Hill Sub-Station” during the event.

Why we plan to purchase EEDC – Governor

Before now, the EEDC had been the power distribution company in charge of electricity supply in south-east Nigeria, including Abia State.

But on 26 February 2024, the Geometric Power Plant located in Aba, Abia State, was commissioned by Vice President Kashim Shettima.

After reaching an agreement with the plant, the EEDC allocated nine of the state’s 17 council areas to Geometric while retaining power supply in the remaining eight, including Umuahia.

Owned by Nigeria’s former Minister of Power, Barth Nnaji, the 188 megawatt Geometric Power Plant has since generated power for nine of the 17 local government areas in Abia.

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The nine local government areas are Aba North, Aba South, Osisioma Ngwa, Obingwa, Ugwunagbo, Isialangwa North, Isialangwa South, Ukwa East and Ukwa South – all in the Abia Axis of the state.

Aba Power Limited Electric is a subsidiary of Geometric responsible for distributing the power generated by the plant.

Speaking at the event, Mr Otti explained that the need to buy the Umuahia branch of the EEDC was to ensure an improved power supply to the capital city’s residents, given that they are not within areas allocated to the Geometric Power Plant.

The governor said he had directed the commissioner for power and public utilities to hold discussions with the management of the Geometric Power Plant over the wheeling of its excess power to Umuahia.

“We are in the process of buying EEDC and restructuring Umuahia. By tomorrow (Tuesday, 6 May), we will be making an offer to EEDC.

“We have done all the due diligence, we have done all the evaluations, and by tomorrow, we will be making an offer to EEDC,” he said.

He expressed hope that with the 11 existing substations of the Geometric Power Plant and the nine council areas connected, about 80 megawatts of excess power would be available for the Umuahia area.

“Ordinarily, what would happen is for that excess power to be injected into the national grid, but then, with the deregulation, our discussion with Geometric Power is about wheeling that 80 or 88 megawatts or any excess power into the Umuahia ring-fence.

“So, once we are in control, that excess power will go to Umuahia,” Mr Otti stated.

The governor lauded Mr Obasanjo for some courageous actions he took as president, including isolating Aba as a “ringed-fence” long before the federal government granted states authority to regulate electric power.

He also commended the Chief Executive Officer of the Geometric Power Plant, Mr Nnaji, a professor, for investing in Abia State.

Include remaining LGAs, Obasanjo begs Nnaji

Also speaking, the former president, Mr Obasanjo, appealed to Mr Nnaji to include the remaining eight local government areas in the state that were not yet covered by the Geometric Power Plant.

The former president hailed Mr Otti for his style of leadership in the South-eastern state.

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Describing Aba as the centre of industrialisation, which deserves steady power, Mr Obasanjo congratulated Messrs Otti and Nnaji as well as the entire Abia people on the success of the project so far.

‘Geometric Power Plant has gulped $800 million’

Earlier in his remarks, the Chairperson and CEO of Geometric Power Plant, Mr Nnaji, said the Aba Integrated Power Project had gulped about over $800 million so far.

He praised Messrs Otti and Obasanjo for their roles, which were instrumental to the realisation of the power project.

The former minister said Mr Otti deserves commendation for his support for the project during his time as the Executive Director of First Bank and later, Diamond Bank, now defunct.

He stressed that Mr Otti, as a governor, has created an enabling environment for the power project to thrive.

The event was attended by top government functionaries, some local government chairpersons and state lawmakers.