IPPs Are Filling A Critical Gap in The Power Sector – Aiyela

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The Managing Director and CEO of Welbeck Electricity Distribution Limited, Mr Afolabi Aiyela, has praised the role of independent power producers (IPPs) in enabling the realization of the goals of the power sector reform.

Mr Aiyela who briefed newsmen in his office on the new projects being undertaken by his company, said independent power producers such as Welbeck are filling a critical gap in the power industry by serving specific communities such as industries, commercial hubs and essential services. For instance, he notes that since the takeoff of Welbeck, a leading IPP, it has successfully delivered over six IPP for specific communities in Lagos and around the country.

According to Aiyela, “IPPs are meeting the critical needs of specific communities such as industries, commercial hubs and estates, which would otherwise have faced difficulties with unreliable power from the national grid. At Welbeck, for instance, we serve some key establishments across the country and it will surprise you that the pricing is a lot more competitive than you would get with alternative sources of power.”

Aiyela who was speaking after inspecting the installation of the company’s Oregun IPP located within the Oregun industrial hub in Lagos, said that Welbeck is currently undertaking three new power projects in Lagos, Imo and Oyo states. This includes a 2.2MW (megawatts) plant for industrial consumers in Oregun Industrial Hub.

National growth LS

The new IPPs have been hailed by consumers as timely. According to Mr Reina, GM of K3 Industries, a leading packaging company established in 2004, the “new IPP is a welcome development within the Oregun industrial hub that will go a long way to promote production and growth respectively. ” To the managing director of 111 Solid Drive Enterprises, one of the top soundproof producers in Nigeria,

Mr. Saad: ”The proposed newly built IPP to be sited within this industrial hub is a lofty development particularly at this time because it will help to sustain stability of power needed by our company for production and manufacturing.”

The company’s second ongoing IPP project is the Owerri IPP, a 3.3mw facility, located in the heart of the Agro Allied industrial estate, which will facilitate the supply of cheap and reliable power supply to commercial consumers in the area. The third IPP in Ibadan will produce 3.3MW for specific consumers. In addition to the new ongoing IPPs, Welbeck has existing IPPs at Ladipo (1MW), Ojota IPP (6.6MW) and Apapa IPP (3MW).

Reiterating that reliable power supply is critical to Nigeria’s economic recovery and growth, Aiyela called on the federal and state governments to partner IPPs to deliver on projects for their commercial enclaves. He observed for instance that the Lagos State government has been supportive of the company’s projects in the state, adding that, “it is the way to go for states, especially many of them with commercial and residential clusters.”

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