In a significant move to bolster Nigeria’s power generation capabilities, Geregu Power PLC, a leading power generation solutions provider, and Siemens Energy have signed a Memorandum of Understanding (MOU).
This agreement aims to jointly develop solutions for expanding the capacity of the Geregu 1 power plant, ensuring sustainable, resilient, and efficient power generation. The collaboration also focuses on safeguarding the longevity of assets, all in support of the growth and sustainability of the Nigeria Electricity Supply Industry (NESI).
The signing ceremony occurred in Berlin on Wednesday, May 29, 2024. The event featured detailed discussions and proposals for various initiatives, including upgrading the Geregu 1 power plant’s capacity from its current 435MW to 500MW.
Additionally, plans were made to establish combined cycle operations that will generate an extra 200MW and build new facilities using lower-emission turbines. These new builds are projected to add another 500MW, leading to the creation of Geregu 3 and bringing Geregu Power PLC’s total nameplate capacity to an impressive 1200MW.
The strategic initiatives are designed to achieve several key objectives, including increasing the power plant’s overall capacity and enhancing the operational efficiency of power generation.
The initiatives will also lower emissions by implementing technologies that reduce emissions while increasing earnings through enhanced operational performance.
Mr. Femi Otedola, Chairman of the Board of Directors of Geregu Power PLC, led the Geregu Power team, while Mr. Dietmar Siersdorfer, Managing Director for the Middle East and Africa, headed the Siemens Energy delegation.
In a statement by Geregu Power’s Company Secretary, Akinleye Olagbende, it was emphasized that the company is also partnering with the Lagos State Government to deliver the state’s first private electricity transmission network.
This initiative is part of Geregu Power’s broader strategic efforts to consolidate its investments in the power sector. The company is actively pursuing mergers and acquisitions and forming strategic partnerships to expand its market share and boost operational efficiency.
The Geregu 1 power plant comprises three simple cycle natural gas-fired Siemens V94.2 STG5-2000E gas turbine generator units, with a total installed capacity of 435MW. These turbine units, designated GT11, GT12, and GT13, each produce 145MW at 15.75kV, which is then stepped up to 330kV via a 173.6 MVA power transformer. The plant generates approximately 10% of Nigeria’s total power consumption.
The collaboration between Geregu Power PLC and Siemens Energy signifies a promising future for Nigeria’s power sector. The planned capacity expansions and technological upgrades will significantly enhance the country’s power generation landscape, contributing to a more stable and efficient electricity supply system. This partnership highlights both companies’ commitment to driving progress and sustainability in the Nigerian power industry.