KEY POINTS
- Sahara Power is investing $12m in a 12MW gas-fired plant in Lagos.
- Construction has begun, with completion expected in Q1 2027.
- The project is expected to improve power supply and support businesses, jobs and economic growth in Ogba and surrounding areas.
Sahara Power Enterprise Group has commenced construction of a $12 million gas-fired Independent Power Plant (IPP) in Lagos as part of efforts to improve electricity supply to businesses and communities in the state.
The 12-megawatt facility is being developed at the Ogba Undertaking of Ikeja Electric Plc. Construction began on Thursday, with completion scheduled for the first quarter of 2027.
The project is structured as six separate 2MW gas-fired units, a configuration designed to provide greater flexibility and maintain power availability when individual units are undergoing maintenance.
The plant is expected to supply more reliable electricity to industrial, commercial and residential areas around Ogba, Acme Road, Wemco Road and other surrounding communities.
Sahara Power said the investment is aimed at addressing persistent electricity challenges while creating an improved environment for businesses to operate, expand and contribute to economic growth.
Speaking at the groundbreaking ceremony, Group Managing Director of Sahara Power Enterprise Group, Kola Adesina, said the project represented a major commitment to Nigeria’s energy future.
He noted that more dependable electricity would help improve productivity, stimulate growth and create greater value for businesses and communities.
The Acting Chief Executive Officer of Ikeja Electric, Ogochukwu Onyelucheya, described the project as an important step towards improving the quality, reliability and sustainability of electricity supplied to customers within the Ogba axis.
She said the facility would provide a more dependable and cost-effective power source while supporting economic activity and job creation.
Onyelucheya also stressed the importance of partnerships between electricity distribution companies and private investors in developing innovative solutions to Nigeria’s power challenges.
Cummins to Handle Construction
Construction of the facility will be carried out by Cummins West Africa Limited, leveraging the company’s expertise in power generation and energy infrastructure.
The plant will use modern gas-powered generation technology designed to comply with relevant environmental, operational and safety requirements.
Sahara said the six-unit design would also include standby capacity, allowing electricity generation to continue more effectively when some units are taken offline for maintenance.
The project has received support from the Federal Government, Lagos State Government, Lagos State Electricity Regulatory Commission, Ikeja Electric, Cummins and other stakeholders.
Agege Local Government Executive Chairman, Abdul-Ganiyu Obasa, described the project as essential to improving energy security and sustainable development in the area.
He said improved electricity supply could help businesses expand, attract fresh investment and create employment opportunities.
The Ologba of Ogbaland, Oba Egbeyemi Oladimeji, also welcomed the project, expressing optimism that the plant would deliver a positive impact on Ogba and neighbouring communities.
Once completed, the facility is expected to serve industrial clusters, commercial centres, residential communities and public institutions across the Ogba axis.
