The Lagos State Government has invited independent power producers and energy solution firms to make bids for the construction of gas-fired power plants.
This initiative was announced by the Office of Public-Private Partnerships in collaboration with the Ministry of Energy and Mineral Resources.
Through the Clean Lagos Electricity Market, the initiative aims to bridge the state’s persistent electricity gap and enhance Lagos’s power supply.
With a population exceeding 20 million, Lagos requires over 6,000 megawatts of electricity, but the current supply from the national grid is less than 2,000 megawatts at peak times.
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To make up for this deficit, Lagos plans to establish four gas-fired power hubs, each requiring a minimum of 100 megawatts capacity from participating companies.
Commissioner Biodun Ogunleye and Special Adviser Bukola Odoe stated that the state’s energy requirement surpasses 6 gigawatts, while the current supply from existing Distribution Companies is under 2,000 megawatts at peak periods.
The planned power plants will be sited near existing DISCOs’ sub-stations in Lagos, with each hub expected to generate up to 500 megawatts. The project scope includes financing, engineering, procurement, construction, commissioning, and testing to meet grid-specific performance criteria.
The Lagos State Government welcomes bids from individual companies and consortia with technical, financial, and legal expertise.
Prospective bidders must register electronically on the state’s public procurement agency e-procurement platform by November 22, 2024.
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Additionally, this initiative follows President Bola’s decision to allow state governments to generate and distribute their own power, replacing the previous law that gave exclusive rights to the federal government.
Although, Nigeria has the infrastructure to generate 13,000 megawatts of power, its grid can distribute only a third of it. The Lagos State Government’s efforts aim to reduce reliance on the national grid, and position Lagos as a leader in sustainable energy solutions.
