The Niger Delta Power Holding Company has announced the restoration of the 450-megawatt Alaoji Open Cycle Power Plant in Abia State after 36 months of shutdown caused by gas supply disruptions, metering disputes, and mounting debts.
The Managing Director and Chief Executive Officer of the NDPHC, Jennifer Adighije, disclosed this during a meeting with the Governor of Abia State, Alex Otti, where she briefed the state government on efforts undertaken to revive the facility.
According to a statement issued on Thursday by the Head of Corporate Communications and External Relations at NDPHC, Emmanuel Ojor, the plant was shut down in 2023 after disputes emerged over gas metering and trading points, prompting TotalEnergies to suspend gas supply to the station.
The shutdown also led to the accumulation of outstanding financial obligations owed to the gas supplier, worsening operational challenges at the facility.
The Alaoji Power Plant is one of Nigeria’s major government-owned power generation facilities developed under the National Integrated Power Projects aimed at addressing the country’s long-standing electricity shortages.
Located in Alaoji, near Aba in Abia State, the plant was conceived during the administration of former President Olusegun Obasanjo as part of efforts to expand generation capacity using proceeds from excess crude oil savings.
The project is managed by the Niger Delta Power Holding Company, the special purpose vehicle established to execute the National Integrated Power Projects across the country.
The Alaoji facility was designed primarily as a gas-fired power plant because of its strategic proximity to gas reserves in the Niger Delta region. It operates as an Open Cycle Gas Turbine plant and was built in phases to support electricity supply to the South-East and the national grid.
Despite its potential, the plant has experienced recurring shutdowns and underutilisation over the years. One of the major challenges has been an inconsistent gas supply caused by pipeline vandalism, commercial disputes, metering disagreements, and debts owed to gas suppliers.
Speaking during the meeting, Adighije, an indigene of the state, said restoring the Alaoji plant became a top priority after she assumed office in 2024, given the strategic importance of the plant to the national grid and power supply in the South-East region.
She explained that the company undertook extensive technical and financial interventions to bring the facility back into operation.
“The Niger Delta Power Holding Company has restored operations of the 450 megawatts Alaoji Open Cycle Power Plant in Abia State after it was shut down in 2023 over gas supply and metering disputes. The good news is that we have carried out and fixed all the remedial works on the defective gas line. We’ve also been able to completely defray our past due obligations to Total, and Total has restored gas supply to the plant,” she said