Oyo State Power Infrastructure Receives Major Boost With Federal Government Approvals.
The Federal Government has greenlit two transformative power projects in Oyo State, aimed at tackling persistent electricity shortages and enhancing grid reliability across the region. The decisions, announced following a Federal Executive Council (FEC) meeting, involve the rehabilitation of the Ikere Gorge Hydropower Plant and the construction of a new 132/33kv transmission substation in the Lalupon/Ejioku axis of Lagelu Local Council.
The new substation, set to be located in Lalupon/Ejioku, is expected to significantly improve power supply to Iwo Road, Monatan, Olodo, and surrounding areas in Ibadan. Minister of Power, Adebayo Adelabu, described the initiatives as critical steps in modernising Nigeria’s ageing power infrastructure and expanding access to electricity, particularly in underserved communities.
The Ikere Gorge Hydropower Plant, situated in Iseyin, has been underutilised since its commissioning in 1980 under former military Head of State, Olusegun Obasanjo. Originally launched in 1979, the facility will now undergo a major upgrade, increasing its generation capacity from 6 megawatts (MW) to 20MW through a 30-year public-private partnership (PPP) concession. Adelabu disclosed that the original concessionaire failed to meet contractual obligations, leading to the project being reassigned to Messrs Quaint Power and Infrastructure Nigeria Limited. A revised fee structure has been introduced to ensure the project’s long-term sustainability.
The revitalised hydropower plant is poised to enhance electricity access in the Oke Ogun region, fostering rural development and supporting micro and small-scale enterprises. These developments align with broader efforts to address Nigeria’s power challenges, which Adelabu recently estimated require $10 billion annually to resolve.
The approvals come amid ongoing concerns about Nigeria’s energy sector, including doubts over its nuclear energy ambitions and plans to overhaul underperforming electricity distribution companies (DisCos). Nevertheless, these projects mark a significant step towards improving power reliability and economic growth in Oyo State.