Two years after the Edo State government signed a Memorandum of Understanding (MoU) with Azura Power (West Africa) Ltd to build a 450mw Independent Power Plant (IPP) near Benin City the state capital, the firm? is yet to commence any construction at the project site.
LEADERSHIP gathered that the facility was expected to be operational by second quarter of 2015 if site preparations and construction which is expected to begin in the fourth quarter of 2012 and completed by the fourth quarter of 2014, goes according to plan.
In addition, testing and commissioning is expected to be undertaken between the fourth quarter of 2014 and completed by the first quarter of 2015. The lifetime of the project is expected to be 20 years and decommissioning to take place from 2035.
Investigation indicated that a major problem facing the takeoff of the plant is the approval of the Environmental Impact Assessment (EIA) which the company submitted in February to the Federal Government and the World Bank which are studying same.
The EIA was submitted by Azura Power to meet requirements for a Partial Risk Guarantee from the World Bank’s International Development Association together with insurance cover from the World Bank’s Multilateral Investment Guarantee Agency.