Reps to Investigate $38.Million NNPC-NAOC  Okapi Independent Power Plant Project 

The House of Representatives has mandated its  the Committee on Power to conduct a comprehensive investigation into the funding and contractors – the Nigerian Agip Oil Company and Saipem Contracting Nigeria Limited and  ascertain the impediments leading to the abandonment of the $38.7 million Okpai Independence Power Plant Project.

The House’s resolution on Tuesday was sequel to the motion of Hon. Nnamdi Ezechi representing Ndokwa East/Ndokwa West/Ukwuani Federal Constituency of Delta State.

He noted  that the Okpai Independent Power Plant project, a joint venture between the Nigerian Agip Oil Company (NAOC) and the Federal Government, received approval from the National Electricity Regulatory Commission (NERC) for the construction of phase 2;  

Ezechi said that despite the substantial investment of 38.7 million, Dollars and the commencement of Phase II construction in November 2017, the project ended up being abandoned, resulting in the dilapidation of the critical Federal infrastructure;

“Aware that the Phase II project has reached approximately 90% completion prior to its abandonment by contractors Saipem Contracting Nigeria Limited (SCNL) and Nigerian Agip Oil Company (NAOC);  

“Further notes that the project site is in a grave state of decay, with billions of Dollars’ worth of equipment and turbines unused, covered by grass, and taken over by shrubs;

“Concerned that the abandonment of the Phase II project jeopardizes significant investments and furthermore hampers increase in electricity generation for the nation;

“Also concerned that there is ambiguity surrounding the project’s contract amount, casting doubt on accountability and transparency in its execution, he said.

He said that  the Nigeria Agip Oil Company (NAOC) and Saipem Contracting Nigeria Limited (SCNL) were involved in the award and execution of the project but was disturbed about the lack of advancement of the project and  stressed  the need for government action to preserve this essential national resource.

The motion was referred to the House Committee on Power for proper investigation and to report back in 4 weeks.

%d bloggers like this: