Bauchi, German Firm Negotiate On Power Plant

Arrangements have reached advanced stage between the Bauchi State Government and a German firm for the commencement of the construction of the state-owned power plant.

The state‘s Commissioner for Commerce and Industries, Alhaji Ahmed Giade, made this known in Bauchi on Monday in an interview with newsmen.

Giade said that when completed, the plant would generate 110 megawatts of electricity, more than the estimated 70 MW required by the state.

He explained that the state had an excess of 40 MW which would be sold to PHCN for distribution to the public to boost the revenue base of the state.

The commissioner said the plant would also enhance the capacity of recouping investment as well as boost industrialisation by providing an enabling environment for industrialists willing to invest in the state.

Giade said the project was under the Public-Private Partnership initiative, which Bank PHB had agreed to give the state a loan of N9.1bn, covering 70 per cent of the cost of the project.

He said the state government would contribute the balance of 30 per cent, amounting to about N3.9bn.

He said the government had begun talks with the bank to enable it to access the loan.

The commissioner said the state had released N10m to enable the company to begin work, promising that “the state government will continue to fund it.”