The Director General of the ICRC, Dr. Jobson Oseodion Ewalefoh, made this known when he convened a stakeholders’ meeting, according to a statement shared with Nairametrics on Thursday by Ifeanyi Nwoko, ICRC Acting Head, Media and Publicity.
The stakeholders included the Federal Ministry of Power, the Federal Ministry of Water Resources and Sanitation, the Bureau of Public Enterprises (BPE), which acts as grantor under a power of attorney from the Ministry of Power, and the concessionaire, Penstock Limited.
Ewalefoh urged stakeholders to identify and address all issues hindering the plant’s optimal performance.
According to the ICRC, the Zungeru Hydropower Project is currently generating about 350 megawatts to the National Grid, despite having a 700-megawatt capacity.
Addressing the stakeholders, Ewalefoh said the administration was earnestly working to resolve the country’s power challenges and that PPP assets such as Zungeru could not be allowed to operate below capacity.
He further disclosed that in line with ICRC Act 2005, a final report will be submitted to the President in respect of Zungeru and other PPP-operated power plants, including Kainji, Jebba, Shiroro, Dadinkowa and Kashimbila.
He stated that signing a concession agreement is only the first step, while implementation of the terms in the PPP agreement is what delivers results.
He also urged stakeholders to note that in PPP arrangements, risks are shared and no party is doing the other a favour.
The ICRC said it and the stakeholders itemised all the legal and operational issues raised and agreed on a date for all parties to reconvene.
It also highlighted that the commission would review other existing PPP arrangements to ensure they perform optimally.
In 2024, the Federal Government formally handed over the operations of the $1.3 billion Zungeru Hydroelectric Power Plant to Penstock Limited.
The Federal Government’s handover of the plant to a private operator was part of the PPP arrangement under which the project operates.
The ICRC has now called on stakeholders to address the legal and operational issues affecting the plant’s performance.
The Zungeru plant is Nigeria’s largest hydropower project and ranks among the biggest power initiatives across Africa to secure a preferential loan facility from the Export-Import Bank (Exim Bank) of China.
The project was also expected to contribute to flood protection and provide water for irrigation.
The ICRC’s intervention comes as the commission seeks to ensure that Zungeru and other PPP-operated power plants perform optimally and deliver the expected value to Nigerians.
