KLD\u2019s Managing Director, Mr Akinnola Fola, said this in an interview with newsmen in Abuja on Sunday.<\/p>\n
Fola, who was speaking on the 550 million dollar power plant, said the signing of the PPA for the development of the plant would further take the discussions with lenders to a different levels.<\/p>\n
\u201cSo, signing the PPA indicates that finally the project is ready to go and that investors and lenders are now ready to support the project,\u201c he said.<\/p>\n
He said the benefit of the PPA to the project would guarantee the addition of 550MW of electricity to the national grid when completed.<\/p>\n
This, the managing director said, would ensure sustainability and government\u2019s effort to generate and distribute additional power to Nigerians.<\/p>\n
He also said that the PPA arrangement to the project would ensure future power stability in the country.<\/p>\n
\u201cYou have a power purchase agreement that will ensure that in the next 20 years you are going to get power at a particular price.\u201c<\/p>\n
He said the project sited in Ondo would attract foreign direct investments into the state through increased economic activities and employment generation for all cadre of labour during construction.<\/p>\n
\u201cThe PPA that has been signed, we still need to have some transaction agreements with lenders and financiers, then we are looking at third quarter 2018 to archive what is called financial close.<\/p>\n
\u201cAfter that we have 24 months to do the construction; so, tentatively we are looking at first quarter 2020, before we start what we call commercial operation deal,\u201c he said.<\/p>\n
Fola said given the availability of all energy resources, Nigeria had the capacity to be sufficient in power production.<\/p>\n
\u201cWe have adequate gas; we have enough water, rivers and wind. When you look at these natural resources that are available, there is no reason why we can\u2019t produce adequate power.<\/p>\n
\u201cThe presence of independent power producers in the country is a right step in the right direction taken by government. .<\/p>\n
\u201cA country like South Korea that is 50 million population generates 80,000Mega watts, while Nigeria, with a population of over 160 million, we are generating of 6,000MW.<\/p>\n