The federal government on Wednesday, September 23, says it is engaging China Energy Engineering Corporation (CEEC) to explore options for delivering the Mambilla hydropower project in Taraba state, including the possibility of implementing it in phases.
Minister of power Joseph Tegbe disclosed this during meeting in Abuja to mark his first 100 days in office.
Tegbe said the ministry had asked CEEC, also known as Energy China, to explore the most practical approach to delivering the project.
The development followed Nigeria’s recent victory in the arbitration of the Mambilla hydropower project dispute.
The minister said larger hydropower opportunities, including the Mambilla project and small hydropower projects serving agricultural corridors, form part of the country’s medium- and long-term electricity strategy.
He also said Nigeria’s recent mission to China secured commitments from several Chinese companies and financiers to support priority power projects.
Tegbe said China Machinery Engineering Corporation had reaffirmed its role in the 1.9-gigawatt Presidential Power Initiative, with the first transmission lines scheduled for delivery in the first quarter of 2027.
He added that China National Electric Engineering Company had advanced financing for the $116 million Zungeru evacuation project.
According to him, TBEA had committed to a proposed $500 million industrial park for power equipment manufacturing, while also supporting the accelerated delivery of the Presidential Power Initiative and a three-year pathway for the east-west super grid.
Tegbe said HengFei Cables had committed to supplying cables for the second phase of the Presidential Power Initiative and proposed establishing a cable assembly plant and training centre in Nigeria.
He said the next phase of the government’s power strategy would focus on grid stabilisation along the Lagos, Enugu-Port Harcourt and Abuja-Kaduna-Kano corridors.
The minister added that technical audits were being carried out along the Lagos and Abuja corridors to identify weaknesses and guide investment.
The Mambilla hydropower project dates back to a 2003 agreement between Sunrise Power and the federal government for the construction of a 3,050-megawatt plant in Taraba State under a build-operate-transfer arrangement.
Sunrise commenced arbitration against Nigeria in October 2017 over the project, seeking compensation in connection with the agreement.
In 2019, the federal government and Sunrise negotiated a $200 million settlement, but the agreement was not implemented.
The dispute continued through arbitration proceedings until the International Chamber of Commerce tribunal ruled in favour of Nigeria on Thursday, September 17.
The tribunal dismissed Sunrise Power’s claims and ordered the company and its promoter, Leno Adesanya, to reimburse Nigeria for 75 per cent of its legal fees and expenses.
The federal government’s latest move to work with CEEC is aimed at exploring practical options for delivering the long-delayed Mambilla hydropower project.
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