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Oyo Power Boost: FG Approves Key Energy Projects, Revives Ikere Gorge Hydropower Plant

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By Joycelyn Ellakeche Adah

In a decisive push to upgrade Nigeria’s electricity infrastructure and improve power delivery in Oyo State, the Federal Government has approved two strategic energy projects.

These include the revitalization and concession of the long-dormant Ikere Gorge Hydropower Plant and the construction of a new high-capacity power substation in Ibadan.

Persecondnews reports that the projects were ratified at the Federal Executive Council (FEC) meeting held on Monday, signaling a renewed commitment to tackling Nigeria’s perennial power supply challenges and modernizing key energy assets.

The Minister of Power, Chief Adebayo Adelabu, announced that the 6MW Ikere Gorge plant—originally commissioned in 1980 under the then President Shehu Shagari administration—will undergo a transformation to expand its generation capacity to 20MW under a 30-year public-private partnership arrangement.

Originally stalled by delays from the preferred bidder, the project has now been re-awarded to reserve contractor, Messrs Quaint Power and Infrastructure Nigeria Limited.

Adelabu said the revived concession comes with an upgraded fee structure and a mandate to deliver reliable electricity to underserved Oke Ogun communities in Oyo State.

In a complementary development, the government also greenlit the construction of a 2 x 60MVA, 132/33kV transmission substation in the Lalupon/Ejioku axis of Lagelu Local Government Area.

The project, part of the Siemens-supported Presidential Power Initiative (PPI), will strengthen supply to critical areas in Ibadan including Iwo Road, Monatan, and Olodo.

The new infrastructure is expected to ease the burden on the overworked Ayede substation—commissioned over six decades ago—and will be accompanied by a new 330kV substation at Asejire.

The combined upgrades are projected to stabilize grid operations and ensure reliable electricity for more than five million residents in the region. Completion is estimated within 24 months.

“These interventions will directly uplift livelihoods, attract industries, and position Oyo State as a model for Nigeria’s energy transition,” Adelabu said.

He emphasized that the projects align with President Bola Ahmed Tinubu’s Renewed Hope Agenda for sustainable national development.

With these approvals, the Ministry of Power aims to close longstanding infrastructure gaps, stimulate economic activity, and boost investor confidence in Nigeria’s energy sector.

 

 

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