The House of Representatives is set to Investigate the Abandoned 38.7 Million Dollars Phase 2 of the NNPC – NAOC Joint Venture Okpai Independence Power Plant Project
This followed the motion moved by
Hon. Nnamdi Ezechi lawmaker representing Kwale/Ukwuani Federal Constituency of Delta State and was seconded by Hon. Sani Bala.
The lawmaker in his motion noted that
the Okpai Independent Power Plant project, a joint venture between the Nigerian Agip Oil Company (NAOC) and the Federal Government, received approval from the National Electricity Regulatory Commission (NERC) for the construction of phase 2.
He also observed that despite the substantial investment of 38.7 million, Dollars and the commencement of Phase II construction in November 2017, the project ended up being abandoned, resulting in the dilapidation of the critical Federal infrastructure;
“Aware that the Phase II project has reached approximately 90% completion prior to its abandonment by contractors Saipem Contracting Nigeria Limited (SCNL) and Nigerian Agip Oil Company (NAOC) and that the project site is in a grave state of decay, with billions of Dollars’ worth of equipment and turbines unused, covered by grass, and taken over by shrubs’
Concerned that the abandonment of the Phase II project jeopardizes significant investments and furthermore hampers increase in electricity generation for the nation;
Also concerned that there is ambiguity surrounding the project’s contract amount, casting doubt on accountability and transparency in its execution;
Having recognises the fact that the Nigeria Agip Oil Company (NAOC) and Saipem Contracting Nigeria Limited (SCNL) were involved in the award and execution of the project, the lawmaker is disturbed about the lack of advancement of the project and the need for government action to preserve this essential national resource;
The house however mandated the Committee on Power to conduct a comprehensive investigation into the funding and contractors, which includes the Nigerian Agip Oil Company and Saipem Contracting Nigeria Limited, ascertain the impediments leading to the abandonment of the project, and report back within four (4) weeks for further legislative action.