…says we are making progress
BY CHRIS OCHAYI
ABUJA: The Federal Government has insisted that the $1.85 million benchmark cost for the Zungeru Hydroelectric power project was a very competitive price relative to similar projectsin the world.
The Minister of Power, Prof Chinedu Nebo, who said this while inaugurating the Zungeru Community Relations Committee in Abuja, explained that the project was competitively tendered for since 2007, but its implementation was stalled on account of paucity of funds.

The 19-member Committee headed by AlhajiIsahJibrin, GarkuwaNupe, as Chairman, was charged mainly to coordinate and liaise with Emirate Council on all community issues and compensation to facilitate timely realisation of the project.
He said, “Let me use the opportunity of this event to address a recent publication in the print media about the purported high cost of the Zungeru project.

“It is to be recalled that this project was competitively tendered for since 2007 but implementation was stepped down on account of paucity of funds.”
Nebo also said, “Under the leadership of President Jonathan, the Federal Ministry of Finance had moved swiftly to finalise the Exim Bank of China loan covering 75% of the project cost.

According to him, “the major change to the 2007 project cost was to reflect the changes in project design and installed capacity. The Zungeru project has a benchmark cost of US$1.85m per installed MW; this is a very competitive price relative to similar projects worldwide. “The International Renewable Agency, IRENA, an inter-governmental organization supporting countries in the development of sustainable energy future, indicates that the 2012 levelised investment cost for large hydropower is in the range of US$1.050m to US$7.65m per MW.”