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Power purchase agreement with Nigerian refineries

The Nigerian National Petroleum Corporation (NNPC) has signed a 20 year power purchase agreement (PPA) with Genesis Electricity for the installation of General Electricity’s (GE) TM2500+ units at the Port Harcourt refinery. There is also agreement related to the future modernisation of Nigeria’s other two refineries.

The three 25 MW trailer-mounted TM2500+ aero-derivative gas turbines, supplied by GE at the Genesis utility, will provide both the baseload and back-up power to generate uninterrupted power at the refinery. The gas turbines installation will ensure that Nigeria’s largest oil refinery has the power it needs to overcome chronic grid outages and return to full capacity for refining. The grid outages have reduced Port Harcourt Refining Company’s output to 30% of its total maximum capacity of 210,000 barrels per day.

The NNPC and private marketers are forced to import large volumes of refined petroleum products to meet the country’s domestic needs. According to Akinwole Omoboriowo, the CEO of Genesis Electricity, the turbine units will enter commercial operation in August 2014, giving the refinery the power it needs to return to full capacity. As a result, Nigeria will be able to drastically reduce its use of imported refined fuel products.

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