The Federal Government has entered a 30-year concession agreement with Quaint Energy to develop the long-abandoned Ikere Gorge Hydropower Project in Oyo State, marking a major step toward expanding Nigeria’s clean energy supply.
The agreement was signed on Wednesday in Abuja and supervised by the Minister of Power, Adebayo Adelabu. He said the deal concludes more than 10 years of discussions aimed at bringing the long-delayed hydropower project back to life.
According to Adelabu, the 6-megawatt Ikere Gorge plant, together with the planned 2-megawatt Omi-Kampe project in Kogi State, forms part of government efforts to boost renewable energy, widen electricity access, and support state-level power markets.
The minister stressed that small hydropower schemes like these can play an important role in rural development by powering farming hubs, small businesses, and community infrastructure.
Although the Omi-Kampe concession signing was postponed to allow final adjustments to the contract, Adelabu said both projects reflect the government’s commitment to encouraging private-sector investment in electricity generation.
He explained that the administration is working to provide a stable regulatory environment and reduce risks for private developers through transparent and credible partnerships.
Ikere Gorge Dam, located in Iseyin, Oyo State, was originally designed in the late 1970s as a multi-purpose facility for power generation, irrigation, and water supply. Construction began in the early 1980s but stalled after partial installation of equipment, leaving the hydropower component inactive for decades.
Adelabu also provided updates on the country’s metering efforts, announcing that N700bn from the Federation Accounts Allocation Committee has been set aside for the Presidential Metering Initiative. This comes alongside a World Bank-backed plan expected to add more than three million new meters nationwide.
He stated that ongoing power-sector reforms have helped increase industry revenue by 70% in 2024 and reduce government liabilities by N700bn.
The minister added that new investments are flowing into the power sector, supported by the National Integrated Electricity Policy, which has attracted over $2bn so far. He also highlighted Nigeria’s first grid synchronisation with the West African Power Pool—linking all 14 member countries for several hours—as a key achievement for regional energy cooperation.
Chairman of Quaint Energy, Femi Adeyanju, assured that the company is prepared to deliver the project on schedule and according to international standards, saying the development will benefit nearby communities and showcase the company’s capacity in renewable energy.
