Lagos State Ministry of Energy and Mineral Resources, in partnership with the Office of Public-Private Partnerships (PPPs), has announced a call for bids to develop gas-fired power plants as part of the ‘Clean Lagos Electricity Market’ (CLEM) initiative.
Gatekeepers News reports in an official statement released on Thursday, signed by Biodun Ogunleye, the Commissioner for Energy and Mineral Resources, and Bukola Odoe, Special Adviser on PPP, the government emphasised the urgent need for sustainable energy solutions due to the inadequacy of the national grid’s energy supply.
This announcement follows a significant issue, as the national grid experienced its second collapse in just 72 hours, resulting in a nationwide blackout. Lagos State reported that its electricity demand exceeds six gigawatts (GW), approximately 6,000 megawatts, whereas the current supply from the existing distribution companies (DisCos) falls below 2GW (2,000 megawatts) during peak periods.
To address this gap, the state plans to establish four energy hubs located near existing DisCos substations throughout Lagos.
“The Lagos State Ministry of Energy and Mineral Resources (MEMR), in collaboration with the Office of Public-Private Partnerships (OPPP) and other developing partners, is pleased to announce its intention to allocate sites for the generation of grid-connected electricity for the Clean Lagos Electricity Market (CLEM),” the state government said.
“The minimum intended generation capacity of electricity for each of the four hubs shall be 500MW which one or more power-generating firms shall generate.
“The minimum expected generating capacity for participation in any of the four hubs for any firm shall not be less than 100MW.”
It said the project scope for ensuring energy efficiency includes financing, engineering, procurement, construction, commissioning, and testing to meet grid-specified performance criteria.
The state further requires that the preferred bidder operates and maintains the plant, ensures a constant supply of relevant fuel, and generates no less than 100MW for the allocated clean Lagos electricity market.
Requirements:
Lagos state requires that all bidders be either a single company or a consortium of companies with the necessary technical, financial, legal, and specialist expertise.
In the case of a consortium, Lagos state said the members must jointly submit the required information and identify a lead company, which will be responsible for liaising with the project delivery team and managing the consortium’s performance.
According to the statement, prospective bidders are to register electronically on the state’s public procurement agency e-procurement platform at lagosppa.gov.ng, through which required documents will be submitted.
Lagos State said the deadline for applications is 5 pm, November 22, 2024.
