… mandates Siemens/PPI to upgrade Ayede substation, build new 330kV Asejire station within 24 months
Oredola Adeola
Bolaji Tunji, Special Adviser, Strategic Communications and Media Relations to the Minister of Power, made this known in a statement obtained by Advisors Reports on Wednesday.
According to him, the decision, which was ratified during Monday’s Federal Executive Council (FEC) meeting, signalled a push to modernize infrastructure and boost electricity access.
Advisors Reports gathered that the new substation to be located in Lalupon/Ejioku axis of Lagelu local government area will boost power supply to Iwo Road, Monatan, Olodo, and the adjoining areas in Ibadan.
The Siemens-backed Presidential Power Initiative (PPI) is also expected to upgrade the 60-year-old 330KV Ayede substation and the construction of a new Asejire 330 kV substation, further stabilizing the grid for over 5 million residents.
The upgrade is expected to be completed within 24 months.
Bolaji stated, “Originally launched in 1979 under the military regime of former President Olusegun Obasanjo and operationalized in 1980 during President Shehu Shagari’s tenure, the Ikere Gorge Hydropower Plant will now undergo a significant upgrade.
Chief Adebayo Adelabu, Power Minister, in his comment on the development, revealed that the facility’s capacity will expand from 6MW to 20MW under a 30-year public-private partnership (PPP) concession.
He said, “The project, initially stalled due to a preferred bidder’s failure to finalize terms, was re-concessioned to a reserve contractor, Messrs Quaint Power and Infrastructure Nigeria Limited, after the original offer lapsed.
Adelabu further emphasized that the revitalized plant will prioritize energy access for Oyo’s Oke-Ogun communities, with an upwardly revised concession fee ensuring long-term viability.
He stated that the construction of the substation in Lalupon/Ejioku is expected to be funded directly by the Federal Ministry of Power to resolve frequent outages and grid instability and alleviate pressure on the grid.
Adelabu noted that the infrastructure will serve as a backbone for strategic investments, enhance service delivery, and align with President Tinubu’s Renewed Hope Agenda for sustainable energy.
The Minister explained that both initiatives are expected to catalyze socio-economic growth by improving power reliability for households, small businesses, industry, educational institutions, and health institutions.
Adelabu said, “These interventions will directly uplift livelihoods, attract industries, and position Oyo State as a model for Nigeria’s energy transition.”
