Sahara Power Enterprise Group has begun construction of a $12 million independent power plant in Ogba, Lagos, as part of efforts to improve electricity reliability for businesses and communities within the Ikeja Electric network.
The 12 megawatt project is being developed at the Ogba Undertaking of Ikeja Electric and is scheduled for completion in the first quarter of 2027.
The plant will consist of six two megawatt gas fired generating units.
It is expected to serve industrial clusters, businesses, households and public institutions around Ogba, Acme Road, Wemco Road and surrounding communities.
Sahara Power Group Managing Director Kola Adesina said the project was designed to provide a dependable and cost effective source of electricity while supporting productivity and business growth.
He said the investment formed part of the company’s wider strategy to develop practical solutions across Nigeria’s electricity value chain.
The facility will use modern gas powered generating technology and is expected to operate under established environmental and safety standards.
Ikeja Electric Acting Chief Executive Officer Ogochukwu Onyelucheya said the project could improve electricity quality and reliability for customers in the targeted areas.
She said partnerships with private investors were increasingly important as distribution companies sought alternative supply arrangements to reduce pressure on the national grid.
Cummins West Africa will handle construction of the power plant.
The company said it viewed the project as an opportunity to support economic development through more reliable energy infrastructure.
Agege Local Government Chairman Abdul Ganiyu Obasa said improved electricity could attract investment and support job creation.
The project will be closely watched as one of several embedded and independent generation initiatives aimed at improving supply in industrial and commercial areas without relying entirely on centrally dispatched grid electricity.
