Federal Government will soon begin the manufacturing of the state-of-art transformer in Kogi State.
This is coming on the heels of the Memorandum of Understanding (MoU) signed in Abuja by the Federal Government represented by the National Agency for Science and Engineering Infrastructure (NASENI) and the Chinese Great Wall Corporation on the establishment of transformer manufacturing plant in Kogi State.
The Federal Government and Chinese Great Wall Corporation through the National Agency for Science and Engineering Infrastructure (NASENI) had in 2013 signed a MoU to establish a local transformer manufacturing plant in Okene, Kogi State-permanent site of the Power Equipment and Electrical Machinery Development Institute (PEEMADI), one of NASENI’s development institutes.
The joint Nigeria-Chinese project on transformer manufacturing plant is valued at $170 million.
Speaking in Abuja on Wednesday when he led a team of 10 officials of Chinese Great Wall Corporation, the spokesman of the group, Mr. Ao Pei Yong, said the project on completion, would be the second largest transformer producing plant in Africa.
Yong explained that the visit was intended to achieve two things namely the process of setting up the transformer manufacturing plant and the initiation of China Railway project manufacturing processes in the country.
He added that the visit was also to ensure the harmonisation of government regulations and policies in all related issues.
Explaining further, he said the transformer manufacturing project covers electric power and distribution, power transformer as well as high voltage testing laboratory.
“Once this project is completed, Nigeria will have the capacity to achieve a Nigeria brand of transformer not only for self-sufficiency but the country can export to other parts of Africa.”
He however noted that the project would be completed not later than three years.
On the role of Bank of China, he said, “the bank can give financial backing in form of loan and financial advisory support to the project.
According to him, “the Bank of China interest rate is lower and also its operations meet financial requirements of Nigeria. They can also give us as far as ten years moratorium for financial loan. So, I think the budget cannot be a problem, the Bank of China is a strong supporter.”
In his speech, the Executive Vice Chairman of NASENI, Prof. Mohammed Haruna, pointed out that Nigeria cannot continue to assemble only the power modules but must upgrade to local production to provide efficient power supply services for the nation.
The NASENI boss said he was optimistic that the project would not only assist in generating steady power supply in the country but also enlist Nigeria as one of the few countries in the world that has transformer manufacturing plant.
