16 January 2014, Abuja – Federal Executive Council (FEC) Wednesday approved the sum of N1.9 billion for the supply of 746-kilometer of Aluminium Conductor Composite Core Reinforced (ACCR) for the re-conduction of the Onitsha-New Haven 330kv transmission line.
The approval was sequel to a memo brought before it by the Minister of Power, Prof. Chinedu Nebo, who sought approval for the award of the contract.
Briefing journalists shortly after the FEC meeting, Nebo said the project would generate about 3,000 employment during the installation of the conductor.
He equally disclosed that the multiplier effect of additional 400 mega watt of power to the thriving areas of New Haven, Abakaliki and Makurdi would stimulate the generation of over one million jobs.
“The Transmission Company of Nigeria (TCN) intends to fund the contract for the supply of the 746-kilometer of ACCR conductor from the $135 million allocated to TCN from the proceeds of the Eurobond recently issued by the federal government.”
“The reinforcement of the line would improve the nation’s transmission capacity and facilitate the evacuation of stranded generation from Afam and Okpai power plants.
“Council approved the award of contract for the supply of 746-kilometer of ACCR for the re-conductor in favour of Composite Technology Corporation (a United States firm) in the sum of $11.2million payable at the prevailing rate of exchange plus N189.43 million inclusive of five per cent Value Added Tax (VAT), with a delivery period of 20 weeks” the minister stressed.