This project will contribute to addressing the gap in electricity supply in the north-west states in the country. In the quest to meet the demand for water in the Federal Capital Territory, (FCT), the initiative to construct a dam close to the Gurara river was conceived by the Federal Ministry of Water Resources (FMoWR) to be the most sustainable, cost-effective and feasible option. The Gurara dam situated 75km from the FCT , was designed and constructed with the main purpose of supplying water to the lower Usuma dam to meet the demand for water. In addition to fulfilling the water supply needs, the dam has been equipped with world-class amenities for hydro-power generation, irrigation, farming,tourism development and fishery farming.
Description of asset
The Gurara dam was designed and constructed with the main purpose of supplying water to the Lower Usuma dam in the FCT to meet the demand for water. The dam situated about 75km from the Abuja city centre has a crest of 3.2km in length, maximum height of 54metres and a reservoir capacity of 880MCM. The intake of the conveyance pipeline is located on the right bank, about 1.6km upstream of the dam. It has a 45m high intake tower comprising of four independent 4m high and 2.5m wide intakes equipped with stop-logs and fixed screens located at different elevation to allow withdrawal of water of the required quality. A hydraulic tunnel of 1.2km long, lined with concrete, with a 4.3m internal diameter extends from the tower, which is bored in the granitic hill of the right bank. A gate of 3.6m high and 4.45m wide is located at the entrance of the hydraulic tunnel.
Description of services
The Ministry plans to integrate a 30MW power plant into the Gurara Dam Works which is expected to produce 115 GWh of energy annually (a 44% annual capacity factor). The water from the Gurara reservoir will be used to produce hydroelectricity using the water that is available once the water supply demands have been satisfied .
Rationale for selection of PPP model
The proposed model for the concessioning of the hydropower component of the dam will require one concessionaire to take custody of the project for a period of time as determined by the financial analysis. Under this form of PPP, the concessionaire will be responsible for the use of the asset in generating hydropower, and connecting to the transmission network made available by the Transmission Company of Nigeria (TCN) on behalf of the federal government to the sub -station for distribution.
In view of the above mentioned , an Operate and Maintain (O & M) was selected as the best PPP methodology for concession of the project, whereby the concessionaire will be responsible for the asset in generating hydroelectric power and connecting it to the transmission network made available by the Transmission Company of Nigeria (TCN).
Stakeholder engagement sessions carried out with key stakeholders.
Project Summary document
The Gurara hydropower project is a viable candidate for concessioning through PPP. In comparison to proceeding with the untenable public sector route, the PPP option should deliver improved services and better value for money primarily through the appropriate transferring of risk, leveraging of private sector innovation, greater asset utilisation and an integrated life-cycle management, underpinned by private financing.