The Ossiomo Power Project in Ologbo, Edo State, is currently at the center of a dispute involving alleged sabotage of its electricity supply by former contractor, Jiangsu Communication Clean Energy Technology Co. Ltd, CCETC.
Ossiomo acquired its industrial park project site in 2008 and began developing its industrial park the same year, while the power company was formally incorporated in 2013 and later secured regulatory approvals in 2015.
CCETC was introduced to Ossiomo Power in 2017 by Sinohydro/Power China.
In 2018, Ossiomo Power and CCETC entered into a Joint Venture Agreement to develop a 100-megawatt power plant, with an initial 50-megawatt phase.
Under the agreement, CCETC committed to contributing 750,000 US dollars in equity within 90 days of the transfer of the Power Purchase Agreement to the Project Company, which was completed in April 2019, as well as providing 53 million dollars in debt capital from Chinese banks for the project financing.
However, Ossiomo alleges that CCETC failed to fulfill both its equity and funding obligations and is now actively obstructing the company from supplying power to its customers from the Quadrant Power Plant.
The Quadrant Power Plant, also located at the Ossiomo Industrial Park, is wholly owned by the Ossiomo Group and has nothing to do with CCETC whatsoever.
At the time of this report, attempts to get the reaction of CCETC was impossible, but Independent Television and Radio is willing to air the company’s reaction whenever they are ready.
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