Sahara Power Enterprise Group has commenced construction of a $12 million, 12-megawatt gas-fired Independent Power Plant in Ogba, Lagos, in a fresh private-sector investment aimed at improving electricity supply to businesses and communities across one of the state’s major commercial corridors.
The project, located within the Ogba Undertaking of Ikeja Electric Plc, comprises six 2MW generating units and is scheduled for completion in the first quarter of 2027. It is expected to supply industrial clusters, businesses, residential communities and public institutions across Ogba, Acme Road, Wemco Road and surrounding areas.
For investors, the development highlights the increasing role of embedded and independent generation in addressing Nigeria’s unreliable electricity supply. The plant is designed to provide a more dependable and potentially cost-effective source of power to customers within Ikeja Electric’s network, potentially supporting productivity for businesses that currently depend heavily on diesel and petrol-powered self-generation.
The investment also deepens Sahara Power’s presence in Nigeria’s electricity value chain. The company previously participated in the 180MW Afam II power project commissioned in Rivers State in 2025.
Construction will be undertaken by Cummins West Africa, while Ikeja Electric is partnering with Sahara Power on the project. Investors will now watch construction progress, commissioning in 2027 and the plant’s eventual contribution to electricity reliability and commercial activity within the Ogba axis.
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