By Isaac Markson-Asaba
Chairman of Bastanchury Power Power Solutions Limited, Mr Goziem Chidi has debunked speculations that the Delta State Government has invested huge funds as contribution in the N16 billion 8.5MW Independent Power Project under construction in Asaba, the state capital.
The chairman has also denied that the state has been paying Bastanchury Power N164 million monthly for the past three years, revealing that the company was not entitled to receiving any money until it had supplied power to the government.
Speaking at the site of the IPP with our reporter, Mr Chidi said allegations that the project was a drain pipe were totally unfounded, pointing out that Bastanchury ought to be commended for initiating and executing the 8.5MW scheme at no cost to the government.
“The real challenge is that our people are convoluted in their understanding of how embedded independent power is funded. This is not a contract. So, no money is paid to a contractor. ASABA IPP is funded through a consortium of financial institutions. The process is transparent and the are internationally recognised standards for sourcing such funds”, he explained.
Mr Chidi revealed that the Power Purchase Agreement (PPA) signed between the Delta State Government and Bastanchury, backed by an Irrevocable Standing Payment Order (ISPO) was the guarantee needed to source for funds, adding that as result, the project has been concluded under the estimated 18 months period.
Rather than condemn the ASABA IPP, or speculate that the project was a drain pipe, the Bastanchury boss stated the state, especially, the Governor, Senator Ifeanyi Arthur Okowa should be specially commended for foresight and exceptional courage to see the project to the end at no cost to the government.
“Governor Okowa should be commended for exhibiting foresight and exceptional courage for this project at no cost to the Delta State Government. There are no scams anywhere. Once we takeoff, all our traducers will shut their mouths”, he declared.