The Lagos Power Purchase Agreements initiative has taken centre stage as the Lagos State Government signed key deals with Mainland Power Limited, Fenchurch Power Limited, and Viathan Engineering Limited to strengthen electricity generation and distribution across the state.
Eko Hot News reports that Governor Babajide Sanwo-Olu witnessed the signing ceremony at Lagos House, Marina, alongside top government officials including the Attorney-General, Lawal Pedro (SAN), Commissioner for Energy and Mineral Resources, Biodun Ogunleye, and Special Adviser on Public-Private Partnerships, Bukola Odoe.
The Lagos Power Purchase Agreements underscore the state’s commitment to decentralising electricity supply and ensuring a stable, sustainable power sector through innovative public-private collaboration.
Speaking at the event, Governor Sanwo-Olu described the agreements as a critical pillar of his administration’s urban renewal agenda, noting that they are designed to tackle persistent outages, improve energy reliability, and create a more business-friendly environment for residents and investors.
He further highlighted the significance of the Lagos Power Purchase Agreements as a milestone in Public-Private Partnerships (PPPs), commending Mainland Power for its operational consistency since 2015. The Governor urged all partners to remain efficient and committed in delivering under the Independent Power Producer Procurement (IPPP) framework.
Providing technical insights, the Commissioner for Energy and Mineral Resources noted that the Mainland Power Plant in Ikeja GRA, with an installed capacity of 8.8MW and contracted capacity of 5.8MW, remains a vital component of Lagos’ embedded generation network. The facility supplies electricity to strategic areas from Ikeja to Oshodi, including critical infrastructure such as LASUTH and LASURA.
He added that the Viathan Engineering-led Island Power projects in Lekki and Marina, with a combined installed capacity of 21MW, play a crucial role in supporting power supply on Lagos Island. While the Lekki plant operates a hybrid gas-diesel system, the Marina facility uses a dual-fuel configuration to ensure flexibility and reliability.
These facilities are expected to deliver dedicated power to high-priority locations, including the Lagos State Government House, Deputy Governor’s Residence, Lagos Island General Hospital, and Lagos Island Maternity Hospital.
Similarly, the Fenchurch Power and Aggregate Utilities concession is set to revive the Akute Independent Power Plant, positioning it as a major energy hub. With a base capacity of 26MW and expansion potential, the plant is currently undergoing rehabilitation after years of inactivity and is expected to support critical infrastructure such as the Adiyan Water Works.
The government noted that the Lagos Power Purchase Agreements reflect its strategy of revitalising dormant assets, leveraging private sector expertise, and scaling up reliable electricity infrastructure across the state.
With these developments, Lagos moves closer to achieving a 24-hour economy, driven by improved power supply, enhanced grid stability, and reduced dependence on the national grid.
Stakeholders believe the Lagos Power Purchase Agreements will deliver both immediate and long-term benefits, including increased generation capacity, stronger support for SMEs and industrial clusters, and improved public welfare through safer, well-lit communities.
