Geregu Power Plc has signed an agreement with Siemens Energy for the supply of three generator transformers, in a move
Geregu Power Plc has signed an agreement with Siemens Energy for the supply of three generator transformers, in a move aimed at reducing equipment-related outages and improving the reliability of its 435-megawatt power plant in Kogi State.
In a statement, the company disclosed that the agreement covers transformers for the plant’s three generating units, GT11, GT12 and GT13, and forms part of the electricity producer’s investment in maintaining and modernising critical infrastructure.
The procurement is expected to strengthen the reliability of the plant’s connection to Nigeria’s national grid by reducing the risk of transformer-related failures that could disrupt generation and electricity delivery.
“Under the agreement, Siemens Energy will handle the design, manufacture, testing and delivery of the three transformers, while Geregu Power will participate in Factory Acceptance Testing before the equipment is shipped to Nigeria.
“The testing process will allow the power producer to assess the equipment against agreed specifications before delivery and installation,” the company disclosed.
The agreement comes as power generation companies seek to improve the performance and reliability of existing assets amid persistent challenges facing Nigeria’s electricity supply chain.
For Geregu, the investment focuses on critical components serving its three generating units, which operate Siemens V94.2 gas turbine technology and have a combined installed capacity of 435 megawatts.
Transformer reliability is essential to the operation of power plants because failures can interrupt the evacuation of generated electricity to the grid, potentially reducing available supply and increasing maintenance costs.
By replacing or upgrading the transformers serving its generating units, Geregu aims to minimise equipment failure risks and support safer, more reliable plant operations.
The agreement also deepens the existing relationship between Geregu Power and Siemens Energy, whose equipment is already deployed at the Ajaokuta-based facility.
Geregu Power said its continued investment in critical plant infrastructure reflects its commitment to operational excellence, long-term asset reliability and improved electricity delivery to the national grid.
However, the company did not disclose the financial value of the transformer supply agreement, the expected delivery timeline or when the new equipment would be installed and commissioned.
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Chinwe Michael is a Nigerian business journalist and media professional with over 4 years of experience covering companies, financial markets, banking, fintech, economic policy, financial inclusion, and corporate affairs. She currently leads the Companies & Markets desk at BusinessDay, where she drives coverage of Nigeria’s corporate and capital markets, translates complex financial data into accessible stories, and mentors younger journalists. Prior to that, she was the head of the financial inclusion/fintech desk. With a background in banking and finance and extensive experience in media and communications, Michael has developed expertise in financial journalism, economic analysis, investigative reporting and market intelligence. Her work examines how monetary policy, corporate performance, capital flows, technology, and regulatory decisions affect businesses, investors, and households. She was selected from about 3,000 applicants as one of 20 journalists for Cohort 4 of the MTN Media Innovation Programme, gaining exposure to new approaches to journalism, technology, and media innovation. Her international journalism experience and engagement with professionals across Russia, Dubai, Saudi Arabia, and others in different sectors have further broadened her understanding of global communication and development.