Construction giant, Julius Berger, has said it is considering potential partnerships with credible investors willing to invest in the upgrade of Nigeria’s electricity supply systems.
Julius Berger, like General Electric (GE), which has staked claims in Nigeria’s emerging electricity industry with investments in capacity upgrade and technology transfer, has indicated that it will explore opportunities to invest in the power sector.
“We are exploring of course in the power sector, which is the area we see the future. We also see the future in gas and oil. There is no doubt that gas and oil will be there in 20 years and longer but our core business is still building and road construction,” said the Managing Director, Julius Berger Nigeria, Mr. Detler Lubasch.
Lubasch stated at the just concluded 2015 edition of the Nigerian Oil and Gas (NOG) conference and exhibition in Abuja that the current reforms in the power sector comes with great potential that the company would like to tap into.
He said: “As you all know, Nigeria needs infrastructure and this is our core business. We will be involved in power plants, that is where we see an environment that will grow and we want to be part of that.
“Julius Berger will be there as a partner to establish the techniques to erect power systems in Nigeria. It is going to be thermal that we will be doing and not hydro.”
In this regard, Julius Berger seeks to initiate the kind of partnership that GE has with Nigeria. GE for instance is partnering with the Ministry of Power to support the development of 10,000 megawatts (MW) of power over the next 10 years in the country.
It has also partnered a number of local power generation companies to ramp electrical output throughout the country, as well as with the Niger Delta Power Holding Company (NDPHC) in the construction of its 10 power plants under the National Integrated Power Project (NIPP).
Julius Berger in 2014 emerged the preferred bidder and signed an agreement with GE for the construction of a multi-modal manufacturing and assembly plant in Calabar, Cross River State.
The facility owned by GE would when completed, have an improved ability to support a broader range of product lines in power generation as well as oil and gas exploration and production.
It is part of the $1 billion investment plan announced by GE Chairman, Jeff Immelt in January 2013, which the company would invest in Nigeria.