Nigeria – New 600MW Coal Fired IPP Development
Provision of advisory services and financial and tariff modelling to be incorporated in to the PPA for a 2*150MW initial stage of the 1200MW coal fired IPP.
The provided services will facilitate calculation and negotiation of capacity and energy tariffs with NBET and NERC. A feature of the project was consideration of separate investments for transmission infrastructure and for fuel transportation for which a separate set of tariffs is required.The model will also:
- Simulate anticipated revenue from Power Purchase Agreements and to compute required tariff (capacity and energy) to achieve a target regulated return.
- Optimise the existing project model to meet a particular tariff by varying a small number of identified inputs, in a form that can be used for negotiation with NBET.
- Allow prospective lenders, investors and risk mitigation agencies to analyse the revenue, capex and opex to support any decision to participate in the project.