Projects
Where Waste Becomes
the Power Nigeria Needs
IRE’s 40 MW pyrolysis-to-power facility turns Lagos’s plastic and tire waste into clean, reliable baseload electricity — solving two crises with one solution.
Two Crises.
One Transformative Answer.
Nigeria generates over 25 million tonnes of solid waste annually, yet barely 20% is formally managed. Simultaneously, the country operates at a chronic power deficit that chokes industrial growth, stifles investment, and costs the economy an estimated $28 billion each year in lost productivity. For Lagos — Africa’s largest megacity, producing over 13,000 tonnes of waste per day — both pressures are felt most acutely.
Polyolefin plastics (PP/PE) and end-of-life tires pile up in open dumps, clog drainage systems, and pollute waterways. They are also, in the right hands, extraordinarily high-energy materials — with calorific values rivalling diesel fuel.
“The question was never whether Lagos had enough waste to power a city. The question was whether anyone had the resolve to build the machine to do it.”
International Reliance Energy & Allied Services Limited (IRE) built that machine. The 40 MW Waste-to-Energy Facility in Lagos State is the answer to both challenges simultaneously — a baseload power plant fuelled entirely by the waste streams that Lagos cannot get rid of fast enough.
Pyrolysis-to-Power: The Technology Doing the Heavy Lifting
At the heart of this facility is a proven thermochemical process called pyrolysis — the high-temperature decomposition of organic materials in the absence of oxygen. When applied to plastics and tires, pyrolysis doesn’t burn the waste. It cracks it at a molecular level, releasing two high-value fuel streams: a combustible gas (Pyro-Gas) and a diesel-grade oil (Pyro-Oil).
These fuels feed directly into four 10 MW dual-fuel gas turbine generators, producing 40 MW of gross electricity — of which 35 MW flows continuously to industrial off-takers and the grid.
Feedstock Intake
200 tonnes of waste per day — 100 t of PP/PE plastics and 100 t of end-of-life tires — arrives from sourcing networks across Lagos’s four aggregation zones: Apapa, Alimosho, Lekki, and Badagry.
Pyrolysis Conversion
Four parallel pyrolysis reactor lines process 50 tonnes each per day, thermally cracking materials at controlled temperatures to yield Pyro-Gas as the dominant fuel and Pyro-Oil as a stabilising co-fuel.
Gas Conditioning
Pyro-Gas undergoes multi-stage scrubbing and filtration — removing H₂S, particulates, and moisture — before admission to the turbines. Pyro-Oil is desulfurised and blended for safe dual-fuel combustion.
Power Generation
Four 10 MW gas turbine generators run continuously on the dual-fuel blend, producing 40 MW gross. Five megawatts powers the plant’s own operations; 35 MW exports to the grid at a continuous, bankable baseload rate.
The Scale of What 200 Tonnes a Day Can Do
The engineering calculus behind this project is exacting. Here is what the plant produces every single day it operates — and every year thereafter.
Abundance, Not Scarcity. Lagos Has More Than Enough.
A common concern for waste-to-energy projects is feedstock reliability — will the supply hold up at scale? At 200 tonnes per day, this facility requires less than 1.5% of Lagos’s total daily waste output. Supply is not a constraint. It is a managed logistics exercise.
IRE has mapped a four-zone sourcing architecture across metropolitan Lagos, drawing from a diversified network of material recovery facilities, transport and fleet garages, industrial estates, community collection networks, and private aggregators.
Plastics — 100 t/day
- Major MRF operators: 40–50 t/day
- Community collection networks: 17–23 t/day
- Private aggregators: 13–20 t/day
- Industrial estates (direct): 13–20 t/day
Waste Tires — 100 t/day
- Transport & fleet garages: 30–40 t/day
- Tire importers & dealers: 20–27 t/day
- Scrap tire networks: 20–27 t/day
- Municipal recovery: 13–20 t/day
A minimum seven-day buffer inventory of 1,400 tonnes is maintained on-site at all times, protecting the facility against any short-term supply disruption and ensuring the turbines never idle for lack of fuel.
Strong Returns on a Clear Commercial Foundation
Power purchase revenue is structured against the NERC REFIT tariff of $154.71/MWh — a stable, regulated rate that provides long-term revenue certainty. At 35 MW continuous export, the financial performance of this facility is compelling by any infrastructure investment standard.
Total capital expenditure stands at $210 million, covering four pyrolysis lines ($88M), four turbine generators ($48M), EPC and contingency provisions ($22M), civil works, gas conditioning, electrical and grid integration, and storage infrastructure. Payback is projected across a 7–9 year horizon, with the project delivering consistent annual growth of approximately 5% from Year 2 onward as operational efficiency compounds.
“At 35 MW export, this facility outperforms the earlier 30 MW configuration by $6.7 million annually — while retaining a clear technical pathway to phased expansion at 80 MW or 120 MW.”
Twenty-Four Months from Financial Close to Commercial Operation
The project follows a disciplined four-phase delivery model, from land and regulatory close through to commercial operation date (COD) at Month 24.
Financial Close & Approvals
Equity and debt close, land acquisition, generation licence application with LASERC, environmental permitting, and EPC contract preparation.
Civil Works & Procurement
Site preparation, civil and structural works, pyrolysis reactor and turbine procurement, electrical and grid infrastructure installation.
Installation & Commissioning
Full equipment installation across four pyrolysis lines, gas conditioning and scrubbing systems, first unit commissioning and testing at Month 18.
Trial Operations & COD
Phased trial runs across all four lines, staff training, PPA activation, and full commercial operation date at Month 24.
Built on World-Class Strategic Alliances
IRE has assembled a best-in-class consortium to deliver this facility — pairing deep local knowledge with international technical expertise and proven project finance capability.
Environmental Impact
- 73,000 tonnes of waste diverted from landfills annually
- Elimination of open burning of plastic and tire waste in Lagos
- Reduced methane emissions from landfill decomposition
- Displacement of diesel and heavy fuel oil generation
Socioeconomic Impact
- Direct and indirect employment across operations and supply chain
- Stable, affordable power for industrial users and SMEs
- Technology transfer and skills development in Lagos State
- Replicable model for waste-to-energy across Sub-Saharan Africa
Join Us in Building a
Cleaner, Powered Nigeria
We invite investors, off-takers, government partners, and institutional stakeholders to engage with IRE on this transformative infrastructure opportunity.
VIDEO DEPICTING THE PYROLYSIS PROCESS FOR WASTE TYRES