The Director of the Water Supply and Public Private Partnership (PPP) unit of Nigeria's Federal Ministry of Water Resources has stated that the Ministry is in negotiations with a preferred and reserved bidder for the concession of the 30 MW Gurara hydropower plant in Kaduna State.

The concessionaire will be responsible for operating and maintaining the already constructed plant. The electricity generated will be fed into the transmission network, made available by the Transmission Company of Nigeria for distribution.

The dam was designed and constructed with the main purpose of supplying water to the Lower Usuma Dam to meet the demand for water. It is located about 75km from the Abuja city centre and has a crest of 3.2km in length, maximum height of 54m, and a reservoir capacity of 880MCM.