Power Sector And Other Related News Review For Monday November 13th 2023
AEDC Deploys Off-Grid Connections in Rural Communities
The Abuja Electricity Distribution Company (AEDC) has said the renewable energy and off-grid connection will serve as a means to connect rural communities to electricity in its coverage areas.
The managing director of AEDC, Christopher Ezeafulukwe, who spoke on the sideline of the commissioning of a 352.24Kwp solar hybrid mini-grid in Toto Local Government of Nasarawa State, said it is exploring innovative business models that would augment its grid supply with off-grid sources such as mini-grids.
Ezeafulukwe stated that the model is to help deal with the challenges posed by the macro-economic realities that make it commercially unviable for distribution companies to serve some locations within their coverage areas under the current grid arrangement.
He said the successful execution of the mini-grid project by AEDC in collaboration with PowerGen and REA indicated the renewed commitment to optimize renewable energy and off-grid opportunities to complement its grid capacity.
Mini-Grids Will Boost Economic Activities in Communities – AEDC
The Managing Director/CEO, Abuja Electricity Distribution Company, Mr. Christopher Ezeafulukwe has noted that the deployment of interconnected mini-grids in unserved and under-served communities will boost economic activities for rural dwellers across the country.
Mr. Ezeafukukwe who stated this on Thursday at the commissioning of the 352.24kWp interconnected mini grid in Toto community, Nasarawa State, said the successful execution of the unique project by AEDC in collaboration with PowerGen Nigeria Limited and the Rural Electrification Agency, REA, was a testament to the company’s renewed commitment to optimize renewable energy and off-grid opportunities to complement its grid capacity to ensure sustainable electricity supply to our esteemed customers.
The project was commissioned by the Minister of Power, Chief Adebayo Adelabu.
The AEDC boss who was represented by Barr Olajumoke Delano, Head, Regulatory and Government Relations disclosed that the interconnected mini-grid project which was initiated by the company in 2020 to explore innovative ways to better serve its customers was borne out of AEDC’s desire to provide more reliable electricity supply to underserved communities like Toto.
AEDC to Execute More Interconnected Mini-Grid Projects
The Abuja Electricity Distribution Company (AEDC) has revealed its plan to establish more interconnected mini – grid projects after the commissioning of the 352.24KWP Toto Interconnected mini – grid project in Nasarawa State.
In his remarks at the commissioning ceremony, its Managing Director, Mr. Christopher Ezeafulukwe, said “So, AEDC will leverage this success to forge stronger partnerships and collaboration that would see us execute more of this type of projects.”
The project which AEDC put in place in partnership with PowerGen with support from the United States Trade and Development Agency (USTDA) is connected to 2000 customers.
Ezeafulukwe added that as AEDC has seen the product of effective partnership amongst Government agencies and the private sector, more unwavering support should be given to many more projects that today will inspire.
He described it as a robust self-sustaining electricity market in Nigeria, noting it is a must for sustainability in the electricity supply.
According to him, the successful execution of this unique interconnected mini-grid project by AEDC in collaboration with PowerGen and REA is a testament to the renewed commitment to optimize renewable energy and off-grid opportunities to complement its grid capacity to ensure sustainable electricity supply to its customers.
Give N900bn Electricity Subsidy to Sector’s Vulnerable, Expert Tells FG
The Federal Government has been urged to channel the N900 billion that it reportedly plans to spend on electricity subsidy to the vulnerable in the sector. The Chairman of Wester and Gas, George Etomi, made the call in an interview with CNBC Africa, seen by New Telegraph yesterday.
According to the interview, the Federal Government plans to subsidise electricity for Nigerians in December 2023, due to the current economic challenges in the country. Etomi, noted that subsidies are not new, but canvassed that they must be targeted to where it will make the most required positive impact.
According to him, ideally, they should go to the most vulnerable in the sector. He also advised that the issuance of subsidies should be done in a manner that will not distort the economics of the entire value chain so that market confidence would be retained.
According to him, it is very important for the electricity regulator to be involved in it so that market confidence would not be eroded. He also said that Nigeria’s electricity sector has spent a long journey towards getting the privatised sector working.
N900 Billion Electricity Subsidy in Nigeria Should Go to The Vulnerable – George Etomi
The N900 billion that the Federal Government plans to spend on electricity subsidy should go to the vulnerable. This is according to George Etomi, the Chairman, of West er and Gas.
He said this in a recent interview with CNBC Africa.
During the interview, it was noted that the Federal Government is planning to subsidize electricity for Nigerians in December 2023, due to the current economic downturn in the country.
George Etomi, however, said that although subsidies are not new, they must be targeted and ideally, they should go to the most vulnerable in the sector.
He said it is expected that the issuance of subsidies will be done in a manner that will not distort the economics of the entire value chain so that market confidence is retained.
Acts Against Electricity Transmission Network Investigated in Angola
The most recent of these incidents occurred at kilometer 36 of the line that transports electricity from the Cambambe substation, in the province of Kwanza Norte, to Viana, in Luanda; where a 400-kilovolt high tension tower collapsed due to the theft of elements of its structure.
In this regard, the Minister of State and head of the President’s Military Household, Francisco Furtado, considered the day before that these were selective sabotage actions that should be categorized as terrorism.
He assured that the National Security and Defense Forces “will fight hard to neutralize the groups that are creating situations of instability, to make the country’s development unviable”. He said, “They are currently monitoring indications that will be presented in due time”.
The Minister of Energy and Water, João Baptista Borges, in declarations to Angola Public Television on the subject, said that the situation is worrying because of the frequency with which these damages occur to the electricity transmission network from the dams to the distribution centers.
Korea Electric Power Turns to Profit in Q3 on Rate Hike
The state-run Korea Electric Power Corp. (KEPCO), the dominant electricity supplier in the nation, said Monday that it turned a profit in the third quarter, driven by adjustments in electricity rates amid volatility in global energy prices.
Net profit came to 833.3 billion won (US$629 million) in the July-September period, shifting from a loss of 5.88 trillion won a year earlier, according to the company’s regulatory filing.
Operating profit was 1.99 trillion won, compared with a loss of 7.53 trillion won a year ago, while sales rose 23.8 percent to 24.46 trillion won, it added.
The earnings beat market expectations. The average estimate of net profit by analysts stood at 792.4 billion won, according to a survey by Yonhap Infomax, the financial data firm of Yonhap News Agency.
KEPCO had been posting an operating loss for nine consecutive quarters through June.
The company attributed the profit to increases in electricity bills, which have been raised five times since April 2022. This year, KEPCO raised the rates by 8 won per kilowatt hour (kWh) in the second quarter, following a 13.1 won increase per kWh in the first quarter.
Over the January-September period, KEPCO said its electricity sales moved up 28.8 percent on the back of higher rates to 61.8 trillion won.