Power Sector And Other Related News Stories For Friday August 18th 2023
Stakeholders Urge Adelabu to Tackle Value Chain Misalignment in Power Sector
As the new Minister of Power, Adebayo Adelabu, settles into his role, many stakeholders have urged him to address the issue of value chain misalignment and integrate all aspects of the sector.
The issues range from power generation to transmission and distribution. The stakeholders said the areas must align to ensure a seamless and efficient supply.
The power sector in Nigeria has long been plagued by inefficiencies, with outages and interruptions being common occurrences, with significant impacts on businesses and households.
Before ECOWAS Sanctions, Niger Planned to Cut Electricity Dependence on Nigeria
It was almost a personal obsession of former President Mahamadou Issoufou of Niger – the quest for energy independence from Nigeria.
He took on the planned construction of the Kandadji hydroelectric dam. When it wasn’t going fast enough, he fired the Russian contractors, talked a good game to convince investors and secured loans from multilateral organisations and insisted it was going to be his legacy.
The dam was supposed to be built 180km northwest of Niamey, by the Russian state-owned hydroelectric specialist Zarubezhvodstroy, with completion originally scheduled for 2015. The $170m deal was canceled after what Nigerien president Mahamadou Issoufou called “intolerable delays.”
How Senate Can Help Reduce Electricity Tariff
Electricity consumers in Nigeria pay tariffs which are determined by the technical and economic regulator of the Nigerian electricity sector, the Nigerian Electricity Regulatory Commission, after concluding a rate review process involving different stakeholders in the industry. Regulated electricity tariff is not unique to Nigeria; it is also used in advanced electricity markets such as the United Kingdom, France to mention a few. Regulating electricity tariff is to ensure that consumers are not exploited and that efficient electricity distribution companies also realise a fair return on investment. Electricity tariff review is a periodic exercise carried out by the regulator to reflect changes in inflation and service-related costs. This can result in an increase or a reduction in the price of a unit of electricity.
REEEA Kick-Starts Process To Bridge Knowledge Gap In Renewable Energy
Renewable Energy and Energy Efficiency Associations (Alliance) REEEA recently flagged off processes to bridge knowledge gap in renewable energy sub sector by organizing trainings for women, youths and persons with special needs as well as media practitioners in the Nigerian Electricity Supply Industry (NESI).
Speaking during the inauguration of new elected members of the governing Council, which in Abuja, Professor Magnus Onuoha, the President, REEEA-A, said the move became necessary as the fuel subsidy removal, the Electricity Act recently signed into law, rising cost of energy dominant systems and measures, has showed that it is time for a very critical rapprochement and behavioural change towards renewable energy and energy efficiency; not just as a policy document but as an implementable system for both domestic, rural, urban, commercial and industrial development.
Hydropower To Rescue Nigeria From Electricity Woes
Hydropower has been identified as the most economical source of electricity in Nigeria, with a charge of N3.67 per kilowatt-hour (kWh) in 2023 electricity invoices.
This information comes from a recent report by Electricity Market and Rates Consultants (EMRC) Limited.
According to the report, hydropower plants offer the cheapest electricity in Nigeria. In comparison to the industry average of 17.69 N/kWh from all generation plants, hydropower plants charged a significantly lower energy tariff of 3.67N/kWh.
Impact of Delayed Siemens Power Project in Nigeria
Nigeria, Africa’s largest economy and most populous nation, grapples with an enduring challenge that stifles its economic growth, unreliable electricity supply. Despite possessing a 14GW installed power generation capacity, less than 5GW are operational, leaving the majority of its 200 million inhabitants dependent on costly and polluting alternative energy sources.
Four years ago, Nigeria embarked on a transformative journey to address its chronic electricity supply issues. The Presidential Power Initiative (PPI), a collaboration with Siemens AG, was initiated in 2019. This $2 billion deal aimed to elevate Nigeria’s grid operational capacity from under 5GW to 7GW by 2021, and further increase it to 11GW by 2023, ultimately achieving a 25GW operational generation and grid capacity by 2025, promising over $1 billion in annual savings.