Power Sector And Other Related News Stories For Thursday October 6th 2022

Posted by News Room October 6, 2022

Nigeria Loses 495MW Electricity to PPA Setback

Nigeria’s quest to improve electricity supply to homes and industries has yet to suffer another setback as a 495MW power plant has failed to take off due to the absence of a Power Purchase Agreement (PPA).

Managing Director/Chief Executive Officer of Century Power Generation Limited, Mr Chukwueloka Umeh, stated this during an interactive session with select energy editors on the state of the Nigerian Electricity Supply Industry (NESI) held via Zoom.

A PPA is generally the primary contract between the public and private sector parties which underpin a power sector PPP.

It is typically between a public sector purchaser “offtaker” (often a state-owned electricity utility, in jurisdictions where the power sector is largely state operated) and a privately-owned power producer.

According to Umeh, the Century power plant located in Okija, Anambra State, conceptualised in 2011 was originally designed to be a 1,500MW IPP gas-fired power facility, saying the challenges in NESI forced the company to re-evaluate and changed its focus, scaling down operations to 495MW.



Regulation, Policy Frustrate 14,120 Megawatts Hydropower

There are strong indications that the Federal Government may have failed in its policy and regulatory direction towards harnessing existing 14,120MW of exploitable hydropower despite the country’s gross energy deficit.

While hydropower currently provides the cheapest form of electricity on the national grid, $7.1 billion Mambilla Hydroelectric Power Station of 3,050MW and the 700MW Zungeru Hydroelectric Dam prospects have remained a mirage, instead additional $3.55 billion is being borrowed to import and install solar for rural electrification despite available hydropower resource across Nigeria’s communities.

Last year, the Bureau of Public Enterprises (BPE) stated that 12 small hydropower plants would be concessioned, as the Director General of the agency, Alex Okoh, said the organisation had inaugurated a project delivery team for concession of the facilities, but the plan has remained on the drawing board.



FG to Add 817mws to National Grid to Boost Power Supply –TCN

The Federal Government says plans are ongoing to add additional 817 Megawatts (MWs) of electricity to the national grid to boost power supply within the FCT and its environs.

Mr Sule Abdulaziz, the Managing Director of Transmission Company of Nigeria (TCN), said this in Abuja while inspecting ongoing projects in the Federal Capital Territory (FCT) on Wednesday.

Abdulaziz said that the project which belonged to TCN and referred to as the Abuja Feeding Scheme, was being funded by the French Development Agency (AFD), a donor agency.

He said when completed, it would contribute an additional 1. 465 transmission lines to the grid, thereby, upgrading and reinforcing electrical power supply to the FCT.

“With the additional lines, TCN capacity of transmission lines will be higher than what is in existence and this means that in future, we can build some sub-stations without upgrading the lines,” he said.

According to him, the project will add five transmission substations, 143 kilometers of 330 Kilo Volts (KVs) and 81 kilometers of 132 KV transmission lines to Abuja.



LASTMA Warn EKEDC Against Disobeying Traffic Laws

The Lagos State Traffic Management Authority (LASTMA), has warned officials of Eko Electricity Distribution Company (EKEDC),to adhere strictly to all traffic laws and regulations or risk arrest.

The Agency alleged that the staff of the distribution company always disobey traffic rules, especially while on duty .

General Manager of LASTMA, Mr. Bolaji Oreagba, gave the warning on Wednesday,at Oshodi ,while receiving 500 reflective jackets donated to the agency by EKEDC.

Mr. Bolaji Oreagba, who was represented at the event by LASTMA Quarter Master General (QMG), Mr. Oki Bakare, said, the warning became imperative following reports of some EKEDC drivers, who usually contraven traffic laws when on official duties.

He said: “In as much as we sincerely want to appreciate your gesture for identifying with us through the donations of these operational reflective jackets, we must equally bring to your notice, the need to caution some of your drivers to adhere to traffic regulations on our roads.

“It was observed that some of your drivers, while on official duties, indiscriminately park on our roads thereby causing major obstructions to other roads users”, Oreagba stated.



MOJEC International Leads Sustainability Drive in Nigeria’s Energy Sector

Mojec International’s vision to set the pace as a reputable power solution company has again been harped on at the just concluded 2022 Nigeria Energy Conference.

The conference with theme, “Affordable, Reliable and Sustainable Energy Through Collaboration,” was organised by the Nigeria Energy Exhibition and Conference.

Held in Lagos, the conference saw key stakeholders and players in the energy sector, government ministries and regulators to gas companies supplying fuel to grid-connected plants and independent power producers, distribution companies and the bodies mandated to facilitate the development of renewable energy and off-grid solutions in attendance.

In her virtual presentation session titled, ‘Solving Nigeria’s Power Challenges Through Smart Electricity Metering’, Group Managing Director, MOJEC International, Chantelle Abdul said the company pioneered the concept of smart metering technology in Nigeria by setting up a state-of-the-art electricity meter manufacturing plant with a production capacity of 1,200,000 meters annually designed to serve the local African markets. It has achieved giant strides in distributions of meters in collaboration with Discos across the nation.



Otedola to Sell Shares of Its Electricity Company, Geregu Power, to Nigerians, Targets N250bn

Billionaire Femi Otedola officially listed his electricity company, Geregu Power Plc, on the Nigerian exchange. The development allows the public to become part owners by buying the company’s shares for N100 per share.

Geregu Power plc is one of Nigeria’s major power generation companies (Genco), and Otedola has stated that it would be his primary business focus, BusinessDay reports.

Premium times reports that Geregu Power Plant will sell 2.5 billion ordinary shares of 50 kobo each, with the opening selling price placed at N100 per share.

Following the successful listing, Geregu Power has become the first electricity company- generation, transmission, or distribution -that will be listed on the Exchange in Nigeria’s history.

For Nigerians interested in investing, the stockbrokers lined up for the share sale are: Vetiva Securities, Limited; Apel Asset and Trust Limited; APT Securities and Funds Limited; and Cordros Securities Limited. Others are Crossworld Securities Limited, Dynamic Portfolios Limited, Signet Investment and Securities Limited, and TRW Stockbrokers Limited.



Crossboundary, Engie to Build $60m Mini Grids in Nigeria

CrossBoundary Energy Access Nigeria (CBEA) and ENGIE Energy Access Nigeria (ENGIE) have announced a project finance agreement to build a $60 million portfolio of mini-grids that will connect over 150,000 people to electricity in Nigeria.

“CBEA will provide the private capital for the transaction, and will invest the private capital alongside the Performance Based Grant (PBG) funded by the World Bank and administered by Rural Electrification Agency (REA) and the Nigeria Electrification Project (NEP).

“Under the agreement, CBEA will finance all of the development and construction activities, and will own the projects; while ENGIE developed a pipeline of mini-grids to build over the next four years.

“ENGIE will also provide long-term operations and maintain services for the mini-grids and ensure that the residential, commercial, and productive use customers receive clean, reliable electricity while delivering high-quality and customer-centric services.

“We’re excited to work in partnership with CrossBoundary Energy Access to finance this portfolio of mini-grids in Nigeria. This deal reflects our long-term commitment as a leading provider of energy access solutions in Africa.



U.S.$8 Billion to Transition South Africa to Clean Energy

Few weeks to the next scheduled COP 27 in Egypt, South Africa has officially announced plans to wean itself off its coal-dependency industries in under five years. The energy transition deal was announced at the end of September.

The deal has been entered into with the US and a score of European nations including the UK, Germany, France and the European Union. This climate-finance agreement is meant to see South Africa invest in renewable energy and end its traditional reliance on coal. US$ 8.2 billion to be disbursed in the span of five years.

South Africa admits that 77% of its greenhouse (GH) gas emissions are from energy production most of which (70%) is for the production of electricity through the burning of coal. This huge reliance on coal has seen South Africa rank 13th-largest emitter of GH gasses in the World.



We use cookies to enhance your experience on our website. By continuing to browse our site,
you consent to our use of cookies.