Power Sector News And Other Related News Stories For Wednesday October 18th 2023
How To Resolve Power Sector Challenges – AEDC Boss
The Managing Director of the Abuja Electricity Distribution Company (AEDC), Christopher Ezeafulukwe, has called for teamwork among operators of the various segments of the Nigerian Electricity Supply Industry (NESI) to resolve the challenges facing the sector.
Speaking at the Bi-annual joint generation, operations and DisCos planning meeting in Abuja, Ezeafulukwe said the sector can only grow when the various segments work in unison.
He noted that while there have been improvements since the power sector was partially privatised 10 years ago, a lot of work is still required to meet the objectives of the sector.
He pointed out that the sector has been plagued by issues of sustainability in policies and operations, adding that the biggest question confronting the players “Today is how do we collectively ensure adequate and reliable supply of electricity to our valued customers even in the face of challenges?”
Operators Call for Cooperation to Improve Supply to Customers
TEN years into the partial privatisation of the power sector, operators of the Nigerian Electricity Supply Industry, NESI, have called for unity among the various segments of the value chain to improve power supply across the country.
Speaking at the Bi-annual joint generation, operations and DisCos planning meeting in Abuja, they admitted that the sector can only grow when the various segments work in sync.
Speaking at the meeting the Managing Director of the Abuja Electricity Distribution Company, AEDC, Mr. Christopher Ezeafulukwe, noted that while there have been improvements since the power sector was partially privatized 10 years ago, a lot of work is still required to meet the objectives of the sector.
Over 100 Mini-Electricity Grids Now Operating in Nigeria
Over 100 mini-electricity grids are currently in operation across the country, making Nigeria one of the largest mini-grid markets in Africa, the Federal Government revealed on Tuesday.
It disclosed this through the Rural Electrification Agency, a Federal Government organisation, during the signing of a Memorandum of Understanding between the REA and the Africa Mini-Grid Developers Association in Abuja.
Partners in the deal signed the MoU to further promote and accelerate mini-grid development in Nigeria, with focus on knowledge sharing, capacity building, better coordination of the sector, among other initiatives.
DisCos’ Revenue Jumps to N515bn in H1, Highest in 9 Years
The eleven electricity distribution companies (DisCos) in Nigeria’s electricity supply industry have amassed N514.95 billion in revenue in the first half of 2023, representing the highest collection recorded in the period in the past nine years.
This development marks a significant milestone and underscores the evolving dynamics within the country’s power distribution landscape.
Analysis of the latest data by the Nigerian Electricity Regulatory Commission (NERC) revealed that the DisCos earned N267.86 billion as electricity bills in the second quarter of this year, indicating an 8.4 percent increase from N247.09 collected in the first quarter.
FG Estimates Electricity Demand to Hit 45,662MW By 2030
The Federal Government, through the Nigerian Electricity Regulatory Commission has said electricity demand will grow to 45,662 megawatts by 2030.
This was contained in the 2022 Market Competition Report by the Commission obtained by The PUNCH on Tuesday.
According to the report, the current generation capacity was lower than what was required to meet the estimated load demand of 17,556MWh/h as of 2020, and that “demand is expected to grow to 45,662MW by 2030.”
The PUNCH findings showed that the 28 generation companies made of both private and government-owned firms, had not been able to generate more than a daily average 4,059MW as of December 2022.
Nigerian Govt Paid N135 Billion For Electricity Subsidy in Q2 2023 – Report
The Nigerian Electricity Regulatory Commission (NERC) said the federal government incurred a subsidy obligation of N135.23 billion on electricity in the second quarter of the year.
The NERC disclosed this in its quarterly report released on Monday.
The report said in the absence of cost-reflective tariffs, the government undertakes to cover the resultant gap (between the cost-reflective and allowed tariff) in the form of tariff shortfall funding.
It explained that this funding is applied to the Nigerian Bulk Electricity Trading (NBET) invoices that are to be paid by DisCos, adding that the amount to be covered by the DisCos is based on the allowed tariff determined by the commission and set out as their Minimum Remittance Obligation (MRO) in the periodic Tariff Orders issued by the Commission.