Electricity distribution companies, otherwise known as DisCos, were unable to take the full power generation in recent period, underlining a major challenge in the electricity supply chain.
Minister of Power, Chief Adebayo Adelabu, yesterday said that power generation had peaked at 5,170 megawatts on Friday, August 30, 2024 but this had to be ramped down by 1,400 megawatts due to inability of DisCos to pick the supply.
“This is really regrettable considering that government is on course to increase generation to 6,000 megawatts by the end of the year,” Adelabu said.He however assured that all efforts were on to ensure that the country attain stable power supply.
Adelabu, who is in China to attend the China-Africa Cooperation Summit as part of the delegation of President Bola Tinubu, spoke during a facility tour of TBEA Southern Power Transmission and Distribution Industry in Beijing, China.He said the federal government has concluded arrangements to release $800 million for the construction of substations and distribution lines under the Presidential Power Initiative (PPI).
The money will ensure the construction of substations for Lot 2, substations and distribution lines for Lot 3 at a cost of $400m each.
Lot 2 covers Benin, Port Harcourt, Enugu DisCos’ franchise areas while Lot 3 covers Abuja, Kaduna, Jos and Kano DisCos’ franchise areas.
Speaking during an interactive session with TBEA management , Adelabu assured of the federal government’s commitment towards working with world class organisations like TBEA to achieve the Renewed Hope vision of President Bola Tinubu for the power sector in Nigeria especially in areas of transmission and distribution of the entire power sector value chain as well as Nigeria’s renewable energy segment.Speaking on the problems in the power sector which had hindered industrial growth, the Minister said this was due partly to the fragility of the Transmission and distribution infrastructure which have become old and dilapidated. “ This has led to historical epileptic supply of Power to households, industry and businesses”.
According to him, more than 59 per cent of industries in the Nigeria are off the grid. “They did not see the national grid as reliable and dependable. So a lot of them now operate their own captive, self-generated power”.
Adelabu said the administration of President Bola Ahmed Tinubu is determined to transform the power sector adding that a lot of activities have started that is gradually bringing back confidence in the sector and among the power sector consumers especially the industries.Acknowledging the different initiatives of the government, Adelabu went down memory lane that in 1984, about 40 years ago Nigeria was able to generate 2,000 megawatts and it took us over 35 years to add additional 2,000 megawatts. “When this administration came in last year, we met around 4 gigawatts (4,000 megawatts) of power but within a year, we were able to generate a milestone of 5,170 megawatts adding about 1000 megawatts of power within the first year. It may look small, but compared to the history of the country, this is commendable”. Our plan is by the end of the year, we aim to achieve 6,000 megawatts of power through a combination of hydro electric power plants and our gas- fired power plant. We are also targeting 30 gigawatts of Power to be generated, transmitted and distributed by year 2030 out of which 30 percent would be renewable energy”.
He said the renewable energy segment will come from a combination of hydro electric power from small dams, solar energy sources and wind farms from onshore and offshore winds.
On the issue of the construction of the super grid, the Minister said the national grid in its present state can not support the vision for the power sector. “If we look at the strength, the capacity and the age of our existing network on the National grid, it cannot really support our vision for the power sector hence the need for the construction of the Western and Eastern super grid. Though we have been on this since my resumption, I can also tell you that the President is in full support of this because this will improve our transmission network, stabilise the grid and also expand the capacity and the flexibility of the National grid”.
He said 90 percent of the approval required is in place and would be concluded soon.
Speaking earlier, President of TBEA, Huang Hanjie assured of the organisation’s continued support for the Nigeria’s government vision for the power sector. He said TBEA operates across 100 countries in the world and would be willing to share its experience in the provision of energy. He said TBEA is not new in Nigeria adding that the company is presently working with the Omotosho, power plant, Ondo State owned by the Niger Delta Power Holding (NDPHC).
Hanjie also commended the Minister for the improvement in the power sector as evidenced in improved generation and transmission since his assumption of office. While also acknowledging the short term improvement to 6 gigawatts by December 2024 and 30 gigawatts by 2030, he said TBEA would be willing to work with the Nigerian government to achieve the vision and contribute to the ongoing power sector revolution in the country.
