Tag: Electricity

  • 2023 Electricity Act: Ten states join electricity market to address power challenges – Adelabu

    2023 Electricity Act: Ten states join electricity market to address power challenges – Adelabu

    At least ten states have entered the electricity market as part of efforts to tackle Nigeria’s ongoing power issues.

    This move follows the enactment of the 2023 Electricity Act, signed into law by President Bola Tinubu, and marks a significant shift in the regulation and management of electricity in the country.

    The Minister of Power, Adebayo Adelabu, made this announcement over the weekend during his remarks at the 2nd Annual Socio-economic Summit, organized by the Jericho Businessmen Club in Ibadan.

    The event, themed “Powering Oyo State for Industrialization and Economic Development,” was held at the Ibadan Civic Centre, Agodi, Ibadan.

    Adelabu, who was the special guest of honor, highlighted the federal government’s ongoing efforts to improve the electricity sector and address challenges within the industry.

    He emphasized the government’s commitment to resolving bottlenecks and positioning the sector for long-term sustainability and financial viability.

    He described the enactment of the 2023 Electricity Act by President Tinubu as one of the biggest achievements of the administration, saying boosting the industrial capabilities and developing and promoting domestic capacities in the power sector value chain is not only driving economic growth but also enhancing the sustainability of the sector in line with the government’s prioritization to ensure sustainability in the sector.

    He also highlighted the various ways the government is exploring other sources of generating power to ease the pressure on the hydropower system.

    The Minister also outlined several expectations from the state government to fully capitalize on the benefits of an independent electricity market.

    These include ensuring security to protect power assets, establishing special courts for the swift prosecution of vandals and intruders targeting power infrastructure, and expediting the issuance of right of way to power developers.

    Other expectations include providing land for power infrastructure such as substations or solar plants, eliminating land use charges on transmission substations, investing directly in the electricity value chain—such as supplying distribution transformers, poles, and power cables to underserved communities—and promoting investments in Renewable Energy projects across the state.

    He added that the federal government is working actively to ensure rapid development of infrastructure in the sector to ensure electricity becomes accessible to all Nigerians.

    He said the FG initiated two programs – the Presidential Power Initiative which has operationalization of additional 600MW wheeling capacity in the last year and the Presidential Metering Initiative which aims to supply 2 million meters by the end of this year to reduce the estimated billing practices in the sector.

    He also highlighted the various challenges facing the actualization of the efforts while also expressing the readiness of the Ministry to allow for innovative solutions from relevant stakeholders.

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    The minister said: “The idea of exploring ways to enhance our industrial capacity and economic development across the national and subnational governments through a platform such as this aligns with our current mandate at the Federal Ministry of Power under my leadership which includes developing and prioritizing local content, fostering job creation, and reduction of Nigeria’s reliance on imports.

    “By boosting our industrial capabilities and developing and promoting domestic capacities in every segment of the Nigerian Power sector value chain, we are not only driving economic growth but also enhancing the sustainability of the power sector in line with the government’s prioritization to ensure sustainability in the sector.

    “Over the past year, the federal government in Nigeria has implemented a multi-pronged approach spanning across legislation, policy, and national infrastructure development programs, leveraging bilateral funding to derisk investment, sector commercialization, and strategic partnership with the investment community and development partners to address bottlenecks across the Nigerian Electricity Supply Industry value chain, setting the sector on a path toward bankability and long-term sustainability.

    “One of our biggest achievements this past year was the enactment of the 2023 Electricity Act, signed into law by President Bola Ahmed Tinubu. Unprecedented groundbreaking legislation that represents a major shift in how we regulate and manage electricity in Nigeria.

    “For the first time, state governments have been brought into the fold, empowering them to establish and manage their electricity markets.

    “Already, 10 State Electricity Markets including our own Oyo State have been advanced in the process of developing our state electricity market, enabling us to create a more decentralized, responsive, and competitive electricity supply industry. This decentralization is key to fostering innovation, driving investment, and delivering greater energy security for our state.

    “With the development of our own electricity market, the state is positioned to explore embedded power generation as back up or alternative to the National Grid for Industrial and Academic/Health Hub of the Southwest.

    “Our state can also go further to develop our Renewable Energy portfolio and local capacity development in the power sector value chain like hydropower, solar PV, winds and biofuel.”

  • Ekiti grants licences to 14 investors for electricity generation, distribution

    Ekiti grants licences to 14 investors for electricity generation, distribution

    Ekiti State Government has given licences to 14 electricity vendors, to ensure adequate electricity generation, distribution and provision of electricity meters to consumers.

    Commissioner for Infrastructure and Public Utilities, Prof. Mobolaji Aluko, said this at a stakeholders’ meeting in Ado-Ekiti.

    He said the government was at the forefront of the quest for states to exercise their powers under the Electricity Law Enactments of 2023.

    The commissioner said the licensing of the 14 electricity investors would ensure they would be permitted to embark on electricity generation, distribution and establishment of mini-grids and provision of meters for electricity consumers.

    He said the step was expected to address shortfall in electricity supply to the state, noting that while Ekiti required about 120 megawatts of electricity, it currently received 20-25 megawatts from the 132/33 KVA at Omisajana Substation in Ado-Ekiti and Omuaran feeder line in Kwara State.

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    Aluko urged stakeholders and electricity consumers to be vigilant and take steps to protect electricity cables and other power installations in their areas from vandalism, theft and meter bypassing.

    The Executive Secretary of Ekiti State Electricity Regulatory Bureau, Mr David Samson, sought collaborative efforts among stakeholders towards ensuring a successful service delivery of electricity supply to the state.

    He said three of the licensed electricity investors were distribution companies, four were generation companies, two were mini-grid generation companies and five were meter assets providers.

    The Olojudo of Ido Ekiti and Chairman of the Council of Traditional Rulers in Ekiti State, Oba Ayorinde Faboro, described electricity as a catalyst for development, hoping that the latest efforts would boost electricity supply and also boost the economy of the state.

  • Enugu community gets electricity after 18 years of blackout

    Enugu community gets electricity after 18 years of blackout

    •FG activates 100KWP capacity solar mini grid

    The Federal Government of Nigeria, through the Rural Electrification Agency (REA), has lightened up the Uhuafor Nomeh community in Nkanu East Local Government Area of Enugu State with construction of a solar hybrid mini grid of 100kWp in the community.

    The project is expected to improve the socio economic conditions of the people in the community and three other neighbouring communities, which have lived without electricity for over 18 years.

    The project was completed under the Rural Electrification Fund – Call 2 programme of the Rural Electrification Agency (REA).

    Commissioning the project, Governor Peter Mbah, who was represented by his special adviser on power, Sir Joe Aneke, commended the Rural Electrification Agency for its unwavering commitment to bringing sustainable energy solutions to rural communities across the country, saying the electricity project in Nomeh would bring lasting solutions to the problems of lack of electricity in rural communities.

    The governor noted that the project aligns with his agenda to foster innovation, improve rural infrastructure, and create a green, energy-sufficient state.

    “Let me thank the Rural Electrification Agency for their collaboration, the dedicated engineers and technicians for their expertise, and, most importantly, the people of Nomeh for your patience and belief in this project as the first mini-grid solar power plant is commissioned in Nomeh,” he said.

    He urged the people in Nomeh community to take full advantage of the project and care for the shared asset, as it is their resource for growth and betterment, saying, “this facility must be protected to ensure it serves the community reliably and sustainably while the network system is extended to connect other households and villages in Nomeh.”

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    Mbah disclosed his administration’s readiness to work with the Rural Electrification Agency to develop other projects proposed for the State and looked forward to engaging with the agency in that regard.

    The REA Managing Director/CEO, Abba Abubakar Aliyu, represented by the Executive Director, Rural Electrification Fund, Engr. Doris Uboh, stated that the project is one of the many testaments of the work that the federal government does through REA, connecting last-mile communities to clean, sustainable energy sources and facilitating the growth of socioeconomic systems through productive use.

    Aliyu told them that President Bola Tinubu prioritises their welfare and that of rural communities across the country and would continue working to ensure no community was left behind.

    “This electrification will help the people to navigate and if you manage this thing well, before you know it, the business activities happening in the cities will begin to bubble here.

    “Promise yourself that you will take care of this mini grid. If you do it, it can grow to even one megawatt. This will easily encourage future expansion to other nearby communities,” he said.

    The traditional ruler of the community, Igwe I. O. Mbah, while expressing his gratitude to the Federal Government and the implementers of the project for finding the community worthy to provide this kind of infrastructure which will improve their livelihoods, noted that the community had been without electricity for over 18 years.

    He said: “We have been in a celebratory mood since this project was completed. This is because since 2006 till date, we haven’t seen electricity in Nomeh. But, we can now drink cold water in our community, while our children who used to burn the proverbial midnight candle, are now using electric bulbs to study.”

  • FG determined to boost nation’s electricity supply – Adelabu

    FG determined to boost nation’s electricity supply – Adelabu

    The Federal Government has reaffirmed its determination to boost electricity supply with a view to reviving the nation’s industrial revolution.

    The Minister of Power, Chief Adebayo Adelabu, said this during a stakeholders meeting with the management of the Kano Electricity Distribution Company (KEDCO) on Thursday in Kano.

    Adelabu said his mission in Kano was to engage with critical stakeholders, including KEDCO, to identify and tackle obstacles hindering their optimal performance.

    He emphasised the need to revamp the transmission architecture which currently relies heavily on Shiroro and Jos channels.

    “This radial system leaves the Northern region vulnerable to electricity disruptions whenever issues arise with these lines,” he said.

    To address this, the minister advocated the establishment of independent power sources within states’ metropolis to support the National Grid.

    He said that exploring alternative power sources to serve as backup to the national grid became necessary with a view to curtailing future collapse of the national grid.

    “This proactive approach aims to ensure that the region is prepared for any eventuality, including vandalism or national grid collapse,” he said.

    Adelabu recognised the crucial roles played by various stakeholders in achieving these objectives.

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    He, therefore, urged state governments to provide alternative electricity sources.

    He also urged Discos ensure reliable distribution electricity, adding that consumers should use electricity efficiently.

    He there were entities willing to invest in in Kano’s power sector, adding that he would discuss alternative solutions with Gov. Abba Yusuf to prevent future blackouts.

    The minister expressed dismay at the metering process, saying information available to him indicated that only 33 per cent of electricity consumers had meters.

    He, therefore, urged KEDCO and other Discos across the country to intensify efforts to make meters available to consumers.

    (NAN)

  • AEDC attributes power outage in franchise area to system failure 

    AEDC attributes power outage in franchise area to system failure 

    The Abuja Electricity Distribution Company has attributed the power outage experienced in its franchise area to system failure from the National Grid.

    The Company said this on its X handle on Saturday.

    It said that the grid experienced system failure at about 8.16am on Saturday affecting power supply to its franchise areas.

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    ”Be rest assured that we are working with relevant stakeholders to restore power as soon the grid stabilises,”it said.

    The News Agency of Nigeria (NAN) reports that the nation was also thrown into darkness on Monday following the collapse of the national grid.

    Saturday’s grid collapse was the seventh in 2024.

    (NAN)

  • How to save electricity costs, consumption as a ‘Band A’ user

    How to save electricity costs, consumption as a ‘Band A’ user

    There are five bands according to the Nigerian Electricity Regulatory Commission (NERC). They include Band A, B, C, D and E. 

    Under Band A, customers are entitled to a minimum of 20 hours per day. 

    For Band B, these are customers with a minimum of 16 hours of light per day. 

    Band C are customers who have access to a minimum of 12 hours per day.

    In category D, customers are given a minimum of 8 hours of electricity per day.

    Lastly, the Band E customers have access to a minimum of 4 hours per day.

    Months ago, the Federal Government approved an increase in electricity tariff for customers under the Band A classification.

    A major part of one’s electricity is spent on the use of energy consuming appliances such as refrigerators, freezers, air conditioners, electric water heaters etc.

    Businesses, both small and large, in band A areas are not immune to the impact of the tariff hike. Higher electricity costs directly affect operational expenses.

    Recently, some residents of Akinola and Aboru communities in Alimosho LGA of Lagos State protested their “forceful migration” to the Band A category by Ikeja Electric Distribution Company.

    The residents took to the streets carrying placards with inscriptions like ‘re-migrate our communities away from Band A’, ‘scrap all bands’, ‘affordable tariff reduces cost of living’, among others. During the protest, some residents said they can no longer afford to pay N227 per kilowatt-hour (kwh) for electricity.

    For Band A users, there is a need for an adjustment in behaviour and lifestyle which will ensure conservation of more electricity, lessen use of fuels, and reduce utility bills payment. Here are the tips below:

    1. Energy-saving electronics – Take note that the use of energy-saving equipment for household items like bulbs, inverters, fridges, and others are great ways to manage your power costs. 

    2. Don’t leave appliances on standby –The Nigerian Electricity System Operator has emphasised that unplugging electronic devices when not in use is a cost-effective way to manage electricity whether you are metered or not. It is important to watch out for appliances that use up to 50% power even when they are on standby.

    3. Exploring other alternatives – Those who can afford installation of solar panels or inverters can explore this alternative. These days there are also appliances such as air conditioners, fridges, washing machines etc that operate on Low Voltage System (LVS). These appliances help you save on electricity. Also check the stand-by consumption when buying appliances or ask for energy efficient devices.

    4. Minimise usage of air conditioners, electric water heater – Band A users can ventilate during the night or early in the morning to store the coolness for the day. When windows and doors are open, they allow warm air from outside to enter your space. This creates a constant exchange of air and puts less strain on your AC unit. Also, use water heaters only when necessary. Lower the temperature of your water heater to conserve energy used for heating water.

    Read Also: Band A electricity consumers tariff now N209.50/kWh

    5. Turn off lights when not in use – Turning off the lights when not in use is especially important for those who make use of tungsten filament (regular) bulbs as opposed to LED lights. It will take 16 hours for a regular bulb to consume 1 kilowatt of electricity, meanwhile, it will take 66 hours for an LED light to consume 1 kilowatt of electricity.  So, it is important to switch off the lights when not in use, especially in daylight.

  • Minister predicts downward slide in electricity pricing

    Minister predicts downward slide in electricity pricing

    Minister of Power Adebayo Adelabu yesterday said average cost of electricity may reduce as ongoing efforts to improve generation and distribution of power take firm root.

    He made this known in Abuja when Executive Secretary, National Lottery Trust Fund, Mr. Tosin Adeyanju and his management team visited him.

    Adelabu said while it is noteworthy that the price of electricity is still the cheapest in Nigeria compared to several other African nations such as Togo, Mali and Niger Republic, there is a possibility of further reduction going forward.

    He acknowledged that the low level of income in Nigeria makes the current electricity cost to look high to consumers.

    He however noted that it is still far cheaper to use electricity than to run generators, using petrol or diesel, going by the prices of those commodities.

    The Lottery Fund Executive Secretary, explained that as part of the Renewed Hope Agenda of President Bola Tinubu, the agency is working to get the youths, particularly in the rural areas, to be productive  by training them on how to assemble one kilowatt of solar energy.

    “We have come to you to seek partnership with you on how we can train our rural people, particularly the youths, on how they can assemble one kilowatt of solar energy. This will help a long way in addressing youth restiveness by creating employment for them, particularly those who have acquired skills such as hair dressing, vulcanizing, welding and so on like that.

    “This is part of our effort to help President Tinubu to achieve his objective of addressing the challenges of unemployment among the rural people and the youths in general. We want to carry this out in all the local government areas of the country and since we have seeing your commitment in this area of power supply, we have decided to approach your ministry for partnership to achieve this”, Adeyanju said.

    Adelabu expressed the readiness of the ministry and its relevant agencies to collaborate and work with Trust Fund to achieve the objective.

    He said the renewable power project of the ministry was established to address the areas of the country that the grid does not cover.

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    “We will be very happy to work and partner with you on this project. We have agencies that are driving this renewable power project, using solar, wind and other alternative sources of power supply where the grid cannot reach. Such agency is our Rural Electricity Agency (REA) and they will be of great value to you in this project.

    “All over the world today, we are faced with two basic issues and these are food and energy securities. We can see that the cost of gas is going up globally due partly to the war between Russia and Ukraine.

    “However, we must be committed to providing electricity to our rural people, particularly the youths. We can see that even those of them who have learnt skills have abandoned those skills and are now riding okada for quick money.

    “President Tinubu is committed to the transformation of Nigeria and youths and rural development are of his great concern. If Nigerians are patience, they will realise that the government means well for them.

    “We are happy with this effort and will be very willing to work and collaborate with you to achieve it”, Adelabu said.

  • 40% of users now have 20 hours electricity supply, says Adelabu

    40% of users now have 20 hours electricity supply, says Adelabu

    Minister of Power, Chief Adebayo Adelabu has said certain revolutionary measures were taken to ensure that Nigerians enjoy more stable and regular electricity supply. He said all these were achieved with the support of President Bola Ahmed Tinubu as part of his renewed hope agenda to galvanise the economy.

    Reviewing the activities of the Ministry of Power in the last one year on the eve of the October 1 independence celebration, the minister also revealed that more than 40 per cent of Nigerian electricity consumers are currently enjoying over 20 hours of regular and stable electricity across the nation. He said this was due to the radical and bold steps that were taken.

    According to Adelabu, one of the major and significant achievements of his ministry within the last one year is that as at today, the country is generating over 5,500 megawatts of power, which he further noted is being worked upon for further improvement by year end.

    The minister added that the mandate of the ministry is to engender national development through the formulation of appropriate policies, the establishment of proper structures and institutions to ensure or achieve stable, functional, reliable, and affordable electricity supply to households, businesses, institutions, and industries.

    “This will enable us to achieve the desired economic growth and industrial development, he added.

     “Upon resumption, we had an installed generation capacity of 13,000 megawatts, but we were only producing, transmitting, and distributing about 4,000 megawatts of power to the entire country.

     “This was quite low and unacceptable given our population and level of economic activities. Therefore, we were determined to improve the situation.

    “At that time, there was epileptic supply. Almost all customers, both residential and commercial, could not be guaranteed 12-15 hours of supply. Additionally, the adoption of renewable energy was skeletal in terms of solar or wind sources of energy.

    “Between then and now, which is about a year, there has been significant improvement. Today, our installed capacity is over 14,000 megawatts of power due to the addition of the newly commissioned Zungeru hydroelectric power plant and improved capacity of some of the existing power plants.

    “Moreover, the major achievement is the fact that today we generate over 5,500 megawatts of power, we transmit and distribute it, and over 40% of customers today enjoy over 20 hours of regular power supply across the nation. You can see that there is a significant improvement between when we came in and now, which we intend to improve further”, hesaid.

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    Reflecting on how this feat was achieved, Chief Adebayo said: “In the first three months, we engaged in full stakeholder engagement. We spoke to industry operators and they diagnosed the issues. We consulted and held physical retreats with virtually all stakeholders in the power sector, including power generating companies, distribution companies, transmission companies, power contractors, multilateral agencies, and international development institutions.

     “We sat in a room and discussed the issues, diagnosed them fully, and also had a couple of virtual engagements for those who could not attend even after the retreat.

    “Through this process, we achieved a full diagnosis of the problems and issues in the power sector. We also developed comprehensive solutions.

    “After compiling practical workable solutions, we swung into action in terms of implementation. I can tell you that there are basically five things that we did that led to the improved performance in the power sector.

     “Number one is the signing into law of the new electricity act of 2023 by President Bola Ahmed Tinubu in June 2023. This achieved two things: Decentralization of the electricity/power sector, whereby subnational governments can now play a role in the sector. This means states and local governments can participate in generation, transmission, and distribution. Previously, we had a centralized system with the Electricity Company of Nigeria (ECN), the National Electricity Power Authority (NEPA), and the Power Holding Company of Nigeria (PHCN). This new act gave power to subnational governments to be able to participate in the power sector, which is more like having a distributed system rather than a centralized system.

    “Liberalization of the sector, which means beyond government, we are able to attract the private sector to also participate in the Nigerian Electricity supply industry. This new act achieved decentralization and liberalization of the sector.

     “The second thing we did was to put in place a comprehensive policy for the sector, which was not there before. The Power Sector Reform Act (PSRA) that has been there since 2013 is already outdated. What we did was to put together, through a lot of hard work with all the industry stakeholders, the National Integrated Electricity Policy and Strategic Implementation Plan.

    “This gave us more like the Bible for the sector. It highlightsand answers questions of what are the roles and responsibilities of each of the stakeholders, how do we engage with each other, what are the structures, systems or market, and the liquidity profile that we actually intend to achieve in the sector. So we have put this together and it is waiting for approval in the Federal Executive Council by the end of this month.

    The third thing was to look at the market, tariff, and liquidity because the bane of many sectors is in the commercials. If the pearson is not right, it is not likely that the operations would be right. So we looked at it and we felt that for this sector to perform optimally, there must be an adjustment to the pearsonmodel that was in place. This is why we achieved a partial cost-reflective tariff.

    “We made some adjustments in tariff policy that actually ensure that a portion of the customers pay tariffs that are cost-reflective, reflecting the cost of producing power, while the other portion of the customers continue to enjoy government subsidy. That’s one of the reasons why we are able to improve liquidity in the sector, and we can see the improved performance of the distribution and generating companies.

    “They are now incentivized and they know that once they’re able to supply a minimum of 20 hours of electricity to a particular feeder, they can upgrade it or migrate them to Band A customers and charge cost-reflective tariffs, which is why we also call it a service-reflective tariff. You cannot charge that tariff unless you are able to deliver a minimum of 20 hours of power supply. The feedback we have been getting from the market suggests that a good number of customers have started enjoying over 20 hours of supply of electricity.

     “The fourth thing we did was to work on infrastructure, upgrading and enhancing transmission and distribution infrastructure. The first thing we mentioned there was the Presidential Power Initiative, which we all worked on as a fulfilment project.

    “We signed an acceleration agreement to ensure that we accelerated the implementation of that particular project. Within a year, we completed the pilot phase of this project, which involved importing 10 power transformers and 10 power mobile substations. They have arrived, we have installed them, and we have commissioned them.

    “Therefore, the electricity stability that we enjoy today is not by accident. It’s because of all these transformers and mobile substations that we commissioned and installed.

     “Secondly, we identified uncompleted projects of the Transmission Company of Nigeria upon resumption. There were over 100 uncompleted projects involving substations and power lines. We moved into these projects to assess how much of them we could complete within a short period of time, and we’re making good progress in this regard. We also had a number of transmission expansion projects being supported by the World Bank and the African Development Bank. We are trying to complete all of these projects, and they are also contributing to the stability of the transmission network.

    “The Niger Delta Power Company also did a lot of work when it comes to transmission and distribution infrastructure, and this has been reflected in the stability of transmission and distribution.

    “There is the issue of the meter gap that we have. We all know that out of almost 13 million customers that we have in the industry, over 7 million customers are still without meters and are on estimated billing. We said this is not the way to go. We must correct this, which is why President Bola Ahmed Tinubuset up the Presidential Metering Initiative, which has the mandate of installing over 10 million meters within the next five years, at least 2 million meters on a yearly basis. We are making progress on this. The funds are being provided, and we will soon go into the acquisition of these meters. This would reduce the meter gap.

     “We have also liberalised the meter market, allowing DisCosto encourage customers to buy their meters and have them installed. This is why we have seen an increase in the meter penetration in the industry today.

    “Still on metering, the World Bank is also supporting us in the Distribution Recovery Program (DISREP), whereby they are procuring and installing 1.8 million meters for us. The contract for about 1.5 million meters has already been awarded, and within the next two months, these meters will start arriving. These are the programs that we have to upgrade and enhance the infrastructure across the transmission and distribution segment of the power sector value chain.

    “Lastly, there is the energy transition plan. We are using energy transition as a two-way sort. First is to expand our energy access expansion to ensure that we take electricity to the conserved, especially the rural dwellers and the rural businesses. And again, we are using it as a tool to transition into cleaner forms of energy. These are the two things that we use this for.

     “Let me also inform you that, we have some isolated institutions like educational and health institutions, such as teaching hospitals and some military formations, which are actually using mini-grids to complement their supply. Those that are on the national grid are making it a metered connected mini-grid by installing solar grids to these institutions”.

    He also announced a special electricity supply to the nation’s universities and other institutions, to avoid incessant cut of power supply to them and for them to continue to enjoy low tariff.

     “We have a program which we call the Nigerian Electrification Program, whereby we have about 34 universities to be energized through solar energy sources. I think we have completed about 13 now, and they are almost due for commissioning. We have plans to do this for some of the teaching hospitals and some of our military formations.

    “The agency of the ministry that’s in charge of this is the Rural Electrification Agency, and I can tell you that by the time we roll out the data of the underserved communities where we have installed these mini-grids, you’d be amazed.

    “We have electrified over three million people through these mini-grids across the rural areas nationwide. We also have what we call the solar home systems that we give to each household, providing them with some point of light, some point to charge their phones, and some points for farming. We have distributed these to millions of Nigerians and continue to do so. We have the support of the World Bank and the AFDB to ensure that these programmes are successful”.

  • ECN moves to free up more electricity with energy efficiency

    ECN moves to free up more electricity with energy efficiency

    Energy Commission of Nigeria (ECN) has planned to free up more electricity into the national grid with energy efficiency.

    The organisation, which is responsible for strategic planning and coordination of national energy policy in the country, has also designed to reduce carbon emission from cooling systems.

    According to ECN, cooling systems consume about 40% of electricity in households, which energy efficiency can relieve for other use.

    Speaking with The Nation in Abuja, a team of the commission: Energy Transition and Linkages, Acting Director, Dr. Shehu Mustapha, and Nigeria Sustainable Cooling Project, National Project Coordinator, Mr. Etiosa Uyigue, said behavioral change can free up some energy in the Nigerian Electricity Supply Industry (NESI).

    He said merely reducing the bulbs watt to lower ones can reduce energy consumption from household lighting.

    “So we need to communicate. We need to tell people. People don’t understand that some little change in behaviour can help save a lot of power. 

    “Note again the cost reflects in the pocket of the end user and nationally when we free up a lot of power more people will have access. 

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    “The reason why we are not getting 24 hours of supply now is that what we are generating now is not sufficient for everybody. 

    “So what they do is load shedding. But if we free up a lot of power, like I said by just changing lighting, like I said by one million bulbs. 

    “Remove one million bulbs and change them to 10watts you can save up to 90MW of electricity. That will be free.”

    Mustapha said the commission is encouraging the Federal Government to adopt energy efficient and environment friendly air conditioners. 

    He said already with a project called “Scaling Up Energy 

    Efficiency and Climate Friendly Cooling,” in collaboration with the United Nations Environment Program (UNEP), the commission has embarked on a study that indicated that conditioners and refrigerators consume 40% of energy in household and 60% in offices.

    Uyigue said ECN has decided to guide the country to phase out inefficient air conditioners and adopt the use of more efficient ones. 

    He said since cooling systems contribute to emission of 60% carbon dioxide into the atmosphere, the ECN is trying to regulate the cooling system entering the nation’s market.

     He said ECN is shifting from environmentally harmful refrigerants such as R22 to friendly ones like R66 with its introduction of Minimum Energy Performance Standard.

  • Curbing the menace of electricity theft

    Curbing the menace of electricity theft

    • By Michael Obinna

    At a time when Nigeria is working to relaunch its economy, particularly in the face of continuous challenges, the country’s electricity industry is at a crossroads. Energy theft, now widespread and persistent has become a serious challenge, not just to energy distribution companies (Discos), but also to the larger goal of national recovery and self-reliance. The newly passed Electricity Act 2023, which intends to combat electricity theft by imposing harsher penalties, demonstrates the federal government’s acknowledgment of this problem. However, without strong enforcement and coordination from all parties, including innovative attempts from forward-thinking Discos, Nigeria’s economic future remains jeopardized.

    Energy theft is not a new issue, but its prevalence in Nigeria is startling. Approximately 40% of the country’s electricity is stolen or squandered in the system. Illegal connections, meter manipulation, and infrastructure sabotage are common, especially in densely populated cities and neglected rural areas. The sheer scope of this theft takes billions of naira from the power sector each year, worsening existing financial and operational issues.

    For many discos, this truth is crushing. With billions in losses, many businesses struggle to maintain existing infrastructure, not to talk of growing or improving their networks. As a result, their operational capacities are limited, and their financial survival is constantly jeopardized. This generates a vicious loop in which dissatisfied customers, annoyed by inconsistent power supplies, justify illicit connections, exacerbating the sector’s income shortfalls.

    However, the implications extend beyond the electrical sector. Energy theft substantially impacts overall economic growth. Without reliable electricity, firms, particularly those in manufacturing and heavy industries, are forced to rely on costly, inefficient generators. This boosts production costs, lowers competitiveness, and slows job development. Investor confidence, a key indicator in Nigeria’s economic recovery, has also been damaged, as the recurrence of energy theft reveals governance inefficiencies that are impossible to ignore.

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    While energy theft is an industry-wide issue, the financial and operational impact differs by Disco. Many people, especially those who work in high-density, low-income areas, are devastated financially. Electricity theft can result in billions of dollars in losses each year, impeding much-needed infrastructure investments that would otherwise support growth and reliability. These discos are in a hazardous condition, trying to break free from the cycle of low income and bad service performance.

    Few Discos have since risen to the occasion with inventive ideas. The Eko Electricity Distribution Company (EKEDC), which covers Lagos and its surroundings, stands out as a pioneer in this area. Its multifaceted strategy to combating energy theft demonstrates what can be accomplished when resolve meets creativity.

    In recent years, the company has developed a comprehensive anti-energy theft campaign to educate the public on the economic, operational, and legal ramifications of power theft. This effort, which focuses on customers, local communities, and companies, has had a noticeable impact by raising awareness of how unlawful drinking harms everyone.

    Said EKEDC’s acting CEO, Rekhiat Momoh: “Energy theft is a menace that we must remove in our network and the power sector. Our industry loses potential billions in revenue each year as a result, and it limits industry-wide capacity to invest in network expansion and infrastructure modifications necessary to provide the desired reliable power supply across the country.”

    But EKEDC’s initiatives extend beyond public education. The corporation has taken substantial steps to assist with law enforcement, including increasing efforts to monitor communities known for electricity theft. This collaboration has resulted in multiple arrests and prosecutions, sending a strong message to criminals about the consequences of their conduct. Furthermore, EKEDC has expanded its collaboration with local community leaders and vigilante organizations, teaching them to aid in identifying perpetrators and broadening the scope of monitoring.

    In addition to public awareness campaigns and law enforcement cooperation, EKEDC has made significant investments in technology as part of its strategy to reduce energy theft losses. The company’s use of smart meters, which are tough to circumvent, has been a game changer. These meters not only give exact billing to clients, solving the long-standing issue of estimated billing, but also enable EKEDC to remotely monitor consumption patterns and spot inconsistencies in real time.

     This change to smarter infrastructure is a huge step forward for EKEDC and the electricity sector as a whole. The adoption of smart meters helps to restore public trust in the billing system, which has long been a source of dissatisfaction for many Nigerians. By providing customers with correct information, EKEDC is establishing the groundwork for a more dependable and transparent power supply network.

    Electricity Act 2023: A step in the right direction

    While EKEDC’s initiatives serve as a model for others to follow, the federal government has acknowledged the need for stronger legislative frameworks to discourage energy theft. The Electricity Act of 2023 imposes harsher punishments, including fines of up to six times the value of stolen electricity and prison sentences of up to three years. These restrictions are designed to serve as deterrence, delivering a clear message that energy theft will not be condoned.

    However, for the law to be successful, persistent enforcement is required. The challenge will be to successfully apply the rule in rural areas and heavily populated urban slums, where illegal connections are most prevalent. Without appropriate enforcement, the new legislation may fail to have the intended effects.

    Despite these efforts, one of the most significant obstacles is societal attitudes regarding electricity theft. Many Nigerians regard electricity as a fundamental entitlement and fail to realize the far-reaching economic ramifications of stealing power. As Olabode Sowunmi, chairman of the Hydrogen and New Energy Committee, points out, “When people steal power, they deprive us of our commonwealth. We must learn to hold people accountable, including criminals and those in authority.

    Moving forward, further public education, together with continued investments in smart infrastructure and stringent implementation of the Electricity Act 2023, will be vital. DisCos such as EKEDC have demonstrated that development is feasible, but structural reform throughout the industry is required for long-term success.

    Nigeria is at a crossroads in its economic recovery, and the stakes have never been higher. The power sector, long beset by inefficiency, cannot afford to allow energy theft to continue unabated. DisCos such as EKEDC have set a good example by addressing this issue hard on, but more comprehensive sector reforms, technical upgrades, and legal enforcement will be required to safeguard Nigeria’s economic future. Preventing energy theft is about more than just restoring the electricity grid; it’s about maximizing the country’s potential for prosperity and self-sufficiency.

    •Obinna, an energy expert lives in Abuja.