The Nation Newspaper

Tag: electrification

  • AfDB okays $200m for Nigeria’s electrification project

    The African Development Bank Group (AfDB) has approved $200million to boost Nigeria’s electrification project, particularly the off-grid expansion being implemented by the Rural Electrification Agency (REA).

    A source in the bank, who did not want his name in print because he was not authorised to speak, said the project is expected to provide electricity to households, medium, small and micro enterprises (MSMEs) and public institutions in a least-cost and timely manner.

    According to him, the project has four components which include solar hybrid mini grids for rural economic development, stand-alone solar systems for homes and enterprises, energising education as well as technical assistance.

    The proposed project, he said, will support the Federal Government’s aim of increasing electricity access as defined in the national development agenda, adding that in order to meet the government’s targets, the country will have to embrace both on-grid and off-grid expansion.

    Beneficiaries of the project include households, MSMEs, students, faculty workers and patients at Federal universities and teaching hospitals throughout the country.

    The AfDB, the source, is also supporting some independent power projects (IPPs), which are in the pipeline, but is most concerned with proving finance or guarantee instrument to off-grid power projects.

    The source said: “We also have some gas related projects we are looking at financing. We know that in the power sector we need gas as feed stock and we know companies that have interest in bringing gas to the market. Then we are looking at financing them to ensure that they are able to bring that gas to the market to the advantage of the electricity sector and others sectors.

    “The Nigerian electrification project is soon going to be launched. We have already started preparatory activities on the solar projects. We are in discussions with the Nigerian Bulk Electricity Trading (NBET), so once these discussions are completed, may be by the end of the year and the financing structure is put in place, we can start construction as early as next year.

    “Of course, a lot of projects in the power sector have long gestation period, so even if you give them money now, in the next six months, they cannot finish the projects. There is a time lag that will be experienced in these projects.”

    Meanwhile, the source added that part of the reasons the generation companies (GenCos) were not getting their payments from the NBET was because customers were not paying for their electricity bills as they should. He absolved NBET from all blames. He, however, admitted that the GenCos were being owed huge sums of money by the NBET in terms of the purchasing agreements.

    “It’s not the job of NBET to go to consumers’ houses and start telling them to stop bypassing meters, that’s the job of the distribution companies (DisCos).

    “The DisCos are responsible for installing your meter and making sure they collect the money from you and when they collect the money they now pay to NBET.

    “But if the DisCos don’t collect the money from you, what are they going to give to NBET? And even if they collect the money assuming you owe them a certain amount and they decided to give only part of it to NBET, it is still the DisCos that should be held responsible,” he said.

    To him, NBET is not structured to go and start collecting money on the streets, adding that they have the plan to give invoice to the DisCos including Ikeja, Eko and Abuja to pay.

    “One or two people out there whether they are relatives or friends are bypassing their meters, so if someone is bypassing his/her meter, that means that he or she is consuming power that was sent from the GenCos, but nobody is paying for that power. “

  • Why Nigeria’s rural electrification projects are delayed

    Lack of reliable data and paucity of funds may scuttle the dream of getting supplying electricity to rural communities across the country,  the Rural Electrification Nigeria Agency (REA Target) Chief Executive Officer, Mrs Damilola Ogunbiyi, has said.

    She spoke during the week at the 2018 edition of the Nigeria Off-Grid Innovations and Summit in  Lagos.

    She said Nigeria needed to provide adequate information on people living in rural and semi-urban areas, before it could effectively utilise the $200 million loan expected  from African Development Bank (AfDB).

    According to her, the bane of the power industry is poor funding and  access to reliable data on the people who need electricity.

    Mrs Ogunbiyi said: “A lot of private organisations do not have thousands or millions of dollars to provide electricity for the teeming population in Nigeria. But once data is made available for rural electrification agency, which is saddled with the responsibility to meet the energy needs of people in the rural areas, the job would have been made easier for the agency. When people say  there are 80 million or 70 million people without electricity in Nigeria, I keep on asking myself questions such as:  Where are the people? What are they doing? What is their productive use? What are the solutions on ground to meet their needs? These are some of the information that needed to be sought for, if we want to solve their energy problems.

    “If development agencies asked me what to do with the money, if it is given to me, I would straight away tell them that the money would be used to provide data, with a view to meeting the energy demands of people in the rural areas. We have to do what would make things easier for us, which is reliable data of people in needs of energy.“

    Ogunbiyi said government should not think that power programmes or policies would materialise without the involvement of the private sector, noting that such has never worked in the past.

    Also, Shell’s Managing Director, Mr Osagie Okunbor, said private participation is key to the issue of resolving energy crises in Nigeria.

    Represented at the event by the Managing Director, Shell Gas Nigeria, Mr ED Ubong, Okunbor urged private sector operators to take a cue from Shell and be passionate about Nigeria’s energy problems.

    “Shell is so passionate on the issue of resolving Nigeria crises. Shell began operation in Nigeria over 50 years ago. It has worked in deep waters, shallow waters and other areas in the country. Not done yet, Shell has transformed from being an oil company to energy solution firm. This is evident in the huge investments made in Afam power plant, through which Shell is able to generate some megawatts of electricity  in Nigeria,” Okunbor said.

    He said it is not possible for a company to invest substantially in a project, without considering the economic benefits of such project, stressing that passion is making Shell to do such things.

    He said Shell desire is to close the energy gap in the country, adding the issue made the firm to set up On All, an energy driven solution company, with a view to providing electricity to communities, that do not have  electricity to create the much needed growth for their people.

    Okunbor said Shell, despite being a partner in the Nigeria Liquefied and Natural Gas (NLNG) Limited, where its holds 26.5 per cent shares alongside the Nigerian National Petroleum Corporation( NLNG), Eni and Agip,  also see the need in providing gas to thermal plant for improved supply of electricity.

    He said the issue of changing Nigeria energy landscape is paramount to Shell, urging stakeholders in the value chain to develop similar interest in provision of electricity for the country.

    It would be recalled that the sector generates less than 5,000 Mw of electricity, a development that was attributed to shortage of gas and other issues.

    The issue made Federal Government to introduced what its describes as gas development strategy. Through this, the government hopes to make gas more utilised and commercial in the country.

  • Wike to embark on rural electrification

    Wike to embark on rural electrification

    Wike to embark on rural electrification

    ivers State Governor Nyesom Wike has said his administration will embark on rural electrification as part of the state’s Golden Jubilee celebration.

    He said his administration was working with a major independent power producer to ensure uninterrupted electricity supply to business and government facilities.

    Speaking at the weekend at the presentation of transformers donated to communities in Rivers East Senatorial District by their senator, Chief George Sekibo, the governor said his administration was embarking on rural electrification to revive rural economies.

    Represented by his Chief of Staff, Chukwuemeka Woke, the governor said the scheme would empower small and medium scale businesses in rural areas and create jobs for youths.

    He said: “The government believes to stimulate the economies of rural communities, rural electrification is key. Once there is rural electrification, micro-economies will be activated and unemployed youths empowered.

    “As part of our golden jubilee celebrations, more communities will be linked to our rural electrification schemes.

    “The government has set up a high-powered committee to interface with a major independent power producer to electrify key areas and facilities.

    “This is to ensure small and medium scale business owners have access to electricity, to carry out their trades.”

    Sekibo said the distribution of transformers to communities was to support the rural electrification scheme of the Wike administration.

    He said the communities were selected in liaison with the government and stakeholders from the local governments.

  • More Akwa Ibom communities to benefit from electrification project

    The Akwa Ibom State Government has given assurance that more rural communities will benefit from the electricity extension programmes in the state.

    The Commissioner in the Ministry of Rural Development, Ekong Sampson gave the assurance while playing host to residents of Onyungo Aban community of Nung Oku Ibesikpo in Ibesikpo-Asutan Local Government Area, who paid him a courtesy visit in his office yesterday.

    The rural development boss reiterated the commitment of Governor Udom Emmanuel’s administration to its 2-year electrification programme, which according to him, is ongoing. He also emphasized that no part of the State will be left out.

    Sampson made it known that the State Government is appreciative of the Ibesikpo-Asutan people, considering the enormous contributions of some of their illustrious indigenes to the State Government’s success.

    He said his ministry has overtime shown reasonable level of concern towards Ibesikpo-Asutan power supply, especially to control possible pressure that power shortage in the area might put on the capital city of Uyo. He said Ibesipko-Asutan LGA has received the highest number of transformers from the Ministry.

    The leader of the delegation and chairman of the Onyungo Aban residents’ forum, Mr. Etim Iton, commended the Honourable Commissioner for his efforts in channeling Government’s attention to address the concerns of rural communities. He also expressed trust in the present administration, describing its agenda as revolutionary.

    Iton, lamenting about the challenge of poor power supply, said that extremely low voltage, most times unusable electricity has been really frustrating; especially with the condition of outrageous billings.

    According to him, the community has made several self-help efforts to fix their faulty transformer but has not been able to emerge from the plague.

    His words: “We have heard how the government, through your Ministry, is saving such small communities like ours all over the State, so we have come with confidence that the goodwill of this government will be extended to us.”

    Sampson explained that release of transformers by his Ministry has been based strictly on need. He therefore promised that his team of Engineers will carry out proper assessment, so as to boost power supply to the area.

    The Commissioner also addressed concerns over poor power supply and outrageous billing by power distribution companies, noted that the power sector has been privatised.

    He urged the group to encourage community members to pull together and explore the mechanism of consumer right advocacy to articulate their concerns. With such, he said, local communities will be able to constructively address some of their key concerns in the power sector.

  • Agency seeks Israel intervention in rural electrification

    Agency seeks Israel intervention in rural electrification

     …To understudy Israel rural electrification

    The Rural Electrifica-tion Agency (REA) would present a request for intervention in rural electrification through mini grid to Israel, it was learnt yesterday.

    According to the REA board chairman, Senator Jonathan Zwingina, who made this disclosure after the Ambassador to Nigeria, Uriel Palti led a delegation to the agency in Abuja, Israel is vast in renewable energy.

    The chairman added that there are wind energy sources in their desert farms besides their biomass technology.

    Zwingina revealed that Palti has invited Rural Electrification Agency (REA) to visit Israel and appreciate how the country has coped with rural electrification.

    He said REA has accepted to get to Israel in order to overcome its renewable energy challenges.

    Asked if the delegation deliberated on investment issues, Zwingina said that it was an exploratory meeting but REA would in future examine investment in the nation’s energy sector that President Jonathan already tabled during his visit to Israel.

    He said that the general policy has been set by the government and the REA is only keying into the aspects that suit it.

    On the visit, the chairman noted that “Mr. Palti came on a visit with his economic adviser. And the object of his visit was to further the relationship between Nigeria and the State of Israel and particularly to look at the areas of cooperation in the energy sector. ”

    Zwingina recalled that since the subject matter of Jonathan’s visit to Israel was energy, the agency facilitated the visit of the ambassador in order to deepen the access of communities in Nigeria to rural electricity.

     

  • Edo probes N50m electrification fund

    Edo State lawmakers have begun a probe into an abandoned N50m electrification project for Akoko-Edo Local Government Area.

    The probe followed a petition sent to the House by residents of the several communities under the auspices of Ikiran Oke, Ayanran, Ikakumo Electricity Completion Committee.

    In the petition signed by the chairman and secretary of the committee, Chief John Alaba Obasoro and Hon. Oyewole Samuel, respectively, the communities said the project was awarded during the Obasanjo administration and that the National Assembly approved the project sum in the 2012 fiscal budget.

    They alleged that only scanty numbers of electricity poles were dumped at the site and accused the Power Holding Company, Benin Zone, of diverting the funds to finance other projects in neigbouring states.

    But the Benin Zone PHCN Executive Director, Effion Umoren, who appeared before the House Committee on Energy and Water Resources said the project in question was handed over to him as a new project and not an on-going one.

    Chairman of the House Committee on Energy and Water Resources, Hon Michael Ohio-Ezomo directed Umoren, an engineer, to provide relevant documents on the said contract.

    He said the lawmaker would visit the site to assess the level of work done.

    Hon Peter Akpatason representing Akoko Edo Federal Constituency faulted claims of the PHCN authority that they completed the electrification of the 25 kilometers Unemen-Igarra Road and urged the lawmakers to tour all the projects in the communities.

     

  • Ogun signs MoU on rural electrification

    Ogun signs MoU on rural electrification

    Better times await rural dwellers and operators of macro-, small- and medium-scale businesses at the grassroots in Ogun State as the administration of Governor Ibikunle Amosun has signed a Memorandum of Understanding (MoU) with the United Nations Development Programme (UNDP) and the Bank of Industry (BoI) on “Access to Renewable Energy” project.

    The “Access to Renewable Energy” project is meant to provide electricity supply to rural dwellers using alternative means of solar power.

    Speaking while signing on behalf of the state government, Commissioner for Local Government and Chieftaincy Affairs, Basorun Muyiwa Oladipo, described the project as a welcome development which is capable of boosting socio-economic activities at the grassroots, as it would be a ready source of energy which hitherto had been almost non-existing.

    He enjoined prospective beneficiaries to protect the project from being vandalised, so that it would serve them for the long time possible, and ultimately, enhance their standard of living.

    “This project that involves the UNDP and BoI, deserves sound coordination and strict supervision in order to achieve its successful implementation. It could not have come a better time. I therefore wish to appeal to our people to do their utmost to guard it and prevent its vandalisation so as to serve them for as long as possible” Oladipo appealed.

    Speaking on the project, the Project Manager of UNDP, Mr. Segun Adaju, said there are numerous benefits derivable from it, saying this include access to regular power supply needed to drive socio- economic activities, thereby empowering rural dwellers and creating employment opportunities.

    According to him, the project was also capable of reducing urban-rural drift as it could ensure job opportunities for the unemployed youths, undergraduates, unemployed graduates and women, adding that a training programme on the use and how to repair the solar-propelled power supply would be organised for the dwellers.

    Adaju noted that the programme was a pilot project tailored to capture all the 774 Local Government Areas of the country, pointing out that Ogun state was picked as its first port of call being an evolving commercial hub.  He said Odogbolu and Sagamu Local Governments were chosen to test run the pilot programme before moving to the remaining  18 Local Governments.

    Responding on behalf of her colleague, the Chairman, Sagamu Local Government, Mrs. Funmilayo Efunwape assured that the councils would give necessary logistic support towards ensuring the success of the programme and urged the people to do their best to ensure longevity so that they could reap from its abundant benefits.