Tag: power supply

  • Nsukka business community laments poor power supply

    The Allied Business Community, Nsukka, has expressed deep concern over the worsening power situation in Nsukka, Enugu State.

    In a position paper presented by its President, Comrade Okagu Augustine in Enugu, the group said poor power supply had crippled their businesses, adding that most of their members had already closed shops.

    The business community lamented that the power project at Nru Junction, which would have solved the acute power problem in the area, had long been abandoned.

    “We want to state with deep pain in our hearts that the power supply in Nsukka zone has gone from bad to worst. Epileptic power has killed our businesses, yet we are still paying relevant rates to the government.

    “In addition to this, we are being over-laboured with exorbitant estimated bill from the Electricity Distribution Company. It would have been a different scenario if we do enjoy the power supply to a reasonable extent, but the reverse is the case as we have continued to pay for power we never used.

    “As we talk to you today, over 50 percent of our members have either quit their businesses or retired to their villages owing to untold hardship occasioned by lack of power.

    “We are all aware of the high cost of diesel and the implication of using it constantly to run our businesses”.

    The group called on the Federal Government to all assistance to the contractor handling the Nru Junction Power project.

    “Government should ensure that the contractor returns to site and complete that project. Similar projects started in other parts of the country at the same time have since been completed and commissioned.

    “Our own case should not be different; government should be alive to its responsibility”, they added

  • Privatisation: BPE, NERC promise improved power supply

    Privatisation: BPE, NERC promise improved power supply

    Dr Benjamin Dikki, the Director-General, Bureau of Public Enterprises (BPE), has promised to work with the Nigeria Electricity Regulatory Commission (NERC) to ensure improved electricity supply in the country.

    Dikki said that the two organisations would ensure that the new owners of the power companies met the country’s expectations of adequate power supply.

    This was contained in a statement issued in Abuja over the weekend made available to newsmen by the Head, Public Communications, Mr Chigbo Aniechebe.

    Dikki said that the bureau was aware of the high expectations of Nigerians from the outcome of the power sector reform.

    He said that this necessitated the BPE and NERC to put in place monitoring mechanisms to ensure that the new owners of the power companies fulfilled their obligations to improve power supply.

    Dikki said that during the privatisation exercise, documents were signed to give BPE and NERC the power to monitor these companies after the sales to help them ensure that power supply improved.

    He said that these agreements were the Share Sale and Purchase Agreement (SSPA), Performance Agreements (PA), BPE’s Post Privatisation Monitoring Template, NERC’s Reporting Compliance Regulation and NERC’s Terms and Conditions of Licensing.

    “SSPA clearly spells out the terms and conditions of sale of shares to the investors, while the PA contain terms of payment and Post Acquisition Plans implementation.

    “It also stipulates clear milestones the investor must achieve within a specified period.

    “The NERC’s Reporting Compliance Regulations clearly outlines the level of compliance to set standards by the companies.

    “Also, NERC’s license terms and conditions is the document that shows the mandatory requirements for acquiring a license and the violation of the terms will lead to NERC’s withdrawal of the license,” he said.

    Dikki said that among the documents was the Compliance Monitoring which gave BPE the right to audit, enter and monitor privatised enterprises every six months upon five days notice to the company.

    “The performance obligations and liquidated damages mandates the purchaser to ensure the company achieves the minimum performance targets, failing which the purchaser shall be made liable to pay liquidated damages for performance below agreed standards.

     

  • Why power supply is poor, by business manager

    The Ikeja Electricity Distribution Company (IKEDC) provides power to consumers on the basis of energy allocated to it from the national grid, its Business Manager, Akowonjo Business Unit, in Lagos Sani Mohammed has said.

    Speaking to residents of 121 Road, Gowon Estate Egbeda, a Lagos, suburb who complained about power outage in the area, Mohammed said reduction in energy was responsible for poor power supply in Egbeda and other areas.

    He said: “If power supply is available, I cannot use it to entertain anybody or take it to my house. If the transmission does not supply energy, we will not be given bill at the end of the month. If it is possible that all residents are given prepaid meters now, I will be happier because I will sleep well at home. Even if you have a functioning analogue meter and someone is reading the meter and you are given a bill based on what you used, you cannot contest that.

    “Alimosho feeder that you are connected with is overloading now and since you cannot wait until the power situation is over, you can go to our head office at Ikeja to lodge complaint. We do not have the material to connect you back,”

    He said consumers have the right to complain when they are not getting power that is proportionate to the bills they are paying.

    “But when they give yo an estimated bill when power supply is not regular, you have the right to contest it,” he said. He assured the residents that there would be an improvement when the energy allocation to the district improves.

    Also, the leader of the group, Mr Edward Olley urged IKEDC to improve power supply in the area, noting that residents have suffered for it.

  • Hope rises as Geregu boosts power  supply

    Hope rises as Geregu boosts power supply

    The inauguration of the Phase II-434 megawatts Geregu appears to have raised the hope of improved electricity supply, reports JOHN OFIKHENUA.

    With the inauguration of the 434 megawatts (mw) of electricity from the Phase II of the Geregu Power Plant, there is hope for improved power supply soon. Also, the Federal Government has said it would make good its promise to change the electricity equation on the national grid.

    The plant was inaugaurated last week by President Goodluck Jonathan in Geregu, Ajaokuta Local Government Area, Kogi State. Stressing that Nigeria must tackle its electricity challenges if it wants to become an industrialised nation, he said the remaining nine plants would be inaugurated next June.

    “If Nigeria must be industrialised, we must fix power,” he said.

    He said the plant is one of those under the National Integrated Power Projects (NIPPs) that are jointly owned by the three tiers of government. He said others would be handed over to private investors next year.

    The decision to implement the NIPPs that would upon completion add 5,000mw to national generation capacity, according to him, is an indication of government’s efforts at providing regular electricity supply to its citizenry.

    He advised the three tiers of government to own shares in the NIPPs, given the resolution of a suit instituted against it by the Revenue Mobilisation Allocation and Fiscal Commission.

    Expressing optimism on how the project could turn around the electricity sector and have a multiplier effect on the country’s economy , Jonathan said: “I am confident that in the very near future, the present epileptic power situation which is a stumbling block to the rapid growth of our economy will give way to reasonable improvement in terms of electricity delivery and other services.”

    He said at the conception of the project, the government seemed to have ignored gas supply plan for it but the Nigerian National Petroleum Corporation (NNPC) has now put an emergency gas supply plan in place to remedy the situation.

    As a major factor in power generation, gas supply affects virtually all the decisions on power. For instance, gas pricing is a determinant for reviewing the electricity tariff. Consequent upon this, the Federal Government has entered into a gas purchase agreement with the vendors to ensure steady supply to thermal plants. Aside having a reserve of 187trillion metric cubic feet of gas, Nigeria has made provision for the domestic market 1.500 million cubic feet per day.

    But power sector analysts have raised issues on the ineffieciencies in the gas supply chain, which they fear may cripple the operations of the power plants. But on the Geregu 11 Plant, the Managing Director, Niger Delta Power Holding Company (NDPHC), Mr James Olotu, said apart from the abundant natural gas, gas turbine power plants are easily constructed and best suited for the emergency intervention in power generation as conceived by the government.

    He said gas for the power station will come from Oben-Ajaokuta gas pipeline. He noted that the Nigerian Gas Company (NGC’s) facility built for Phase 1 has gas pressure reduction and metering station (GPRMS) capable of supplying additional gas requirements to Phase 11 plant. He said some modifications for separate metering trains for the gas sale lines for the two connected power plants were being done at the GPRMS by Messrs Zakhem Ltd.

    He said: ”The Geregu Phase 11 power station project was initiated in 2006 as the second phase development to the existing 414 mw Geregu Phase 1 power station to add three more Siemen type V94.2 gas turbines to complete the Geregu power station as originally conceived. However, as the project was to be funded under the NIPP with a different ownership structure from first phase plant, the Phase 11 power plant therefore was built as a fully independent stand-alone plant.”

    Olotu said Jonathan would inaugurate the Omotosho Power Plant later this month.

    He said the generation component of NIPP was conceived as a complete gas-to-power package that would harness the natural gas reserves in the Niger Delta to produce the much-needed electricity for economic growth.

    On NIPPs, Minister of Power Prof Chinedu Nebo said the country was already harnessing 1,600 mw to the national grid regularly.

    He said more units of the generation companies which the Federal Government has privatised were being overhauled “with a view to achieving a robust generation profile for the country. It is very clear that better days are ahead.”

    The minister noted that NIPPs has altered the electricity equation of the grid system.

    He said:“Today, NIPPs has, indeed, changed the power equation of the grid system.”

  • Two firms partner to boost power supply

    Two firms partner to boost power supply

    Generator manufacturer Cummins Incorporated and United Kingdom (UK) based Gentec are involved in a joint venture business in Nigeria, it was learnt yesterday.

    They are to design, operate and maintain gas power plants.

    “Cummins partner in this new business venture is Gentec, a specialist UK based power plant constructor and operator, which has successfully built turnkey and independent power producer (IPP) plants powered by class leading Cummins gas generators in Asia, Europe and Africa”, the firm said in a statement.

    Gentec’s Chairman Mr. Dipi Khilnani said: “With over a million hours of operating experience with Cummins gas generator sets in Nigeria, we are confident that we have the right product and the right capability to meet the needs of Nigerian Industry.”

    He added that gas power delivers significant operational savings in these difficult economic times.

    The new venture called Cummins Energy Solutions Nigeria Limited (CESN), according to the partners, is set to capitalise on Nigeria’s growing network of natural gas distribution. This fuel source will facilitate the construction of distributed power plants typically in the two megawatts (MW) to 50 MW range to meet a wide spectrum of industrial and IPP customers . CESN will also introduce smaller gas powered solutions from 40Kva to 1MW to enter into the SME segment.

    “This new venture further illustrates Cummins’ commitment to Nigeria and this business will be an important vehicle to contribute towards reducing Nigeria’s critical power deficit,” said Satish Jayaram, the Director of Power Generation for Cummins Africa.

    “The new venture will harness the strengths of Cummins’ global expertise and its industry leading efficient gas technologies with Gentec’s proven power plant project implementation expertise in emerging markets. This strategic investment is testimony of Cummins’ vision and strategy to accelerate our presence and investments in Africa,” Jayaram added.

  • Power supply: ACN asks Amaechi to apologise to Rivers people

    Power supply: ACN asks Amaechi to apologise to Rivers people

    THE Action Congress of Nigeria (ACN), Rivers State chapter, has asked Governor Rotimi Amaechi to apologise to the people of the state for his inability to fulfil his promise of the 24-hour power supply, instead of blaming his Commissioner for Power, Augustine Wokocha. The main opposition party in Rivers State, through its Publicity Secretary, Jerry Needam, yesterday urged Amaechi to take full responsibility for his failure to deliver on his promise of regular electricity supply. ACN described the call by Amaechi, who is also the Chairman of the Nigerian Governors’ Forum (NGF), on his power commissioner to resign for failing to deliver regular power supply to the people of the state as uncalled for. It said: “It will serve Governor Amaechi better if he fulfils his myriad of promises and ends the cynicism of the people about his administration. “Governor Amaechi, who has refused to release funds as and when due to the Rivers State Ministry of Power, should not blame anybody, but should rather take aggressive steps to ensure steady power supply as he promised. “Power supply is critical to the development of Rivers State. Looking for who to blame after Governor Amaechi has made many unfilled promises to the people of the state is selfserving and deceitful.

  • Power supply to drop  by 800MW

    Power supply to drop by 800MW

    Power supply will drop by 800megawatts for 72 hours due to disruption of gas supply, the Chairman, Presidential Task Force on Power (PTFP) Dagogo Jack has said.

    Jack said the PTFT is coordinating with Chevron, Nigerian Gas Company, the Nigerian National Petroleum Corporation and the Transmission Company of Nigeria (TCN) to ensure that the scheduled gas outage, from tomorrow through Sunday at the Chevron Escravos Gas plant, would be executed with minimal disruption to the supply of electricity.

    The outage, he explained yesterday in a statement, “ is scheduled for the tie in of additional gas supply from the plant. As part of the mitigating plan, transmission line maintenance in the Lagos area will also be conducted in tandem to avoid sequential outages.”

    The PTFT said the outage is also inclusive of the Shell Afam VI scheduled maintenance which contributes about 200 megawatts to the power shortfall.

    He said : “The PTFP is coordinating with the relevant project owners to further mitigate the effect of the expected power shortfall,” adding that the scheduled maintenance operations of this nature are normal in ensuring that power supply is sustained in the long term”.

    The Chairman also stated that the benefits of this culture of disciplined maintenance far outweigh the cost of a two to three day inconvenience in reduced supply, promising that with increased generation, future planned maintenance would have minimal impact on supply.

    Meanwhile, electricity customers in Oyo and Ogun states are now enjoying improved power supply with the addition of a new 150MVA, 330/132/33kV power transformer in Ayede Transmission Station, Ibadan, Oyo State. The successful installation and commissioning into service of the power transformer by the Transmission Company of Nigeria (TCN), last week, has further increased the nations’ grid capacity by 150Maga Volt Amphere (MVA).

    In a statement, the the Assistant General Manager (Public Affairs),TCN, Dave Ifabiyi, said that the brand new 150MVA power transformer was provided by the World Bank, through the Power Holding Company of Nigeria (PHCN)’s Project Monitoring Unit (PMU). The newly commissioned transformer replaced a previously failed 150MVA, 330/132/33kV power transformer in the same transmission station.

    According to the statement, the installation of the new 150MVA 330/132/33kV power transformer was successfully carried out by Areva Alston Engineering, in conjunction with TCN engineers, thereby increasing the wheeling capacity of the Ayede Transmission Station from 300MVA to 450MVA.

    TCN also said that with the increased capacity of the Ayede Transmission Substation, it can now wheel more electricity to Ibadan Metropolis, as well as the Shagamu and Ijebu Ode 132/33kV Transmission Substations.

  • Power supply threatens e-transaction, says IBM

    Irregular power supply has been identified as the major threat to the success of Central Bank of Nigeria (CBN’s) efforts at encouraging the use of electronic platform as alternative way of paying for goods and services.

    Taiwo Otiti, General Manager, IBM West Africa, who spoke in Lagos, said if the Federal Government concentrates its efforts on fixing the nation’s power debacle, so many other things will fall in line.

    According to him, stability in the services offered by telecoms operators on whose network services like e-transaction, mobile money and other forms of electronic transaction would ride may not be guaranteed untill the power issue if fixed.

    He said the operators were running their cell cites on generators. He argued that there would always be glitches in services as the generators will need to be refuelled at some point in time, arguing that there will be huge economic transformation if the power sector is fixed.

    “I think the main issue in telecoms is not just stability, majority of the cell sites are running on generators. So if the Federal Government can fix the power (sector), you will see a big transformation because if a generator goes down, the cell site also goes down and therefore, the nearest cell site which might be congested at that particular moment, your PoS (Point of Sale) is diverted to that one. So there are many issues. The major issue around it is power. If you fix power (the success of the initiative would be assured). It (power) has a big role to play in ensuring the success of the initiative,” he said in an interview.

    Worried by the high cost of managing cash and determined to deepen financial inclusion in the country, the apex bank had introduced cashless project and also licensed some mobile money operators in the country assist in bringing the rural unbanked into the banking sector. But these initiatives have been fraught with myriad of challenges. While the uptake of mobile money services has been adjudged sluggsih, the cashless policy which pilot project was done in Lagos last year did not record impressive success rate.

  • Nasarawa to invest N5b in power supply

    Nasarawa to invest N5b in power supply

    Nasarawa State Governor, Umar Tanko Al-makura, on Thursday said the state government would invest N5 billion on the construction of a power substation in Lafia to boost electricity supply.

    Al-makura, who disclosed this at a meeting with experts in the power sector in Lafia, said that power for the substation would be drawn from the Enugu-Jos 330KVA line.

    He said although the transmission line was close to the state, it had not been serving the state.

    “Although the project is huge and capital intensive, my administration will ensure it success,” the News Agency of Nigeria quoted the governor as saying at the meeting.

    He said the project would be executed to ensure adequate power supply in the state, adding that his administration would carry out the project in collaboration with some investors conversant with the job.

    “This cannot be done without experts, who are conversant with this job. We have secured investors, who are highly competent in this field for the state to get the best,” he said.

     

  • Tackling challenges to stable power supply

    Tackling challenges to stable power supply

    With deteriorating generating capacity and high inefficiencies, the nation’s electricity system (generation, transmission, and distribution) is under stress, requiring urgent measures to ensure that the electricity demand is commensurate with growth, DANIEL ESSIET reports.

    As the economy grows, so is the demand for electricity, which has surpassed the capacity of the current electricity generation levels.

    Across the country, power shortages have become the norm with some areas barely receiving 12 hours of electricity supply. In the wake of massive blackouts, half of the country’s population have been left without power. This is attributed to technical challenges that prevent sufficient volumes of electricity from being delivered to end-users. The challenges span across the entire power system value chain: from insufficient capacity to large losses in the transmission and distribution networks.

     

    NIPP

    Speaking during the commissioning and handling over of some National Independent Power Projects (NIPP) at Ijede, Agbowa, Imota and Ipakado subjection stations in Lagos, the Managing Director of Niger Delta Power Holding Company (NDPHC), owners of Nigerian Independent Power Projects( NIPP), James Olotu said aging power plants, lack of adequate maintenance, and sub-optimal use of fuels in the power plants have reduced the share of the nation’s generating capacity that can actually be delivered to the grid. This reduction combined with the less than optimal operation of power plants have together led to reduction in the capacity of thermal power plants. The challenge with older power plants, according to watchers, is that soon, the aging turbines and components lose efficiency. This leads to a reduction in capacity output.

    Olotu said transmission and distribution of electricity through transmission lines and substations is normally accompanied with “technical losses” in the metallic lines that connect power plants to end-users. There are however, higher losses attributed to lack of rehabilitation of power lines as well as to the inadequacy in the number of substations, which are used to step up and step down voltages across the system.

    He said the distribution system is suffering from high overloads, thefts, and lack of asset and demand side management. Congested transmission paths, or “bottlenecks,” now affect many parts of the grid across the country.

     

    The Challenges

    He said monitoring is used to identify the weak points in the system, regulate power outages, and anticipate electric failures. This he explained, helps to decrease the number of technical losses and facilitates the detection of non-technical losses, consequently increasing the share of electricity produced that is actually delivered to customers. He explained that congested transmission paths affect many parts of the grid across the country.

    To address this challenge, Olotu said the project is providing 966 low voltage, completely self protected (CSP) transformers, which will be connected to the four sub injection stations to provide reliable and safe electricity to consumers. In most of the areas of the country, NIPP is deploying CSP transformers. He said a CSP transformer can protect itself from faults. The CSP technology enables the transformer to protected it from over loading and lightning.

    He said the project is prepared to provide adequate transmission infrastructure to supply reserve margins and operating capacity that are an important part of the national reliability plan.

    Olotu said the project is providing service wires and poles to help the Power Holding Company of Nigeria(PHCN) expand the distribution to meet population and demand growth.

    The NIPP is gradually increasing the total power distribution capacity in Lagos towards lightening up the entire state as well as the adjoining state of Ogun.

    With these developments, he observed that power will be more stable in the covered areas in the states, there would be reduction in low current, load shedding, and improvement in the quality of power base and distribution along with its multiplier effects on other strata of life and the economy.

    The NDPHC boss also pointed out that the issue of gas supply had become very challenging though it was being addressed from the highest quarter.

    Olotu insisted that these were parts of the challenges and NDPHC was dealing with now in order to deliver to the nation the required quantity of power in the nearest future. Noting that Nigeria was a growing nation with the current population of 160 million people and a growing economy, he said power generation, transmission and distribution are projects that will continue to receive attention and will be improved upon.

    To improve power supply in the country, Niger Delta Power Holding Company (NDPHC) said it will continue to commission new projects every month across the country until the end of this year. He assured Nigerians that Omotosho Power Plant Phase ll is ready to contribute additional 500 megawatts to the national grid by December. Olotu said Unit 3 out of the four units in Omotosho is ready contributing about 375 megawatts into the national grid while the last unit would come on stream by December to make 500 megawatts.

    He said on-going successes recorded in the NIPP power project was in line with the transformation and power sector reform agenda of President Goodluck Jonathan administration.“I have been assured by the contractor handling the projects that the 500 mega watts will be available by December to the national grid. At present, three units, which are 1, 2, and 3 are generating about 375 mega watts are on the grid, while the last unit 4 would come on stream by December,’’ he said.

    The NDPHC, however, expressed satisfaction on the total level of commitment of the contractors handling the ongoing-NIPP projects in Omotosho.

    He said that with the level of work in all NIPP projects, the country is expected to get about 1, 500 megawatts from NIPP to contribute to the national grid by December, which is subject to available of gas.

    Olotu said that some units are not working due to non-availability of gas, adding that they have been assured availability of gas by NGC.

    The NIPP boss said that about 300 million standard cubic feet of gas has been promised by NGC to be available to the power plants by December, which he said will go a long way to boost Omotosho power plants generation.

    It will also be recalled that last the week about 1,214 self protected transformers had been handed over to the management of both Eko and Ikeja Electricity Distribution Company by the NDPHC for effective power supply in Lagos.

    A breakdown of the commissioned transformers revealed that Ikeja Electricity Distribution Company got the lion share of 966 while EkoElectricity Distribution Company received 248.

    Olotu, who participated at the event held in Lagos said that about22,500 of such micro transformers will be commissioned before theend of this year across the country to boost power delivery and reducetechnical power loss.

    The NDPHC boss, who declined to name the cost of the project, said it is a nine in one contract spread throughout the nation .He added that three of such projects have been completed in the country. He said that the transfer, which was designed to eliminate technical loss of power during transmission and distribution to end users waspart of government gesture of adding value to the privatisation of thepower sector.

    The Chief Executive officer of Eko Distribution Company of NigeriaEngineer Oladele Amuda, who spoke while participating at the ceremony in Mushin suburb of Lagos where 248 transformers was located,commended President Goodluck Jonathan, Vice-President Nmadi Sambo, the Management of Niger Delta Holding Company and the contractors for the completion of the Project that will reduce technical loss as well boost power delivery to end users in the area.

    The Chief Executive Officer, Ikeja Distribution Company, Chris Akamnonu, who spoke at the ceremony at Ikorodu suburb ofLagos where 966 transformers was installed, also commended Federalgovernment for taking the bold initiative of reducing technical lossand boosting of power delivery to the end users in the area.

    The Management of NDPHC handed over two drums ofservice wires for power distribution to Management of Ikeja Distribution firm for distribution of power to end users.

     

    Conclusion

    For followers of events in the energy sector, the crisis in the region adds urgency to the timeframe for transitioning to a more sustainable energy future. Also, because energy infrastructure tend to have a life-span of at least a half a century, the government need to develop alternative energy sources — along with production and distribution systems — at a scale that serves millions of people every day, in perpetuity.

    The nation is woefully under-spending on research to support renewable energy and a sustainable energy future. Since the roadmap is needed to address the daunting energy challenges of the 21st century, programmes should be designed to solve basic energy research problem, support transformational energy technologies and businesses, and develop cross-cutting centres of energy excellence focused on moving technologies from the concept to commercialisation phase. As the year draws to an end, expectations are high from electricity consumers.

    Recently, Vice-President, Namadi Sambo ordered the speedy evacuation of power generated from the various power stations to ensure constant electricity supply across the country. He commended the current 4,200mw of electricity being generated by power plants in the country.