The Nation Newspaper

Tag: TCN

  • House investigates TCN for alleged fraud

    House investigates TCN for alleged fraud

    The House of Representatives has raised the alarm over the fleecing of the economy by eight expatriate managers of the Transmission Company of Nigeria (TCN) that earns about N168million monthly among them.

    The lawmakers have consequently mandated its Committees on Power and Public Procurement to investigate alleged massive corruption being carried out by the management of Manitoba Hydro International Nigeria Ltd.

    Manitoba was engaged by the Federal government to manage TCN.

    The decision of the House followed the adoption of a motion by Gaza Gbefwi (APC, Nasarawa), who regretted that Manitoba was able to carry out the fraud through validation of contracts without due process as well as foreign exchange manipulation among others.

    He said: “While the consideration of the management contract includes emoluments for 15 expatriates, only eight  expatriates are working at the TCN.

    “In these harsh economic times, the Managing Director of TCN, a public corporation, draws a monthly salary of N35,500,000 while other expatriates and the Managing Director, ISO earn monthly incomes of N20,500,000  and N19,100,000  respectively.

    “Although the official exchange rate of the dollar to the naira four years ago was around N160 which is now N199,  the exchange rate being used by the management company since 2012, has been N395, a rate that was and is still higher than both the official and parallel market rates

    “As a result of the unlawful exchange rate being used by Manitoba Hydro International Nigeria Limited in the last 13 quarters, the transmission company of Nigeria has fraudulently and illegally lost N3,769,000,000 over and above its entitlement under the management contract

    “Although Manitoba Nigeria Limited, a Federal Government Nigeria through the Federal Inland Revenue Service (FIRS), it recoups the amounts from the funds of the market operators of the ISO in the TCN and has so far recovered over N1, 680,000,00  to date.”

    Gbefw said in April this year, the management company unlawfully revalidated a 2010 contract worth N1,900,000, 000 and awarded it to ABB India without due process, in flagrant violation of the Public Procurement Act, 2007

  • TCN, NDPHC to sign 265mw spinning reserve pact

    The  Transmission Company of Nigeria (TCN) and the Niger Delta Power Holding Company (NDPHC) are expected to sign an agreement on the provision of 265 megawatts (Mw) of electricity that will be a spinning reserve to guard against system collapse caused by frequent attacks on gas pipelines.

    The spinning reserve is meant to ensure the stability of the national grid whenever there is severe shortfall in power supply.

    The General Manager, Communication and Public Relations, NDPHC, Mr. Yakubu Lawal, said the two firms were fine-tuning a contractual agreement that will provide about 265Mw for spinning reserve from the power plants built by the National Integrated Power Plants (NIPP).

    Lawal said the reason for the agreement is to facilitate grid responsiveness during swings and disturbances on the transmission network. He said after 10 years of conception, the provision of spinning reserve and other ancillary services are being practised all over the world and Nigeria now largely relies on NIPP plants to provide the service.

    He noted that contrary to allegation of non-relevance, the NIPP is definitely not a failed project.

    According to him, the NPDHC has over 2,000Mw of generation capacity readily available for deployment as soon as vandalised gas processing projects are completed.

    He said: “Eight of the 10 power plants in the NIPP portfolio, along with associated gas transmission metering/receiving infrastructure projects to support commercial operation, have been commissioned and connected to the national grid contributing over 2000Mw of energy daily. While it is a fact that power generation is often disrupted by acts of vandalism of gas pipelines and transmission lines, the NDPHC does not offer such incidences as excuses.

    “The NDPHC has continued to operate these power plants in the interest of the Nigerian economy despite undesirable security challenges and accumulated debt of over N94billion owed it by the electricity market. “Tthat’s definitely more than a tangible contribution to the nation’s electricity supply. NIPP power plants also provide ancillary services in support of system operations, which is a contribution critical for stabilising the national grid.

    “It is noteworthy that the System Operator heavily depends on the NIPP for the provision of these critical services. Completed power plants include 750MW Olorunsogo II, 450MW Sapele, 434MW Geregu II, 450MW Omotosho II, 450MW Ihovbor, 450MW Alaoji, 563MW Calabar and 225MW Gbarain.  Imminently completed ones include 225MW Omoku, 338MW Egbema and 530mw 2nd Phase Alaoji.

  • TCN bars website on power generation

    TCN bars website on power generation

    The Transmission Company of Nigeria (TCN) has barred access to its website on the volumes of electricity generated, distributed and transmitted in the country.

    This is coming as generation dropped to below 3,000 megawatts (Mw) in recent times, a development which has negatively impacted on electricity supply in Nigeria.

    Known as www.nsong.org, the website, which provided information on what the state of turbines and their output are; how many megawatts of electricity are generated; the volume of power that is distributed, transmitted and projections made in respect of electricity production in the country, has been shut, with no explanation offered by TCN management.

    The Nation’s findings revealed that visitors to the website have since last week been unable to access the site.

    It was further gathered that the development has left stakeholders including journalists who use the site as a source for their stories disappointed.

    Efforts to get TCN’s spokesman, Seun Olagunju, to speak on the issue proved abortive as calls and text messages made to her were not replied.

  • Power supply now 2,905.70MW

    Power supply now 2,905.70MW

    The Nigerian Electricity System Operator Tuesday said that it transmitted 2,905.70Mega Watts (MW) to the 11 electricity distribution companies across the country.

    Being the arm of the Transmission Company of Nigeria (TCN) that allocates energy to the distribution companies, the operator said that it released 435.86MW to Ikeja, 334.16MW to Abuja, 319.65MW to Eko, 261.51MW to Benin, 261.51MW to Enugu, as Ibadan received 377.74, and Jos got 159.81MW.

    Meanwhile, it allocated 232.46MW to Kano, 232.46 to Kaduna, 188.87 to Port Harcourt, and 101.70MW to Yola.

    The System Operator’s website that made this disclosure Tuesday recalled that it on Monday attained a peak generation of 3778.90MW, low generation of 3,305.80MW.

    It also noted that its highest frequency was51.28 Hz while lowest frequency was 48.83Hz.

    Attempt to confirm what percentage of the allocation the distribution companies could send to their customers was unsuccessful as our Abuja correspondent could not reach the Head, Public Affairs Department, Dr. Usman Abba Arabi of the Nigeria Electricity Regulatory Commission (NERC) on phone for response.

    But speaking with the Abuja Electricity Distribution Company’s head of Public Relations & Media, Ahmed Shekarau, he revealed that the firm does not only exhaust all its allocation but it also exceeds it.

    He said “we (Abuja Disco) distribute everything, Everyday, we distribute more than what is allocated to us.”

    In a system report data for Tuesday that he made available to The Nation, the System Operator allocated a Multi-Year Tariff Order Load of 352.02MW to the ADEC while it distributed an average of 509.36MW.

    The difference between the actual average distribution and the allocation was 157.33MW while it forecast an average distribution of 399.76 for Wednesday.

  • NERC to query TCN over report

    NERC to query TCN over report

    • Scores DisCos, GenCos low

    The Nigerian Electricity Regulatory Commission  (NERC), is set to query the Transmission Company of Nigeria (TCN), for its falure to submit the mandatory operational report between January and June 2015.

    NERC’s Head of Engineering Standards and Safety Department, Mr. Abdullahi Mohammed said during a meeting in Abuja to review agreed key performance indicators in the industry with operators that the commission was uncomfortable with TCN’s attitude to its reporting responsibility.

    He said: “I am disturbed about TCN because it is the hub. If it does not behave well, other parts suffer. They refused to submit the six months report against the provision of the Act.

    “We will write them query on that lack of compliance. They submitted two days ago but we are not accepting that.”

    Industry experts had overtime queried the capacity of the TCN to comfortably operate within laid down rules in the country’s privatised electricity market. Their stated discomfort with the TCN stems from its reported years of operating with disregards to rules.

    Similarly, NERC expressed its displeasure with the 11 electricity distribution companies (DisCos) for mostly performing poorly in 2015.

    NERC explained that in addition to the DisCos’ poor operational performance, they equally did poorly with their data submission to it for relevant documentation.

    Mohammed in this regard said there were suspected cases of incredibility of data submitted by the operators.

    He reminded them that the Electric Power Sector Reform Act (EPSRA) 2005 abhors the submission of such false information to the Commission, adding that such attracts various sanctions including imprisonment.

    According to him: “By the next performance review, we will get the actual culprits that are not performing accordingly.”

    Accordingly, data presented by the Commission indicates that the TCN, which transmits generated electricity across the country and which is also under a contract management of Canadian firm, Manitoba Hydro International did not submit its six monthly report.

    Although the the report said that the TCN reduced its transmission losses to 6 per cent in the second half of 2015, there was however a surge in the losses to about 9 per cent between August and September the same year.

    The year end figure was also higher than the 8.05 per cent that the Multi Year Tariff Order (MYTO) assumed would be the case. This also shows  that there is a high level of constraint in power delivery and subsequently revenue generation.

    The generation companies (Gencos) on the other hand, had their electricity output go down from 70 per cent earlier in 2015 to less than 65 per cent with more stranded (unused) power in the system.

    According to NERC, the Discos’ performance showed that on the average they had their Aggregate Technical Commercial & Collection Losses (ATC&C) figures at 55 per cent. It however noted that it was unacceptable because only 17 per cent was projected as the acceptable level in the MYTO.

  • NERC to query TCN over non submission of report

    NERC to query TCN over non submission of report

    The Nigerian Electricity Regulatory Commission (NERC) on Wednesday vowed to query the Transmission Company of Nigeria (TCN) for not submitting six months report of its performance in Nigeria’s electricity industry in 2015.

    NERC said that TCN failed to submit to it the mandatory operational report between January and June of 2015. It noted that such reporting failure was unacceptable to it.

    The Head, Engineering Standards and Safety Department of NERC, Mr. Abdullahi Mohammed said during a meeting in Abuja to review agreed key performance indicators in the industry with operators that the commission was uncomfortable with TCN’s attitude to its reporting responsibility.

    He said; “I am disturbed about TCN because it is the hub. If it does not behave well, other parts suffer. They refused to submit the six months report against the provision of the Act.

    “We will write them query on that lack of compliance. They submitted two days ago but we are not accepting that. ”

    Industry experts had overtime queried the capacity of the TCN to comfortably operate within laid down rules in the country’s privatised electricity market. Their stated discomfort with the TCN stems from its reported years of operating with disregards to rules.

    Similarly, NERC stated its displeasure with the 11 electricity distribution companies (Discos) for mostly performing poorly in 2015.

    NERC explained that in addition to the Discos’ poor operational performance, they equally did poorly with their data submission to it for relevant documentation.

    Mohammed in this regard said there were suspected cases of incredibility of data submitted by the operators.

    He reminded them that the Electric Power Sector Reform Act (EPSRA) 2005 abhors the submission of such false information to the Commission, adding that such attracts various sanctions including imprisonment.

    According to him: “By the next performance review, we will get the actual culprits that are not performing accordingly.”

    Accordingly, data presented by the Commission indicates that the TCN, which transmits generated electricity across the country and which is also under a contract management of Canadian firm, Manitoba Hydro International did not submit its six monthly report.

    Although the report said that the TCN reduced its transmission losses to 6 per cent in the second half of 2015, there was however a surge in the losses to about 9 per cent between August and September the same year.

    The year-end figure was also higher than the 8.05 per cent that the Multi Year Tariff Order (MYTO) assumed would be the case. This also shows that there is a high level of constraint in power delivery and subsequently revenue generation.

    The generation companies (Gencos) on the other hand, had their electricity output go down from 70 per cent earlier in 2015 to less than 65 per cent with more stranded (unused) power in the system.

    According to NERC, the Discos’ performance showed that on the average they had their Aggregate Technical Commercial & Collection Losses (ATC&C) figures at 55 per cent. It however noted that it was unacceptable because only 17 per cent was projected as the acceptable level in the MYTO.

    Also, the Discos’ customers’ metering level fluctuated from 46 per cent to about 44 per cent in the year, NERC said on this that it suspected wrong data submission from them.

    More so, it frowned at the high electrocution rate of 120 deaths and 117 critical injuries, saying there were up to 13 deaths in just a single community and that such development cannot attract further investment in the sector.

    Other faults identified in the Discos include low compliance on report submission, poor data credibility, variations in the number of customers and the meter installation statistics.
    Mohammed said:  “The performance in the sector needs to be improved. It is really not impressing and we are making sure that our licenses live up to their responsibilities.”

    He noted that the Commission will urge the operators to validate their data before submitting it to it, as well as timely submission.

     

  • TCN records 5, 074.7Mw peak generation

    TCN records 5, 074.7Mw peak generation

    The System Operator, Transmission Company of Nigeria (TCN) yesterday said it achieved a  new record peak generation of 5074.7megawatts (Mw).

    In a statement endorsed by Assistant General Manager, Public Affairs, Clement Ezeolisah, it said it also recorded the highest maximum daily energy wheeled nationwide of 109,372Mw February 2.

    The new peak generation of 5074.7Mw was attained at 9.30pm February 2. While the previous peak generation was 4883.9Mw achieved on November 23 last year, the previous highest maximum daily energy wheeled nationwide was 107,142.32MwH recorded on January 26.

    The Managing Director, System Operation/Market Operation, TCN, Dipak Sarma attributed the twin peak achievements to the enhanced cooperation among all the power sector stakeholders and concerted efforts by system operators at the National Control Centre and other stations to ensure that all generated power is wheeled to the distribution companies and that there is no stranded power.

  • Fashola unfolds 13-point agenda to revive power sector

    Fashola unfolds 13-point agenda to revive power sector

    The Minister of Power, Works and Housing, Mr Babatunde Fashola, on Monday unfolded a 13-point agenda to drive efforts towards enhancing power supply in the country.

    Fashola said in Abuja during his maiden meeting with power generation, distribution and transmission companies, and other stakeholders that the agenda was drawn up to ensure effective monitoring of the sector.

    The minister said the agenda involves continuous public engagement on tariff collection, debts, power generation, maintenance, ancillary services, dispatch orders and discipline.

    Other areas include gas requirement and constraints, transmission constraints, 33KV load off take, imbalances-locations of excess, overload safety, service quality, new captive and embedded generation, franchising and other issues relevant to the growth of the sector.

    According to Fashola, President Muhammadu Buhari has approved that all stakeholders in the sector should hold monthly meetings on issues concerning the industry.

    He said that the meeting would be rotated among the various GENCOs, DISCOs, TCN and other stakeholders across the country.

    Fashola said that all decisions reached in such meetings would be binding on all the stakeholders.

    In this respect, the minister stated that the various companies and stakeholders would each be represented by a management member with authority to take decision on behalf of their companies.

    He explained that in order to minimise the cost of hosting the meetings, the companies were advised to jointly pull up resources required to hold the meetings.

    The minister further said the meetings would also involve lawyers, engineers, planners and other stakeholders, adding that the ministry would issue a communiqué at the end of each meeting on steps taken to address challenges in the sector.

     

  • Power generation peaks at 4,883.9Mw

    Power generation peaks at 4,883.9Mw

    Transmission Company Nigeria (TCN) yesterday said it has acheived a new record peak generation of 4883.9megawatts (Mw) and the highest maximum daily energy delivery of 106,288.48Mw.

    A statement signed by the Asst. General Manager (Public Affairs), Clement Ezeolisah, explained that the new feat was achieved at 21.15hours on November 23. The previous peak generation was 4810.7Mw attained on August 25. The previous highest maximum daily energy wheeled was 104,794.26Mw, attained on  September 23.

    The Managing Director, System Operation/Market Operation, TCN, Engr. Dipak Sarma  attributed the achievement to the improvement in the supply of gas to the power generating stations and enhanced cooperation among all the stakeholders.

    TCN assured that it will continue to strive at improving the network capacity to deliver more quality power to the electricity distribution companies.

  • Power supply dips to 3,682.32Mw

    Power supply dips to 3,682.32Mw

    • Vandals hit Onitsha tower

    Power supplied to electricity distribution companies (DisCos) from the Transmission Company of Nigeria (TCN) last Sunday dipped to 3,682 megawatts (Mw) .

    It shed 372Mw from the 4,054.07Mw of November 11,  according to Power Statistic that the Federal Ministry of Power posted on its website yesterday.

    During the period under review, the electricity generation companies (GenCos) generated 3,754.96Mw but the TCN recorded 72.64Mw spinning reserve. The statistics also showed that power generation in the period under review dropped by 383.4Mw from the 4,138.36Mw generated on November 11.

    The electricity market however recorded a peak  energy generation of 4,810.7 Mw while the peak energy generation was 4,498.3Mw on November 11.

    TCN has however said Tower no 62, along the Okpai-Onitsha 330kV double circuit transmission line, evacuating power from the Okpai Power Station in Delta State, has been vandalised.

    The incident which took place at Asaba Uchi, Ndokwa East Local Government, has resulted in the reduction of available power to the national grid by about 480Mw.

    “At about 4:51 am on Tuesday, 10th November, 2015, the Okpai – Onitsha 330kV transmission line tripped and the cause of the tripping was traced to tower No 62, which had been vandalised. Two of the four legs of the transmission tower were cut by vandals, causing the tower to hang precariously. This poses a major threat to transmission grid integrity as a total collapse of this tower could bring down several other towers along the transmission line route,” the statement explained.

    It added that TCN management and its quick response engineering crew inspected the site of the incident, located in the swampy forest of Asaba Uchi, same day, and have already mobilised a reputable engineering contracting firm to anchor the transmission tower temporarily, to avoid total collapse. Anchoring the vandalised tower will enable TCN energise one of the circuits on the tower, to enable it recommence partial power evacuation from the Okapi Power Station to the national grid. This is expected to be achieved within a fortnight, the statement added.

    It further noted that TCN will construct a new tower to replace the vandalised tower but due to the swampy nature of the site, construction could only commence in the dry season when vehicular access is possible.