Tunde Bakare
Inadequate resource deployment to provide adequate infrastructure base has significantly increased the capacity challenges across the country’s power sector chain.
Sunday Oduntan, Managing Director and Chief Executive Officer of the Association of Nigerian Electricity Distributors (ANED), while profiling the industry’s challenges attributed the persistent system collapses to inadequate maintenance, insufficient investment, and the failure of successive governments to implement necessary reforms over the years.
Oduntan, who spoke on ARISE NEWS on Wednesday, said “The incessant collapse is because of lack of proper maintenance, lack of investment, and the failure by successive governments to do the right thing over the years”
He highlighted a critical period between 1989 and 1999 when Nigeria’s population surged yet no new power plants were constructed, stating that “in any normal country, you build your power sector infrastructure in accordance with the growing population,” emphasising the neglect that has plagued Nigeria’s power sector.
Looking ahead to a public hearing scheduled for Thursday due to the repeated cases of national power grid collapse, Oduntan elaborated on potential solutions to the grid’s ongoing challenges.
He highlighted the need for a more resilient transmission network, stating, “The Nigerian transmission grid is radial in nature. It goes straight without any loop.” This design defect, according to him, prevents the diversion of power from faulty stations, which leads to extensive outages.
The ANED CEO also advocated for increasing the grid’s capacity to at least 30,000MW to meet the needs of Nigeria’s growing population, stating, “If we’re 220 million people in this country, and we’re only transmitting and distributing barely 5000MW… even 6000MW is far too low for a population of 30 million people.”
He said that if you have that minimum, it is equally important to maintain a spinning reserve that can be rapidly activated to address sudden spikes in electricity demand or to offset unexpected outages from other generating units.
“But when you don’t even have enough, how can you have extra or a reserve, that’s another problem,” he added.
On a regional level, Chijioke Okonkwo, Chairman of the Enugu State Electricity Regulatory Commission (EERC), in the same interview, expressed that new Enugu electricity legislation could herald a brighter future.
On Tuesday, the Enugu State Electricity Regulatory Commission assumed complete regulatory authority over the state’s electricity market, taking over from the Nigerian Electricity Regulatory Commission.
This important move towards empowering state-level governance in the electricity sector follows the enactment of the Enugu State Electricity Law 2023 and the formation of the EERC.
“With the passage of the Electricity Act and the enactment of the Enugu State Electricity Law, we have been set up to drive investments in the electricity sector for the generality of the citizens,” Okonkwo stated, describing the initiative as “unprecedented.” Okonkwo said
However, he suggested that while short-term costs might rise, market forces are expected to eventually lead to reductions in prices for consumers.
“I should say that prior to this improvement, the inadequate supply was actually costing the consumers much more than what they’re currently paying for electricity, and I’ll refer to it as the fact of self-generation,” Okonkwo stated.
He explained that the cost of generating one kilowatt-hour (kWh) using either petrol or diesel is nearly averaging around N500 per kWh. This figure is effectively double what consumers in Band A are currently paying. However, he added that this does not imply that Band A rates are not high.
In a pressing response to a series of electricity grid disturbances that have plunged Nigeria into darkness, Adebayo Adelabu, the Minister of Power, summoned leaders from the Nigerian Electricity Regulatory Commission (NERC) and the Transmission Company of Nigeria (TCN) for an emergency meeting.
The country has witnessed up to eight significant grid disturbances this year alone, prompting urgent calls for reform and investment in the power sector.