FEDERAL MINISTRY OF POWER, WORKS & HOUSING

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NO BUDGETARY PROVISION FOR 3,050MW MAMBILA PROJECT – FASHOLA

23 January, 2019

There is no budgetary provision for the construction of the 3,050 megawatts Mambila hydropower project, the Federal Government declared on Sunday in Abuja., just as it said the claims that the loan negotiations for the project had stalled since 2017 because of an attempt to utilize $600m (N219bn) from the project for an alleged pet project not hitherto considered by the Federal Executive Council were false and misleading.

The Minister of Power, Works and Housing, Babatunde Raji Fashola SAN, condemned reports suggesting that the project had been stalled, adding that the China Exim Bank would only disburse money for specific projects such as the Mambila power project after the conclusion of negotiations.

The Minister said: “Nothing is further from the truth than the claim that the loan negotiations have stalled since 2017 because of an attempt to utilize $600m (equivalent of N219bn) from the 3,050MW hydropower project for a ‘pet project’ not hitherto considered by the Federal Executive Council. There is currently no budgetary provision or cash provision of $600m or the N219bn in any budget of the Federal Government for the Mambila project”. “Therefore you cannot attempt to divert what does not exist”.

Fashola added, “For the avoidance of doubt, the China Exim Bank disburse money to specific projects and on conclusion of negotiations, the loan will be devoted to the construction of the Mambila Power Project, which has been on the drawing board for close to 40 years before the advent of the Buhari’s Administration, which is now working assiduously to get the project off the ground.” He said the allegation with regard to stalling the Mambilla project was untrue and baseless.

According to him, events and relevant facts would show that he first presented a memo on the Mambilla Power Project to the Federal Executive Council in August 2017. This, he said, was the first ever Federal Executive Council approval given to the Mambilla hydro power project in favor of a Chinese Joint venture. After which, he also accompanied the President twice to China on trips that had the project as one of the headline agenda.

The Minister further stated that in June 2018, he attended alongside officials of the Federal Ministry of Finance, a meeting of the China Exim Bank to negotiate the terms of the loan for the project further.

He said that just last week, after the Federal Executive Council Meeting, he briefed Nigerians about the approval of contracts for surveyors to demarcate the areas for the project. According to him, these were the first contracts to start preparatory work on the project after 40 years’ delay.

No amount of negative effort to distract, intimidate or threaten the Minister in the performance of his duties in line with the pledge of the present Government to the Nigerian people on the provision of adequate infrastructure in all relevant sectors of the economy will succeed

NERC RECORDS 41% RISE IN POWER INVESTORS’ PAYMENTS FOR OPERATIONAL PERMITS

23 January, 2019
Nigerian Electricity  Regulatory Commission

The Nigerian Electricity Regulatory Commission (NERC) has said it received more money in 2017 than it did in 2016 from power sector investors who sought for regulatory permits  or renew the licenses they held in Nigeria’s power market.

According to NERC, it received in 2017, N538.219 million from investors as payments for new permits and renewal of permits, as against N382.708 million it got in 2016. This represented an increase of N155.511 million or 40.6 per cent.

These figures were contained in latest audited financial statement of the Commission for the year 2017, signed by three Commissioners of the NERC Sanusi Garba, who is the Vice Chairman of NERC, Dafe Akpeneye, Commissioner for Legal, Licensing and Enforcement, and Nathan Shatti, Commissioner for Finance and Management Services, posted its webpage.

NERC equally noted that it recorded an increase in the amount of money accruable to it from the total revenue of the country’s electricity market, from N8.078 billion in 2016, to N8.661 billion in 2017.

According to it, it is statutorily entitled to 1.5 per cent of tariff charges per kilowatt hour (kWh) from power generation companies (GenCos) and another 1.5 per cent of licensee’s charges per kWh net of the cost of generation and transmission of electricity.

Another revenue source which the NERC accounted for in its annual financial statement was a N45.750 million grant it got from the MacArthur Foundation, in support of its efforts to improve accountability and public knowledge of the power sector

REA SIGNS PACTS FOR N1.9B GRANTS FOR MINI-GRID, SOLAR PROJECTS

23 January, 2019
Managing Director/CEO Rural  Electrification Agency, Damilola Ogunbiyi (R) with one of the beneficiaries at the signing ceremony

The Rural Electrification Fund (REF), which is implemented by the Rural Electrification Agency (REA) on Thursday signed agreements for disbursement of N1.9billion grant for the execution of mini-grid and solar home system.

The project is aimed at accelerating economic and human capacity development in rural communities by the rapid deployment of adequate electricity supply to the development of all the sectors of the economy, through private sector developers.

Signing the agreement in Abuja, Managing Director of the Agency, Damilola Ogunbiyi, recalled that previous Administrations had tried to secure the grant for several years in vain but it was actualized in 20 months under the present Administration of President Muhammadu Buhari.

On how much grant was given to each beneficiary, she explained that it depends on each project as the fund viewed them separately before providing 25% to 75% of the total project sum.

A fact sheet on the project, however, noted that the grant is going to impact on 19,130 of total solar home system, at a cost of N995, 667, 434, and is to be implemented by 14 indigenous suppliers. It is however expected to deploy 12 mini-grid for N956, 916,000 by 12 indigenous mini-grid developers, and the project deployment time is within the one year of 2019.

The grant, REA noted, will create over 400 jobs, empower over 43,000 household and businesses that will receive safe and reliable electricity in the rural areas. It is expected to reduce carbon emissions. Greenhouse carbon emission is to be reduced annually by over 5,000 metric tons.

One of the beneficiaries, Chief Executive Officer, Nayo Technology Ltd, Okenwa Anayo, who got a grant of N96.3million which is 50% of the project cost, said: “This will give us the needed soft landing in financing our projects. It gives us opportunity to go further to rural areas to invest rural mini-grid. This is the best way to fast-track energy for rural people in Nigeria using distributed power.”

KADUNA ELECTRIC TOPS 2018 SAFETY RANKING

23 January, 2019
Kaduna Electricity Distribution Company

Kaduna Electricity Distribution Plc. has emerged first among the 11 Distribution Companies and Transmission Company of Nigeria in safety for the year 2018 according to the monthly safety report by the National Electricity Management Service Agency (NEMSA) which indicated that based on all the indices for measuring safety, death and Injuries, the Company was not found wanting.

Kaduna Electric came tops 8 times in the months of January, February, June, July, August, September, October and November 2018. The report for December is expected later this month, Kaduna Electric is already poised to come first.

A statement by the Company’s Head, Corporate Communication, Abdulazeez Abdullahi, said that Kaduna Electric’s winning of the coveted position is a clear testimony to the fact that the Company takes safety seriously, adding that the Company is strategic in its approach to safety which made the it achieve this feat.

According to him, the Company is not relenting but is even more resolute in doing more in 2019 which he said informed the theme for this year tagged: “Zero Accidents”.

Speaking on what he believed is responsible for the accomplishment, Abdullahi said it draws from a concept known as Behavioral Based Safety approach which is aimed at raising consciousness, eliminating any situation capable of posing a threat for unsafe acts/situations to be corrected.

SIGNIFICANT IMPROVEMENT IN FREQUENCY FLUCTUATION

23 January, 2019

Transmission Company of Nigeria (TCN) said the National Grid has achieved frequency control of between 49.80Hz and 50.20Hz for 64.47% of the time and frequency control between 49.75Hz and 50.25Hz for 85.55% between December 27, 2018 and January 12, 2019. The frequency control, the Company said, is the best ever achieved in the history of the country and is also the best in West Africa as at today. Saying: “the frequency control achieved from January 8-12, 2019, is the best so far by any power utility in West Africa”.

The Company made this known at the two - day Workshop on frequency control organized by the West African Power Pool in Nigeria in December, 2018.

According to the Company, the Nigerian Grid Code Frequency Standard is 49.75Hz and 50.25Hz while the West African Power Pool (WAPP) Frequency standard is 49.80Hz and 50.20Hz. Currently West African Power Pool operates three islands due to poor frequency control.

To ensure the entire region is synchronized into one, the Executive Board of WAPP obtained grant from the World Bank to support the effort.  The Workshop which took place in Nigeria recently, is one of the series of such Workshops supported by the World Bank. The World Bank grant will also procure some specialized equipment to be installed in various international interface points.

According to the General Manager (Public Affairs) Ndidi Mbah, a small taskforce was formed after the Workshop to drive the achievement of the synchronization effort. The team which comprises three engineers, all Nigerians are pioneering the effort with the support of Generation Companies. Nigeria has comparative advantage in power generation in West Africa. However, the advantage cannot be optimized fully until power from the entire sub-region power is synchronized into one and necessary infrastructure constructed.

In a related development, the Meeting of the Heads of States and Government of ECOWAS has approved the WAPP 2018 Transmission and Generation Master Plan. The WAPP 2018 Master Plan is expected to provide 330kV line from Nigeria to Senegal and will enable Grid connection between WAPP and Central Africa Power Pool on the one hand and North Africa Power Pool on the other hand

The WAPP 2018 Master Plan includes, the Eastern Transmission Backbone which will put in place 330kV Double Circuit transmission lines and substations from Calabar-Ikom-Ogoja-Kashimbilla-Jalingo-Yola-Hong-Biu-Damaturu-Potiskum-Azare-Dutse and terminate in Jogana (Kano). As part of WAPP priority, the Eastern backbone will attract more concessionary funding from multinational resources of donor agencies. The Median Transmission Backbone which comprise 330kV DC line from Shiroro-Zungeru-Kainji-Parakuo to Northern Ghana and finally end in Cote D’ ivoire is also part of the approved master plan.

The frequency control collectively achieved with the active support of generation companies need to be sustained as it will assist significantly in further stabilizing the Grid to meet the need of electricity customers in Nigeria. As the frequency becomes more stable, more electricity customers who are hitherto outside will seek to be connected

PSRP CONTINUES...

23 January, 2019
Power Sector Recovery Programme

This week on this segment, we would focus on the ninth “Action Steps towards PSRP Intervention Implementation”.  Which is ‘Adequate gas supply for power generation”: this is aimed at maintaining gas supply for power generation to support 4,500 MW of thermal generation capacity is critical to ensuring stability and sustainability of electricity delivery.

The Action steps towards implementation include:

* Strategic level engagement led by His Excellency, the Vice President with Minister of State for Petroleum and 9 state governors to identify critical development priorities for each state in the region.
* Operational engagement by representatives of various MDAs, including the Office of the Vice President to convert the region’s development priorities into specific projects.
* Ownership stakes by host communities in oil and gas assets to create incentives to safeguard these assets.
* Engaging host communities to secure assets in their townships.
* Completion of critical projects in the affected Niger Delta communities
* Full disbursements of NEMSF to ensure historical debts are paid to gas suppliers.
* Ministry of Petroleum Resources to develop clear plan on gas vandalism prevention strategy.
* Project manage the delivery of key gas pipeline infrastructure (including the Ob- Ob pipeline) to ensure that gas is readily available where it is needed

FG ON COURSE IN ACHIEVING RENEWABLE ENERGY POLICY TARGET  – SHEHURI

14 January, 2019
Minister of State Power, Works and Housing, Mustapha Baba Shehuri and  the  State Secretary of German Federal Foreign Office, Walter Lindner during the 6th Session of the Working Group on Power and Energy of Nigerian - German Bi - National Commission in Abuja yesterday

In order to address the challenges at the distribution level to be able to take all loads sent out to the national grid, which presently stand at about 5,000MW, the Federal Government through its distribution expansion network programme is committed to ensuring that both transmission and distribution network capacities progress simultaneously, just as it is on course in achieving “our renewable energy policy targets of additional generations to the grid”.

This was made known by the Minister of State, Power, Works & Housing, Mustapha Baba Shehuri, at the 6th Session of the Working Group on Power and Energy of Nigerian-German Bi-National Commission, hosted by the Ministry in Abuja, yesterday.

According to the Minister “the Nigerian Government is improving the Nigerian Power Sector in terms of generation capacities, grid expansion at both the transmission and distribution levels”, as he recalled that President Buhari’s Administration had inherited a generation capacity of about 4,000MW which has now gone well beyond 7,500MW, with a Transmission capacity of 8,000MW.

Noting that power is a critical element in the development of any nation, Shehuri said if the challenges of the sector were successfully solved, other socio-economic issues would be solved and the high rate of unemployment among the youth would be drastically reduced.

The Minister further stated that the Federal Government is committed to cooperating with Germany on the power sector, as this Administration is passionate about strengthening infrastructural deficits in the country, saying that embedded mini-grid solutions are one of the prospective areas Government is looking forward to working with Germany on.  He advocated on the need to diversify the energy sources from fossil fuel to other energy mix such as hydro, solar, biomass, coal and wind, calling for mini-grid solutions that would be built, within months.

On his part, the State Secretary of the Federal Foreign Office of Germany, Walter Lindner, who was also the Head of the Delegation, said “if energy is not working well, you have stability problems in the country.  The essence of the bilateral cooperation is what we can do to have 100% energy.  Your country is a very rich country but you have to use your resources wisely.  And that is why we are here, to help you”.

Speaking further, he commended Nigeria’s recent programmes in the power sector such as the Power Sector Recovery Plan (PSRP), the Agenda 30-30-30 and the Action Plan for Renewable Energy and Energy Efficiency.

The Working Group had essentially, the followings as its objectives: Promote energy security, Intensify bilateral cooperation in the energy/power sector in the interest of our governments and companies that engage in power activities, as well as promote the realization of energy efficiency and renewable energies in order to boost our economies and guarantee sustainable environment

NDPHC COMPLETES 8 NIPP POWER PLANTS WORTH BILLIONS OF NAIRA

14 January, 2019
A Power Generation Plant 

The Niger-Delta Power Holding Company (NDPHC), has completed work on eight power plants, worth billions of Naira, in order to increase electricity generation in Nigeria.

The plants, which were constructed under the Federal Government’s National Independent Power Project (NIPP), included the 750MW Olorunsogo 11, 450MW Sapele, 434MW Geregu 11, 450MW Omotosho 11, 450MW Ihovbor, 450MW Alaoji, 563MW Calabar and 225MW Gbarain.

In its review of operations in 2018, the company stated that: “The NDPHC has completed 2,194KM of 330KV transmission lines and 809KM of 132KV transmission lines; an increase of 46 per cent and 13 per cent respectively over the pre-NIPP status of grid infrastructure. It has further constructed a total of 2,600KM of 11KV and 1,700KM of 33KV distribution lines for improving access to electricity”.

Consequently, the company stated: “Nigeria’s power generation capacity has risen. But Nigeria’s power distribution system has been enhanced with hundreds of injection sub-stations, 11KV lines and 33KV lines added. Work is also in progress in many more transmission and distribution projects”. 

Although a 100 per cent supply is yet to be attained, things have been stabilized while work on incremental power supply is still ongoing, with the rehabilitation of 39 km Ore to Okitipupa 33 KV Line through Ode-Aye, improvement of electricity supply to communities in Ilaje Local Government of Ondo State, improvement of electricity supply to Okitipupa and Ondo State University of Science and Technology, construction of dedicated 52kM 33KV line from Funtua TS to Malumfashi 1 x 7.5 MVA, 33 /11KV Injection Substation and Upgrade of Power Supply to Daura Town, Upgrade of 1 X 7.5 MVA, 33/11 KV Injection Substation at Ile-Ife to 2 X 7.5 MVA, as some of its ongoing projects.

BEDC RECONNECTS 42 COMMUNITIES

14 January, 2019
Benin Electricity Distribution Company

Management of Benin Electricity Distribution Plc. (BEDC), yesterday, said it has successfully reconnected 42 communities within its franchise states of Delta, Edo, Ondo and Ekiti States which were without power supply from the national grid, as at end of November 2018.

The distribution company made this known in a statement signed by the Corporate Affairs Manager, Tayo Adekunle. The company further stated that it would continue to partner with communities suffering loss of electricity supply to address their challenges, provided they follow the necessary steps for engagement.

Adekunle said: “All the reconnected communities had a customer population of about 20,000 with the highest coming from Ubulu-Uku in Asaba, Delta State which had a customer population of 4,907, followed by Ibusa Phase 2 in Koka business unit, with a population of 4,704, while Issele-Uku also in Delta, came third with a customer figure of 3, 248. Famoyegun community in Owo, Ondo State had the least customer population of nine customers connected to a transformer

OSUN IS HEART OF POWER TRANSMISSION IN NIGERIA - TCN

14 January, 2019
MD/CEO Transmission Company of Nigeria, Usman Mohammed Gur

The Transmission Company of Nigeria (TCN) has described Osun State as the heart of power transmission in the country because of the weight of power facility domiciled in the state.

TCN Managing Director, Usman Muhammed Gur, stated this during a visit to Governor Gboyega Oyetola at the weekend. He said: “Osun is significant to us as a Company, as Osogbo, the State capital, remains the heart of TCN in this country. “We are here to visit the Governor to strengthen our partnership so as to ensure improvement in our service delivery to the country.

“Right now, Osun has six transmission lines. Another two are virtually ready for installation to make it eight. Osun also has five sub-stations that make the State to be outstanding. These are milestones because many States do not even have one transmission line. Efforts have been improved upon to meet the national electricity requirement by making NCC a real National Control Centre. So, we are ready to work with Osun State Government to expand its electricity capacity for the development of the state”.

On his part, Governor Oyetola described Osun State as an investment destination because of the relatively stable electricity supply. He said Osogbo, the State capital especially, enjoys an average of 16 hours electricity supply daily, making it attractive to investors.

“An investor, who can have not less than 16 hours of electricity supply has the problem of energy supply solved”. He commended the TCN’s Management for their high sense of diligence and commitment to duty, saying TCN deserved to be commended for the relative stability of power supply in the country.

“We appreciate the importance of the TCN to socio-economic development of our State and general well-being of the citizenry. What we enjoy is the relative stability of power supply and this will continue to help us to market our investment drive. “If there is a reasonable supply of electricity, then the State can guarantee huge investment, thus stimulating her economy for the betterment of all. Our administration will support TCN to be more effective, efficient and proficient as this will help to galvanize our resolves to move the state forward”, Oyetola said.

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Photo News
20 May, 2018

FASHOLA INSPECTS ONGOING CONSTRUCTION WORK ON NNAMDI AZIKIWE MAUSOLEUM LIBRARY COMPLEX IN ONITSHA ANAMBRA STATE ON DAY THREE OF TOUR OF THE SOUTH EAST ZONE

HonMinister of Power Works Housing Mr Babatunde Fashola SANleft and Governor of Anambra StateMr Willie Obianoright speaking with journalists shortly after a courtesy visit to the Government Houseduring the Hon Ministersinspection tour of the ongoing construction work ontheMausoleum Library Complexin Honour of Late Rt Hon Dr Nnamdi Azikiwe in Onitsha Anambra State and the 2nd Niger Bridge on Day Three of the HonMinisters inspection tour of Federal Government Infrastructure Projects in the South East Zone of the country on Thursday 19th May 2018

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Photo News
11 December, 2018

FASHOLA INSPECTS THE ONGOING REHABILITATION OF OUTSTANDING SECTIONS OF ONITSHA ENUGU EXPRESSWAY ENUGU AMANSEA STATE BORDER IN ENUGU STATE AND UMUNYA AMAWBIA SECTION IN ANAMBRA STATE

Work in Progress Hon Minister of Power Works Housing Mr Babatunde Fashola SAN right speaking to media men shortly after inspecting the ongoing Rehabilitation of Outstanding Sections of Onitsha Enugu Expressway Enugu Amansea Enugu State border in Enugu State and Umunya Amawbia Section in Anambra State on Monday 10th December 2018

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