Poor Power Supply: FG Targets 8,000 MW By Dec

The Chairman of the Presidential Taskforce on Power, Chief Reynolds Dagogo-Jack, has said that some 60 per cent of Nigerians in urban centres have no access to power supply while 75 per cent of Nigerians in rural areas also have no access to electricity supply.
Dagogo-Jack, who said in Abuja at the 43rd Annual Accountants Conference, added that the current supply penetration was less than 40 per cent and below 25 per cent for urban and rural areas, respectively.
“This is against the background that gross rural population far outstrips urban population by not less than 2.5 times,” Dagogo-Jack said.
He said that current installed and available generation capacity was under 10,000MW, including the National Integrated Power Projects (NIPPs)
Dagogo-Jack said NIPPs were currently operating at pre-reform level of under 50 per cent efficiency.
He said that Nigeria had diverse energy mix, including alternative fuel sources, such as natural gas, coal, small and large hydro, solar and wind.
Dagogo-Jack said this was the best mix for any long-term investor seeking to make the best out of fuel sources.
He said successfully managing the nation’s energy sector would have huge multiplier effects on the economy.
According to him, Nigeria has the best potential in Africa for translating electricity expansion into diversified economic base for sustained GDP growth.
He also said that President Goodluck Jonathan set up the task force to ensure proper implementation of the reform in the power sector.
According to him, the Federal Government is rigorously pursing the reform agenda to make sure infrastructure in the power sector is taken to the next level.
Dagogo-Jack said that about 8,000 megawatts of electricity would be generated before the end of the year for injection into the National Grid.
The chairman also said that the Federal Government expected to reduce unemployment at the successful completion of the Power Reform Agenda.
He said a functional power sector was strategic in meeting the challenges of the country’s increasing population.
He said international investors were also expected to take advantage of the nation’s huge market potential and invest in the power sector.
Dagogo-Jack said the presence of the foreign investors was expected to result in reduction in the country’s electricity deficit.
Meanwhile, the Chairman, Presidential Task Force on Power, Chief Reynolds Dagogo- Jack, has attributed the delay in payment of severance benefits to PHCN workers to due process.
Dagogo-Jack stated this in an interview with newsmen in Abuja.
According to him, the 40,000 staff of PHCN will be paid their severance benefits as their bio-metric data have been captured to ensure accuracy.
He explained that because of the large number of people involved there was a tendency for delay in payment, noting that the government had started paying the benefits.
Dagogo-Jack gave the assurance that all the affected workers would be paid their benefits as funds had been made available for the purpose.
He also said that an environment conducive to training would be created at the National Power Training Institute of Nigeria.
He noted that the government recently gave successful bidders for the PHCN their certificates to ensure improvement in the power sector.
Meanwhile, the Minister of Power, Prof. Chinedu Nebo, yesterday, said that the nation’s power reform model was good example for other African countries to emulate.
Nebo made the remarks at a two-day workshop organised by the Nigerian Electricity Regulatory Commission (NERC) to sensitise the PHCN successor companies and other stakeholders on the draft interim rules and other regulatory issues.
Nebo said that a healthy and financially sustainable electricity sector was the life support system needed for the economic growth of any nation.
He noted that economic activities such as investment, job creation and increase in income across the socioeconomic levels would thrive only when there was adequate and stable electricity.
He added that “consumers and producers are the ones who suffer when the power industry is unable to meet the power demand because of factors like inefficiency, high losses and poor performance.
“Government is more concerned about the effects of the sector on consumers and how the sector can help them to create jobs, improve their children’s education and grow the economy.’’
Nebo said there was a clear link between Gross Domestic Product and electricity consumption, adding that the participation of stakeholders in the industry would greatly transform the sector.
The minister noted that two decades ago, the expansion of the nation’s grid capacity was stalled due to factors such as high diesel cost and petrol, which were used for power generation.
He, however, expressed confidence that stakeholders would bring the desired result needed to improve the sector.
Nebo gave the assurance that the challenges in the industry would soon be a thing of the past.
Earlier, the Chairman of NERC, Dr Sam Amadi, had said that the workshop was to brainstorm on draft interim rules for the new management of the electricity industry.
Mr Roberk Yates, who spoke on behalf of the Distribution Companies (DISCOs), said that the framework was good in principle, but that investors would need financial assistance to surmount the financial challenges.

Speaker, Rivers State House of Assembly, Rt Hon Otelemaba Dan Amachree (left), with Mrs Sotonye Harry, wife of former Speaker of the House, Late Rt Hon Tonye Harry, during a condolence visit by members of the House in Port Harcourt, last Wednesday