News
Generation: Unutilised Power Rises 291% In Eight Years
Average Nigeria’s unutilised power generation has increased year-on-year (YoY), to 3,008.18megawatts (MW) in 2021, from 1,030.80mw in 2013, indicating an increase of 291 per cent in the past eight years, due mainly to lack of infrastructure.
This showed that adequate investment has not been made over the years to transmit and distribute electricity to consumers, including households and companies after eight years of privatisation.
The latest data obtained from Electricity Generation Companies (GenCos), showed that unutilised power, which stood at 2,734.94mw in 2014, had dropped to 2,010.24mw in 2015, before rising consistently to 22,827.98mw and 3,311.92mw in 2016 and 2017, respectively.
It also rose to 3,698.51mw in 2018, dropping slightly to 3,599mw in 2019, before hovering at 3,742.43mw and 2,117.86mw in 2020 and 2021, respectively.
This has denied the nation of substantial power which could have been utilised to boost economic and other activities sector-wide.
It has also constrained GenCos from generating revenue from their unutilised power over the years, especially as data noted that although available generation capacity exceeded 5,000mw, it has not resulted in 100 per cent invoice settlement.
According to the report, “power remains a national problem, as over 40per cent of the GenCos available capacity is not being enjoyed by consumers due to constraints. However, due to system constraints, the generated power is rejected or forced to be reduced to match the infrastructure that transmits and distributes this power to the customer.
“Records show that monthly ‘unutilized capacity’ was averaging about 50per cent up until 2020 before it fell to about 30per cent in 2020 when GenCos available capacities was forced to drop because of systemic challenges.”
It noted that the “stranded capacity has consistently grown since 2013 till date, thereby making GenCos increased capacity not translating to a corresponding increase in power supply to consumers.
“It is international industry best practice in critically underserved countries, that available generation capability should be equal to average generation (energy utilised).
“In Nigeria, available generation has met increased stranded capacity as the generation PPA with NBET provides for capacity payment which is not being made.
“Citing World Bank 2021, as a result of these power challenges, about 85million people, representing 43per cent of Nigeria’s population are reportedly without access to grid electricity, making Nigeria the country with the largest energy access deficit in the world.
“This has become a big challenge and an inhibitor to the Nigeria Electricity Supply Industry (NESI), weakening the efforts of the generation companies in recovering unavailable capacities and exploring expansion of capacity, considering the massive fixed charges incurred to keep such units available.”
Commenting on the development, Group Managing Director, Sahara Power Group, and Chairman, Ikeja Electric Plc, Mr Kola Adesina, said: “The challenges currently hampering the power sector is the absence of a commercially viable plan.
“Those of us that have invested haven’t made money. So, why would anyone want to invest? If you want to invest, you want to first talk to the existing investors and find out whether or not they are making money.
“We are not making money. But if we arrest the issues affecting investment, there would be an improvement because money loves to go to where money is.
“So, if the sector is investment-friendly, the price of the commodity is right, policies are clear and consistent, regulations are fair and known to all, then, so much money will be available.
“Previously, until we created the Service-Based Tariff, it was taken by the system and adopted as a way of life. Where is the Service-Based Tariff when people are enjoying 20-22 hours of power? In Nigeria, that would be alien. But today, it is happening. We now have to sequence the number of hours people enjoy electricity and make them pay accordingly. So, things are getting better than they were in 2013.
“But are they as good as they should be? No. So, we are not where we wanted to be, but we are better than we were before.
“We were doing 2,200mw and 2,500mw at the time we took over. Now, we have gone to over 5,000mw. But is that the way we should have grown? No, that is slow.”
Furthermore, in an interview with Vanguard, President, Nigeria Consumer Protection Network, Kunle Kola Olubiyo called for massive investment in the transmission and distribution in order to transmit and distribute more electricity to consumers.
He said that several activities are currently scuttled in the private and public sectors because of low and unstable power supply, adding that many locally produced products and services are not competitive in the global market, due mainly to the high cost of production.
News
RSG Cancels ?134BN Secretariat Contract, Orders Refund Of ?20BN Mobilisation … Revalidates Four Projects
The Rivers State Executive Council has revoked the ?134bn contract awarded to the China Civil Engineering Construction Corporation (CCECC) for the renovation, retrofitting, and furnishing of the Rivers State Secretariat Complex by the State of Emergency Administration.
The council directed the immediate refund of the ?20bn mobilization fee already paid to the contractor.
Relatedly, the Council also approved the revalidation of the bidding processes for four contracts, consisting of the renovation of the State Secretariat Complex, construction of reinforced concrete shoreline protection and reclamation works in several riverine communities of Opobo/Nkoro, and Ogba/Egbema/Ndoni Local Government Areas. The projects earlier advertised for which bid documents were cancelled by the Emergency Administration and fees returned to the companies that had earlier purchased them.
The decisions were reached during the State Executive Council meeting held on Thursday at the Government House, Port Harcourt, and presided over by Governor Siminalayi Fubara.
Briefing newsmen, the Permanent Secretary, Ministry of Works, Dr. Austin Ezekiel-Hart explained that the contracts had been awarded in a hasty manner without following due process. He said the council, therefore, approved the revalidation of the bidding process for all four contracts that were earlier advertised in national dailies on February 19, 2025.
With the revalidation process now on, Dr. Ezekiel-Hart stated that a fresh bidding will be advertised in newspapers for competent and experienced contractors to prequalify and submit both technical and commercial bids.
He listed the projects to include, “The construction of 4.8km reinforced concrete shoreline protection and reclamation of Queenstown, Epellema, Oloma, and Minima communities in Opobo/Nkoro Local Government Area in Rivers State. The construction of 2.5km shoreline protection and reclamation in Ndoni-Onukwu, Isikwu, and Aziazagi communities in Ogba-Egbema-Ndoni Local Government Area.
“The construction of 2.5km shoreline protection and reclamation in Utuechi, Obiofu, Isala, Ani-Eze, and Odugri communities in Ogba-Egbema-Ndoni Local Government Area. The renovation, retrofitting and furnishing of the Rivers State Secretariat Complex,” he added.
Also speaking, the Permanent Secretary, Ministry of Education, Dr. Azibaolanari Uzoma-Nwogu, announced that the council approved the constitution of a committee to develop a proposal for the creation of Computer-Based Test (CBT) Centres and ICT Laboratories across the three senatorial districts of the state.
She explained that the initiative is in line with the Federal Government’s directive that beginning in 2026, all examinations conducted by the West African Examinations Council (WAEC) and the National Examinations Council (NECO) will be computer-based.
The committee, chaired by the Deputy Governor, has the Secretary to the State Government, Permanent Secretaries from the Ministries of Education, Works, Information and Communications and Commissioner for Energy as members. Dr. Uzoma-Nwogu said the move will prepare Rivers youths for a digital future and improve the quality of education across the state.
On issues of employment, the Commissioner for Employment Generation and Economic Empowerment, Dr. Chisom Gbali, said the council reviewed ongoing efforts to create jobs for Rivers youths. He disclosed that his ministry has been directed to develop a framework for job creation and economic empowerment, noting that the government is determined to open up more opportunities for the young population.
“We want to assure Rivers youths that there will be a rising tide of employment and steady waves of economic empowerment,” Dr. Gbali said. “We know our Governor, when he makes a promise, he ensures it is fulfilled.”
On his part, the Permanent Secretary, Ministry of Information and Communications, Dr. Honour Sirawoo, said council also deliberated extensively on the recent flash floods experienced in some parts of the state. He said the council directed immediate remedial intervention to address the situation, and cautioned residents against the indiscriminate disposal of waste into drainage channels and building on waterways, which worsens flooding.
Dr. Sirawoo further noted that Governor Fubara remains deeply committed to the development of Rivers State and determined to accelerate the pace of governance despite time lost. He added that the administration’s renewed focus and energy will soon place Rivers State firmly back on the path of sustainable growth and progress.
Rivers State Governor, Sir Siminalayi Fubara, has reaffirmed his administration’s commitment to the completion of the 62.650km Port Harcourt Ring Road project, despite the setbacks that have slowed its progress.
The Governor gave the assurance during an on-site inspection tour of the project on Monday, where he emphasised that the state government remains resolute in its determination to deliver the massive infrastructure for public use.
Addressing journalists at the Eneka Flyover axis of the project, Governor Fubara stated that his visit was to verify the level of compliance and commitment shown by the construction firm, Julius Berger Nigeria Plc.
Governor Fubara noted that discussions with the contractor had been ongoing to ensure that work resumes at full capacity after a period of financial challenges that affected the project’s continuity.
“You are aware that this project was, I won’t say abandoned, but somehow, for lack of funds, the contractor withdrew from the site. We have been discussing with them, and they gave me their word that although we have not finished all the discussions, they have already moved back to site, and I’m here to confirm that.”
The Governor described the Port Harcourt Ring Road project, which traverses six local government areas, as one of the most significant infrastructure undertakings in the state’s history, noting that its completion would not only ease traffic congestion in the capital city but also stimulate economic activities across multiple local government areas.
Governor Fubara reiterated his administration’s resolve to continue prioritising infrastructure development as a foundation for economic growth and social progress.
“I want to make this promise to our good people of Rivers State,” the Governor declared. “This project that we started, by the special grace of God, we are going to complete it. We owe our people a responsibility to deliver on our commitments, and this project will not be an exception,” he added.
The Governor of Rivers State, Sir Siminalayi Fubara, has charged the 2025 Batch B, Stream II National Youth Service Corps (NYSC) members deployed to the State, to use the NYSC skill acquisition training programme to build capacity.
Governor Fubara gave the charge on Tuesday when he declared closed, the 2025 Batch B Stream II orientation exercise in the State.
Represented by the newly sworn-in Secretary to the State Government and Chairman NYSC State Governing Board, Hon. Benibo Anabraba, Governor Fubara enjoined the Corps members to embrace skill acquisition wholeheartedly in order to elevate themselves as wealth creators and employers of labour.
“Take Rivers State as your home. Be assured of the warmth, hospitality, and accommodating disposition of the good of our people at all times.
“Take the skill acquisition and entrepreneurship development post camp training very seriously and equip yourselves with the capacity to compete favourably in the nation’s huge economic space,” he stressed.
The Governor called on the Corps members to see their mobilization into the NYSC Scheme as a fundamental way to provide humanitarian services.
“Remember that you owe it to yourself, family, and the nation, the responsibility to serve selflessly and honourably,” he admonished.
In his farewell address, the State Coordinator of NYSC, Mr. Moses Oleghe appealed to the Corps members to use the opportunity of the service year to discover their true purpose.
He further encouraged them to embody selfless service and empathy in serving the people.
The colourful ceremony witnessed a vibrant parade.
