Business
Unmetered Electricity Consumers Hit 7.8m
The Nigerian Electricity Regulatory Commission (NERC) says the number of power consumers on estimated billing have risen to over 7.8 million.
It was gathered that the number of unmetered power users increased from about six million in 2021 to the latest figure as at last year.
The NERC also revealed that Nigeria earned an estimated N4.4bn from the export of electricity in three months. It disclosed this in its just-released 2022 report.
According to the commission, “The huge metering gap for end-use customers is still a key challenge in the industry. It is estimated that of the 12,542,581 registered energy customers as at March 2022, only 4,740,114 (37.79 per cent) have been metered.”
This implies that a total of 7,802,467 power users are without meters and receive estimated electricity bills.
The NERC added, “A total of 85,510 meters were installed in 2022/Q1 as compared to the 79,978 meters installed in 2021/Q4.
“At a macro level, quarterly meter installations have been reducing as a result of the winding down of the National Mass Metering Programme phase 0.
“By comparison, the net metering rate dropped from 45.40 per cent metering as at December 2021 to 37.79 per cent in March 2022.
“This can be explained by the constant updating of Discos (distribution companies) customer base information as a result of ongoing customer enumeration”.
The commission, however, said it had continued to engage relevant stakeholders to ensure month-on-month increments in metering rate.
The report stated that the NERC was also instituting safeguards against the over-billing of unmetered customers by setting maximum limits to the amount of energy that might be billed to an unmetered customer during a period.
A report on January 2, 2023, disclosed that the Federal government will deploy six million meters, which would be deployed nationwide in the first and second quarters of this year to reduce the number of unmetered electricity consumers in Nigeria.
The report stated that the government disclosed in a December 2022 document on the review of the performance of the power sector/Nigerian Electricity Supply Industry under the current administration.
“We are perfecting plans for an additional six million meters under the second and third phases of the (NMMP) programme that will commence in the first and second quarters of 2023 respectively,” the Minister of Power, Abubakar Aliyu, stated in the document.
Meanwhile, the NERC, in its latest quarterly report, stated that Nigeria earned a total of $9.98m (about N4.4bn at the exchange rate of N440/$) from the export of electricity during the three-month review period.
On remittance by special and international customers, the commission stated that in 2022/Q1, no remittance was made by Ajaokuta Steel Company for invoices of N391.65m and N69.45m issued to it by the Nigeria Bulk Electricity Trading Plc and power Market Operator respectively.
It, however, stated that “during the same period, bilateral customers: Paras-SBEE, Transcorp-SBEE, and Mainstream-NIGERLEC received invoices of $2.72m, $2.74m and $4.61m from MO and each remitted $2.72m (100 per cent), $2.74m (100 per cent), and $4.52m (98 per cent) respectively.”
It added, “Odukpani-CEET received an invoice of $3.42m from MO during the period but no payment was made by this customer. The non-settlement of market obligations by this category of market participants should push MO and NBET to activate relevant safeguards for remittance shortfalls.”
Business
Nigeria’s Gold, Other Solid Minerals Being Stolen – NEC
The National Economic Council has expanded the mandate of its Ad-hoc Committee on Crude Oil Theft Prevention and Control to cover illegal mining.
This is just as the council raised the alarm that the nation’s solid minerals, including gold, are being mined and stolen.
Imo State Governor, Hope Uzodimma, who chairs the committee, disclosed this while briefing State House correspondents after the 153rd NEC meeting chaired by Vice President Kashim Shettima at the Presidential Villa, Abuja, yesterday.
Uzodimma said the expanded mandate is part of the government’s efforts to curb resource theft and increase revenue from Nigeria’s solid minerals sector.
“The National Economic Council Ad-hoc Committee on Crude Oil Theft Prevention and Control, which I chair, presented an interim report today to the Council.
“NEC received our report with satisfaction and expanded our Terms of Reference to now also take interest in solid minerals, because our solid minerals are being mined and stolen and not adding to national revenue,” said Uzodma.
He noted that the expanded role would enable the committee to coordinate with the Ministry of Solid Minerals Development and other federal and subnational institutions to combat widespread illegal gold mining and other forms of mineral smuggling that have deprived the country of much-needed foreign exchange.
“Going forward, our committee, working with other government agencies, will look at how to ensure that the revenue of the country arising from solid minerals like gold and other forms of solid minerals are not allowed to be stolen,” the governor added.
NEC’s Ad-hoc Committee on Crude Oil Theft Prevention and Control was first established under former President Muhammadu Buhari in August 2022.
It was reconstituted under President Bola Tinubu in December 2023 with Uzodinma as chairman.
The committee was initially mandated to address the challenge of crude oil theft and pipeline vandalism.
Its creation followed rising oil theft that had crippled national production and forced international oil companies to shut down key pipelines.
At the time, oil production had crashed to around 700,000–800,000 barrels per day, far below Nigeria’s OPEC quota, costing the government billions of dollars in lost export revenue.
Uzodimma explained that through what he called a “collaborative approach” involving regulators, operators, and the security forces, the committee had helped raise daily crude oil production to over 1.7 million barrels per day in the past 22 months.
The governor stated, “Before May 29, 2023, when President Bola Tinubu was sworn in, our crude oil production was around 700,000 to 800,000 barrels a day.
“Working with stakeholders, the regulators, operators in the industry, and the Navy, we were able to involve all the governors of crude oil-producing states and raise different security organisations.
“You would agree with me that as I speak, daily production is now in excess of 1.7 million barrels a day, and cases of pipeline vandalism and vandalisation of oil assets have also been on the decline.”
The council, he said, was satisfied with the progress and decided to deploy the same model of intergovernmental coordination, private-sector partnership, and multi-agency surveillance to the mining sector, plagued by resource theft.
“We are determined to ensure that crude oil production and gas are properly preserved for the benefit of our citizens.
“Now, with this new directive, we will also protect our gold and solid mineral assets,” Uzodinma added.
Nigeria’s illegal mining economy, particularly in gold, lithium, and other high-value minerals, has grown into a multibillion-naira shadow industry.
According to data from the Nigeria Extractive Industries Transparency Initiative, the country loses an estimated $9bn annually to illegal mineral extraction and smuggling.
The Federal Government has linked several unlicensed mining operations to armed groups in the North-West and North-Central regions, where gold has become a source of illicit financing for bandits.
A 2023 NEITI audit also showed that over 80 per cent of mining activities in Nigeria were conducted informally, without licenses or environmental oversight.
In September 2024, the Ministry of Solid Minerals Development revoked over 900 dormant licences and announced plans for a national gold reserve policy. But enforcement remains difficult, with weak surveillance, limited manpower, and overlapping regulatory mandates.
According to Uzodimma, the expanded mandate aims to integrate the fight against illegal mining into the broader national resource protection framework previously used in the oil sector.
“We have done well,” he claimed, adding, “Among other things, we recommended that NNPC, working with security agencies and their consultants, should strengthen security in all the creeks and extend coverage to offshore regions. That will help in curtailing and supervising illegal entries and exits of vessels into our export terminals. This same spirit will now guide our solid minerals sector.”
The committee is expected to submit its first progress report on the expanded mandate at the next NEC meeting in November.
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