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When Will Nigerians Enjoy Stable Electricity?

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Unarguably, the provi
sion of stable and uninterrupted power supply is key for accelerated economic and industrial development of any country. Analysts are quick to point out that Nigeria’s quest to become one of the 20th economies in the world may as well be a mirage without stable electricity supply.
They say that stable electricity supply will reduce the cost of manufacturing and services; boost investment and employment, among others.
However, in spite of its importance, efforts to guarantee sustainable stability in the power supply chain has remained elusive despite huge investments in the sector by successive administrations since independence.
For instance, available records showed that the Olusegun  Obasanjo’s government spent over three billion dollars on its National Integrated Power Project (NIPP) as at 2007. This, according to Gov. Gabriel Suswam of Benue, the Chairman, Joint Transaction Technical Committee, is out of the over 10 billion dollars earmarked for the NIPP.
He said that the amount was also inclusive of the two billion dollars Federal Government’s counterpart funding for Mambilla Hydro Power project and the 1.4 billion dollars set aside for additional nine turbines plants.
At the moment, four of the projects which on completion would generate 4,774MW, had been completed, while six others are at 80 to 90 per cent completion.
To further boost the initiative, the President Goodluck Jonathan’s administration has strengthened the power sector reform by fully privatising the Power Holding Company of Nigeria (PHCN).
The exercise eventually resulted in the unbundling of the PHCN and the establishment of power Distributing Companies (DISCOs) across the country.
Although the reform is yet to significantly improve power stability nationwide, the World Bank, however, applauded the government for the initiative, with a call on other African countries to emulate the policy.
Mr Mukhtar Diop, the bank’s Vice President, Africa, made the commendation while listing some infrastructural achievements in Africa, during the recent African Union Summit on Financing Infrastructure Development, in Dakar, Senegal.
According to him, the power reform is one of the ways of solving Africa’s problems by Africans. “We must commend the leadership in Nigeria for the successful completion of the privatisation of the country’s power sector. “The electric reform in that country is one of the ways of solving Africa’s problems by Africans. We commend the country for that.”
It is, perhaps, against this backdrop, that President Goodluck Jonathan promised to restore uninterrupted power supply to Nigerians by the end of 2014.
Jonathan gave the assurance while commissioning the NIPP 500MW Omotosho II Power Station at Omotosho in Okitipupa Local Government Area of Ondo State.
He said that his optimism was based on the progress in the completion of the ongoing 10 independent power projects spread across the country.
“My administration is committed to boost electricity supply in the country. Today, we are in Ondo State to commission Omotosho Power Plant that will also serve the people of these areas and improve electricity supply in the country.”
But in spite of the government’s assurances, pundits doubt that uninterrupted and stable power supply to Nigerians would be achieved by the end of 2014.
Mr David Ladipo, whose company, Azura, is spending 700 million dollars to build a 450 MW plant in South Africa,  insists that with  the situation on ground, it will still take Nigeria 50 years from now to enjoy stable power supply.
Ladipo told Reuters news agency that Nigeria would need about 140,000MW to guarantee stable power supply.
‘’Nigeria is still scores of years away at this threshold. At present, it generates a meagre 4,000 MW for a population estimated at 170 million.
‘’South Africa, with a population of about 50 million people, produces about 40,000 MW  of electricity and has been trying in recent years to increase output.
“It will probably take Nigeria another 50 years before it attains the same level of electricity consumption per capita as South Africa currently enjoys today,” Ladipo said.
However, Gov. Babatunde Fashola of Lagos State believes that with patience and commitment, Nigerians will soon enjoy the dividends of the ongoing power sector reforms.
Fashola expressed the optimism in Lagos at the closing ceremony of the 7th Lagos Economic Summit, tagged: Ehingbeti. According to him, the privatisation of the power sector will not be successful without the cooperation of investors and consumers.
He urged the public to develop energy conservation culture and manage existing power infrastructure adequately. “We should desist from illegal connections of electricity and ensure that our bills are paid appropriately.
“Electricity poles should not be used as speed breakers by reckless drivers; we should all protect the infrastructure from being damaged,’’ the governor said.
The Minister of Power, Prof. Chinedu Nebo, shares similar sentiments, noting that the Federal Government has concluded plans to explore ways of implementing the Indian power sector model in order to further boost the nation’s capacity to generate more power.
Nebo stated this recently in Abuja when he received a delegation on power from India.
The minister said that the Nigerian power sector which was still in a transitional stage after the privatisation still had a lot to learn  from the Indian experience.
According to him, this is because of the peculiarity between both nations’ power sector. He said the ministry would soon summon a stakeholders’ forum of all Generating Companies (GENCOs), Distribution Companies (DISCOs) and the regulatory bodies to take a closer look on how India transformed its power sector.
Nebo also invited the Indian delegation to the first National Council on Power conference slated for August 2014 in order to have a robust discussion.
The minister assured the delegation that the Federal Government was committed to achieving 10,000 MW by the end of the year despite the challenges.
Speaking on behalf of the DISCOS, the Chief Executive Officer of Eko Disco, Mr Oladele Amoda, said the company had already had a technical arrangement with Tata of India.
He urged the India delegation to take seriously the issue of transfer of technology so as to fast-track the development of the sector.
The Indian High Commissioner to Nigeria, Mr Ajjampur Ghenashyam, who also spoke,  advised Nigeria, as the hub of economic activities in the West African sub-region, to take the lead in the development of regional power market.
He said that India had achieved over 400 per cent leap in generation capacity in the last 10 years due to the competitiveness of the market.
Ghenashyam said countries like Nepal, Bangladesh, Bhutan and Pakistan had already been enjoying from seamless cross-border market and this had further boosted confidence for investment flow into the sector.
The envoy said that India was ready to partner with Nigeria in the development of the nation’s power sector.
Nonetheless, analysts have advised the government to also invest in the development of alternative sources of energy, such as wind and solar in order to boost the capacity of the country to meet its energy requirement.
They also advise the government to fast-track the completion of the NIPP projects in order to realise the objective of providing uninterrupted power supply to Nigerians by the end of 2014.
Mr Adamu,writes for   News Agency of Nigeria (NAN).

 

Sani Adamu

L-R:  Chairman, Liaoning Efacec, Chief Sam Amyamele, Vice President, Engineering, Mr Li Jiawei, Vice President, International, Ms Hliang Xae Li and Minister of Power, Prof. Chinedu Nebo, signing a memorandum on power in Abuja, recently.

L-R: Chairman, Liaoning Efacec, Chief Sam Amyamele, Vice President, Engineering, Mr Li Jiawei, Vice President, International, Ms Hliang Xae Li and Minister of Power, Prof. Chinedu Nebo, signing a memorandum on power in Abuja, recently.

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Reps C’mitee Moves To Resolve Dangote, NUPENG Dispute

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The House of Representative on Petroleum Resources (downstream), has pledged to intervene in the ongoing dispute between Dangote Refinery and the Nigeria Union of Petroleum and Natural Gas Workers (NUPENG), warning that mishandling the issue could destabilize the downstream sector.
Chairman of the Committee, Ikenga Imo Ugochinyere, gave the assurance at the close of a three-day retreat, in Lagos, at the Weekend.
Ugochinyere noted that while Dangote and NUPENG signed a Memorandum of Understanding on September 9 to strengthen workers’ right to unionise, fresh disagreements have since emerged.
He stated that the committee had received multiple submissions from stakeholders adding that it would act in the best interest of both parties.
“If the issue is not well handled, it will create instability in the downstream sector. We must balance labour issues with economic interests,” he stated.
It would be noted that NUPENG had accused the refinery of intimidation, alleging it ordered truck drivers to remove union stickers before loading. Dangote, however, dismissed the claims describing it as “cheap blackmail.”
He also revealed that the committee has reopened its investigation into NNPC Ltd.’s acquisition of OVH Energy Marketing’s downstream assets and refinery upgrade, following a directive from the House after the initial report was rejected for omitting key facts.
“The investigation is distinct from the previous inquiry carried out. The House, therefore, mandated the Downstream Committee to undertake a fresh investigation—with a clear directive to uncover what truly transpired in the OVH acquisition process”, Ugochinyere said.
With the commencement of the investigation, the committee chairman said the general public is invited to make their input before the lawmakers present their recommendations on the floor of the House.
He directed that those with information and submissions should submit them to the clerk of the downstream committee.
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Increased Oil and Gas: Stakeholders Urge Expansion Of PINL Scope 

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Following the sustained record of increased oil and gas production in recent times, stakeholders from pipeline and crude oil host communities have urged the Federal Government to expand the security contract of Pipeline Infrastructure Nigeria Limited (PINL).
The stakeholders who gave the urge while speaking at the September Engagement, held in PortHarcourt, last Thursday, attributed the increased output in oil and gas production to the positive impact of PINL on oil and gas host communities
President-General, Orashi People’s Congress, Emeni Ibe, expressed happiness with PINL saying “Our people which includes Abua/Odual, Ahoada East and West, Ogba/Egbema/Ndoni have asked me to convey their gratitude for regularly holding this stakeholders meeting”.
“Our area is criss-crossed with several oil pipelines and in the campaign against vandalism, we have agreed to partner with the PINL.
“We are calling on the Federal Government to provide more funds to the company. We are pleased with their trainings and their scholarship for our youths. This is what we are expecting and if these things are done, pipeline vandalism will be a thing of the past.
“PINL is changing the narratives in our area so I join others to pass a vote of confidence on PINL”, Ibe said.
Also speaking, an indigene of Soku, community, Ajenkebiokpomaa Orlu, said his people want the federal government to include the community in the scope of job covered by PINL.
“We have been hearing about PINL in Rivers State and other neighboring communities but it’s like a surprise to us because Soku as a major player in the ooo and gas sector, we are not part of their operations. We are supposed to be part of it as major oil bearing community with the largest gas plant in West Africa and other oil facilities.
“I’m here to tell Federal Government, NNPCL and PINL to include Soku community in their scope of job and mostly for the Federal Government to expand PINL’s scope of work in the area to include Soku oilfield.
Speaking with journalists on the sidelines of the engagement, the General Manager, Community Relations and Stakeholders Engagement, Dr. Akpos Mezeh, explained that Soku Tombia, Rumuji, Ogba, Abha, Gbarain are all host to gas lines “and we have engaged workers from those communities to help go secure the lines”.
He expressed hopes that the Federal Government would expedite action in expanding PINL’s contract to cover those areas.
Mezeh stated; “Soku is a major oil and gas host community and by virtue of the fact that our current contract on TNP does not cover Soku, we’ve been able to cover them based on the limited resources we have and so far we’ve been doing wonderfully well there courtesy of the support we get from the community and there has been no incident of vandalism in Soku.
“We are calling on the Federal Government to expedite action on the formalising the expansion that we are already doing to cover the areas outside our primary mandate.
“We have Soku, Tombia, Rumuji, Ogba, Abha, Gbarain which host gas lines and we have engaged workers from those communities to help go secure the lines and so we hope that the Federal Government would expedite action in expanding our contract to cover those areas.
“We have expanded our operations into gas and we are into the sixth month and the results is clear and from the report of NUPRC, gas production has increased.
“We’ve done a lot to ensure that gas facilities are given adequate protection. We have engaged more workers from the communities where gas lines are criss-crossing and although that’s not our primary area of responsibility but we are doing that as a duty call to ensure that we support the Federal Government and that’s why we are calling on the Federal Government to formalise the work that we are already doing”.
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Digital Technology Key To Nigeria’s Oil, Gas Future 

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Experts in the oil and gas industry have said that the adoption of digital technologies would tackle inefficiencies and drive sustainable growth in the energy sector.

The experts made the remark at the 2025 Press Week Lecture and Symposium organised by the Nigeria Union of Journalists (NUJ), News Agency of Nigeria (NAN) Chapel, Lagos,

With the theme of the symposium as ‘Transforming Energy: The Digital Evolution of Oil and Gas’, he gathering drew top industry players, media leaders, traditional rulers, students, and security officials for a wide-ranging dialogue on the future of Nigeria’s most vital industry.

Chairman of the Petroleum Technology Association of Nigeria (PETAN), Wole Ogunsanya, highlighted the role of digital solutions across exploration, drilling, production, and other oil services.

Represented by the Vice Chairman, Obi Uzu, Ogunsanya noted that Nigeria’s oil production had risen to about 1.7 million barrels per day and was expected to reach two million barrels soon.

Ogunsanya emphasised that increased production would strengthen the naira and fund key infrastructure projects, such as railway networks connecting Lagos to northern, eastern, and southern Nigeria, without excessive borrowing.

He stressed the importance of using oil revenue to sustain national development rather than relying heavily on loans, which undermine financial independence.

Comparing Nigeria to Norway, Ogunsanya explained how the Nordic country had prudently saved and invested oil earnings into education, infrastructure, and long-term development, in contrast to the nation’s monthly revenue distribution system.

Chief Executive Officer (CEO) and Executive Secretary of the Major Energies Marketers Association of Nigeria (MEMAN), Clement Using, represented by the Secretary of the Association, Ms Ogechi Nkwoji, highlighted the urgent need for stakeholders and regulators in the sector to embrace digital technologies.

According to him, digital evolution can boost operational efficiency, reduce costs, enhance safety, and align with sustainability goals.

Isong pointed out that the downstream energy sector forms the backbone of Nigeria’s economy saying “When the downstream system functions well, commerce thrives, hospitals operate, and markets stay open. When it fails, chaos and hardship follow immediately,” he said.

He identified challenges such as price volatility, equipment failures, fuel losses, fraud, and environmental risks, linking them to aging infrastructure, poor record-keeping, and skill gaps.

According to Isong, the solution lies in integrated digital tools such as sensors, automation, analytics, and secure transaction systems to monitor refining, storage, distribution, and retail activities.

He highlighted key technologies including IoT forecourt automation for real-time pump activity and sales tracking, remote pricing and reconciliation systems at retail fuel stations, AI-powered pipeline leak detection, terminal automation for depot operations, digital tank gauging, and predictive maintenance.

NUJ-NAN Chapel Chairman,  Yunus Yusuf, urged all stakeholders to leverage digital technology for a more transparent, efficient, and sustainable energy future.
He emphasised deploying digital tools to drive sustainability, empower communities, and reshape Nigeria’s oil and gas landscape.
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