fewer than 110.7 million Nigerians out of a 195.8 million estimated population had access to electricity as of 2018, according to the latest global energy progress report.
This represents a 57 per cent national electricity access rate compared with the global average of 90 per cent, says the report launched at the United Nations on Thursday.
It indicates an increase in the number of Nigerians with access to electricity by 34.6 million people from 76.1 million in 2010.
On the global scene, the report says the world has made “promising progress’’ towards ensuring universal access to sustainable energy over the last decade.
According to the document, the number of people without access to electricity dropped from 1.2 billion globally in 2010 to 789 million in 2018.
This, however, is not the case in Nigeria, where the figure rather increased from 82.4 million people without electricity access in 2010 to 85.2 million in 2018.
The reports states that renewable energy solutions played a big role in the global progress, with more than 136 million people receiving basic electricity services from off-grid sources by 2018.
According to the document, the world saw an improvement in renewable energy consumption from 16.3 per cent in 2010 to 17.3 per cent in 2018.
In Nigeria, the report shows that renewables accounted for 83 per cent of the total energy consumed by the citizens in 2017.
But there was a decline in the renewables to total energy ratio in the country from 86.9 per cent in 2010 to the 83 per cent recorded in 2017.
“Still, unless efforts are stepped up significantly, an estimated 620 million people globally would remain without access to electricity in 2030.
“This number could become even higher with the impact of the COVID-19 pandemic,’’ the report warns.
Titled “Tracking SDG 7: The Energy Progress Report’’, the document is published annually by custodian agencies of Sustainable Development Goal (SDG) 7, which targets energy access for all.
It provides the most comprehensive look available at the world’s progress towards global energy targets on access to electricity, clean cooking, renewable energy and energy efficiency.
The report also serves to guide international cooperation and policy making to achieve universal and sustainable energy access by 2030.
It is produced by the International Renewable Energy Agency (IRENA) in collaboration with the International Energy Agency (IEA), World Bank, Word Health Organisation (WHO) and other relevant agencies.
The report also captures a huge increase in the number of Nigerians with access to clean cooking fuels and technologies between 2010 and 2018.
As of 2018, 20.5 million people or 10 per cent of the population had access to clean cooking energy, up from just 2.7 million people in 2010.
But many Nigerians remained behind on this score with 175.4 million citizens lacking access to clean cooking energy sources in 2018 as against 155.8 million people in 2010.
This also means that the country missed out on the global decline in the number of people without access to clean cooking energy sources from three billion in 2010 to 2.8 billion in 2018.
However, the report reflects an improvement in the country’s energy efficiency by 6.4 per cent between 2015 and 2017, higher than the global average of 5 per cent.
On financing, the document indicates that Nigeria received a total of five billion dollars (about N1.8 trillion) from abroad in support of its renewable energy efforts.
This included funds from the country’s international development partners under Public Private Partnership (PPP) arrangement on renewable energy projects.
Source: The Guardian
The Senior Staff Association of Electricity and Allied Companies (SSAEAC) and the National Union of Electricity Employees of Nigeria (NUEE) chapters of the Transmission Company of Nigeria (TCN) have shut the national grid over the sacking of the company’s Managing Director, Gur Mohammed.
They also yesterday locked the Abuja headquarters of the TCN, as the workers protest barely 24 hours after the Minister of Power, Sale Mamman, removed the chief executive from office.
Mamman had on Tuesday sacked Mohammed and replaced him with Sule Abdulaziz in an acting capacity.
The minister had described the decision as part of ongoing measures to reposition the power sector for improved service delivery.
He had also confirmed the appointment of four directors who had been on acting capacity.
Source: The Guardian
Electricity generation companies (GenCos) in Nigeria, have again raised an alarm over the epileptic performance of the nation’s national grid.
Section 15.3.1 of the national grid code states that the Frequency shall be maintained at 50 Hz. This means that the National Control Centre, overseen by the Transmission Company of Nigeria (TCN), would control the System Frequency within a narrow operating band of +/- 0.5 per cent (49.75 – 50.25 Hz) from 50 Hz, at least 97% of the time during Normal Conditions.
Besides, under System Stress, the Frequency Control on the Power System is expected to be exercised within the limits of 50 Hz +/- 2.5 per cent (48.75 – 51.25 Hz).
But the GenCos told The Guardian that the grid performance from 2015 till date has not met extant regulations.
Indeed, the Executive Secretary, the Association of Power Generation Companies (APGC), Joy Ogaji, said GenCos have been bearing the brunt of the challenge in addition to all other market risks.
“Frequency Deviations out of tolerable zones are not only damaging the GenCos units but are also increasing considerably the maintenance costs close to three times the normal maintenance costs. The intervals between maintenance will decrease and will need longer time for completion with a greater downtime of the generating units; needing extra investment to increase the power plant capacity,” Ogaji said.
However, TCN had said the Nigerian Grid Code Frequency Standard is 49.75Hz and 50.25Hz, while the WAPP Frequency standard is 49.80Hz and 50.20Hz.
It also noted that the National Grid achieved frequency control of between 49.80Hz and 50.20Hz for 64.47 per cent of the time and frequency control between 49.75Hz and 50.25Hz for 85.55 per cent between December 27, 2018 and January 12, 2019.
“The frequency control is the best ever achieved in the history of Nigeria and is also the best in West Africa as at today. The frequency control achieved from January 8-12, 2019, is the best so far by any power utility in West Africa,” a spokesperson for TCN, Ndidi Mba said.
TCN explained that subsequent collapse of the National Grid, as was the case last week, was inevitable due to extant challenges, including lack of commensurate investment by the DisCos.
Meanwhile, the Association of Nigerian Electricity Distributors (ANED), the umbrella body for distribution companies (DisCos), had last year decried the repeated system collapse, stating that TCN’s analogue system caused over 100 electricity grid collapses since the privatisation of the power sector in 2013.
Stating that transmission networks constitute the vital arteries of the entire power value chain, indicating that the industry growth is contingent to development of a robust and a non-collapsible transmission to acceptable technical limits has exposed generator units to perform beyond factory rated capability.
Ogaji said the inability of the system operator to maintain grid stability leads to huge fatigue damage and higher costs. “In addition, operation of these gas turbines far away from their baseloads implies a reduction in efficiency or in other words an increase in consumption of gas by as much as 15-20 per cent, a cost not recognised by Nigerian Bulk Electricity Trading Plc. nor captured in the Multi-Year Tariff Order (MYTO).
“All electrical appliances (thermal and hydro plants) have set conditions under which they function at optimal levels and are designed to operate optimally and efficiently at baseload.”
As a result, GenCos can no longer sustain these costs alone given the level of remittance in the market, which barely covers the operating cost, she noted/
“The only sane thing to do to save the sector from collapsing is for GenCos to adhere to Section 12.6.6 of the Grid code by allowing the generator to disconnect the Generating Unit for reasons of safety of personnel, Apparatus, and/or Plant,” Ogaji said.
Source: The Guardian
Members of the Organized Private Sector in Nigeria (OPSN) have kicked against the suspension of the proposed hike in electricity tariff stating that any increase in tariff will reinforce the already high cost of doing business for the Private Sector and further depress productivity in the manufacturing sector.
Precisely, the operators stated that while electricity outages average about 10 hours per day, electricity expenses still constitute about 40% of the total cost of production and the average cost of self-generated electricity averages N119 billion in 2019.
The OPSN, comprising of the Manufacturers Association of Nigeria (MAN), Nigerian Association of Chambers of Commerce, Industry, Mines and Agriculture (NACCIMA), Nigeria Employers Consultative Association (NECA), Nigerian Association of Small and Medium Enterprises and the Nigerian Association of Small Scale Industries (NASSI), stated that the unfriendly operating environment is responsible for the oscillatory performance of the real sector in the past few years.
They noted that though Order No: NERC/198/2020 specifically states that “there shall be no increase in tariffs of the end-use customers on April 1, 2020”, the recently concluded nationwide stakeholders’ engagements and the just concluded review panel sessions with the 11 DisCos alluded to the fact that there could still be an increase in electricity tariff this year.
They added: “For the records, private business operators in Nigeria, especially the manufacturing sector are already plagued by high cost operating environment arising from poor regulatory environment, macroeconomic asymmetries and high cost of energy.
“Most worrisome is the fact that operators in the Private Sector, especially the manufacturing sector bear the burden of commercial and technical losses through very high monthly electricity bill that is largely estimated.
“The OPSN has observed that despite numerous increases in electricity tariff, poor generation and transmission plague the sector. Likewise, inefficient distribution and inadequate supply remain crucial challenges facing private sector operators, particularly those in manufacturing. It is therefore important that any upward electricity tariff that will add up to the already bloated cost of production in the sector should be avoided.
“One would believe that before embarking on this outrageous increase in electricity tariff, its impact on the manufacturing sector and the economy at large would have been properly evaluated to mitigate a crowding-out effect on the economy”.
The operators then urged the Federal Government to unveil a more realistic tariff structure that will support the growth of the sector is very critical at the moment, while a review of the privatization/unbundling of the electricity industry should be revisited, in the best interest of Nigerians.
“A component assumption of the MYTO methodology is that electricity generation, transmission and distribution will improve in the process, leading to improved supply of electricity to customers. For that reason, various projections for generation capacities for different years were made.
“For instance, 5,500MW was projected for 2012; 7,500MW for 2013; 9,061MW for 2014; 10,071MW for 2015 and 10,571MW for 2016. Also, energy to be sent out to grid was projected at 30,715GW for2012; 41,884GW for2013; 50,601 GW for 2014; 56,242 GW for 2015; and 59,034 GW for 2016.
“The pertinent questions are, therefore; Wouldn’t they have been accomplished? Wouldn’t it better to think more about how to improve generation capacity hence transmission and distribution rather than squeezing the mere 4000MW to meet all revenue needs of key sharing stakeholders?
“OPSN believes that fixing the sector is not rocket science, basic requirements are pragmatic processes; pro-electricity policies; and significant investments to improve transmission and distribution infrastructure, increase the generation capacity and other capacities that will usher in scale production in the sector”, they added.
The proposed increase in electricity is not business-friendly, and will have a catastrophic impact on the real sector; spell doom for the small and medium companies; and further inflict misery on the citizenry. Therefore, the proposed tariff increase should be suspended in the best interest of the Nigerian economy.
Source: The Guardian