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Nigeria’s Ailing Power Sector: How FG’s Projections Failed

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As 2022 winds down, a retrospective look at the power sector holds a bleak hope. It has been a circle of stunted growth and shamble of failure from the transmission, generation and distribution subsectors. Like Nigeria’s economy, the power sector has refused to progress due to lack of investment and managerial competence. There is a nexus between the power sector and industrialization. Indeed, one cannot do without the other; an adequate electricity supply is instrumental to the growth of businesses, especially Small and Medium Enterprises.

Nigeria needs an estimated 25,000MW to 40,000MW capacity to serve its 218 million population. Still, currently, the installed generating power capacity is about 12,522MW, and transmission and distribution infrastructure can only deliver an average of 4,000MW to businesses and homes.

President Muhammadu Buhari, on his resumption of office in 2015, brought forth a renewed vista for the power sector; however, as he prepares to leave Aso Villa on May 29, 2023, the industry remains a playground of embarrassment.

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Nigeria’s power industry is multidimensionally challenged, afflicted by under-investment, outdated infrastructure, debts and inefficiencies. Power shortages have crippled SMEs, stunted the growth of productive sectors and made the cost of local products uncompetitive.

The Electric Power Sector Reform Act 2005 and the succeeding Roadmap for Power Sector Reform 2010 set out to comprehensively transform the power industry through privatization, raise output to 40,000MW by 2020 and attract investment and the best global players into the market. Regrettably, the lofty milestones have been missed because of the age-long decay occasioned by mismanaging privatization.

Some 90 million Nigerians lacked access to electricity by 2019, the world’s worst, below Congo DR’s 70 million and Ethiopia’s 58 million, the World Bank said. The International Monetary Fund says Nigerian businesses bleed by about $29 billion annually due to power shortages.

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Every approach to rescue the Nigerian power sector has hit the rock as most Nigerians live without 24-hour electricity.

READ ALSO: Blackout As National Grid Collapses Again

Consequently, current power generation stands below 3,800MW, and the per capita electricity usage is 136 KW/h, one of the world’s lowest. In Libya, it is 4,270 KW/h; India, 616KW/h; China, 2,944KW/h; South Africa, 4,803 KW/h; and Singapore, 8,307KW/h.

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DAILY POST highlights four significant events that impacted Nigeria’s Power industry, namely: The incessant national grid collapses, Electricity Distribution Companies’ Liquidation crisis, and the unsuccessful National Mass Metering Project, NMMP.

National Grid Collapses

Incessant national grid collapses marred the period under review. Although the Nigerian Electricity Regulatory Commission, NERC, still needed to compile data on system collapse in 2022, the grid’s performance and various updates from DisCos showed that Nigeria’s power grid had collapsed about eight times by September this year.

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For instance, on September 25, 2022, grid collapse occurred when power generation on the system crashed from over 3,700MW to as low as 38MW.

On July 20, 2022, Nigeria’s power grid saw the sixth collapse in 2022, while on June 13, it was also reported that the grid collapsed. The nation’s power system collapsed twice in March (The same period TCN said it recorded a peak of 5,615.40 MW) and twice again in April this year.

2022 Electricity Bill

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The Senate passed the Electricity Bill 2022 in July to boost the reforms in the power sector; however, President Muhammadu Buhari is yet to assent to the Bill. Senator Gabriel Suswam, Chairman Committee on power, said the Bill sought to provide an ideal legal and institutional framework for the industry. He further stated that the Bill would correct the imbalances in the existing transmission infrastructure in Nigeria.

DisCos’ Liquidation Crisis

It has been ups and down for the Power distribution companies in Nigeria. The debt burden, poor balance sheet and lack of investment are hallmarks of challenges facing DisCos. Still, the problem of distribution infrastructures has continued to affect the subsector. Upon privatization in 2013, Nigerians thought the development would herald a new vista, but the reverse is the case. Minister of Power, Abubakar Aliyu said nine out of the eleven DisCos are on the verge of bankruptcy. Aliyu further disclosed that the situation had forced the Nigerian Government to mandate banks to find serious investors interested in buying its 60 per cent equity in Abuja, Kano, Kaduna, Benin, Ibadan and Portharcourt DisCos.

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READ ALSO: Power Generation Crashes By 903MW, National Grid Crisis Persists

National Mass Metering project

In 2022, the Federal Government promised to provide Nigerians with free meters via the National Mass Metering Project; however, this is yet to be achieved. The Central Bank of Nigeria Governor, Godwin Emefiele, stated that the bank disbursed N47.8bn for about 865,956 meters across the country. However, with the implementation of projects by DisCos and Meter Asset Providers, MAPs have yet to achieve the expected results of providing free meters to Nigerians.

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Presidential Power Initiative-Siemen Project

The Nigerian Government, in 2019 signed the Electricity Road Map agreement worth €63 million with the German-based Siemens aimed at modernizing the country’s national grid and achieving 7,000 megawatts by 2021, 11,000 megawatts by 2023 and 25,000 megawatts by 2025.

The Federal Executive Council, FEC in December last year okayed the project with the hope of driving improvement in the nation’s power sector; however, the first target of achieving 7,000 MW by 2021 has been missed, while the 2023 and 2025 years’ targets of 11,000 MW and 25000 MW respectively are obviously unattainable.

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The Minister of Power, Abubakar Aliyu had announced the delivery of the ten morbid power transformers to be situated across the country, but on Wednesday, the former Managing Director of Transmission Company of Nigeria, TCN, Dr Usman Mohammed disclosed that the Siemen-FG deal cannot achieve 7000 MW.

Expert React

Reacting to the performance of Nigeria’s power in 2022, energy expert, Mr Eleojo Joseph said the industry had been a colossal failure.

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He disclosed that the electricity transmission in Nigeria should be localized to address the issue of National grid collapse.

“The power sector in 2022 is a colossal failure. We have never experienced this amount of national grid collapse in Nigeria. It was as if the national grid was a switch that got turned on and off. The Transmission Company of Nigeria should be disbanded, and electricity should be localized. We are wasting material and financial resources in running the TCN.

“Why are we struggling to generate more than 5,000Mw? The answer is simple. Mini and small electricity generating companies should be encouraged and given necessary financial assistance towards ramping up generation. Imagine a situation whereby 2,000 mini and small companies are generating from 200Mw to 2,000Mw across the length and breadth of Nigeria— using the sun, water, wind and other resources?

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“Regarding distribution, let the Government revisit the privatization of the DISCOs one more time. Let competent organizations come on board, and the narrative will change drastically. See the telecommunication sector as a reference point. The DISCOs are doing what they like because NERC, as the regulating body, is not effective and efficient. The war will continue between consumers and DISCOs due to the dog-eat-dog situation between them. Why on earth should consumers buy poles, meters and transformers for DISCOs?

“On the whole, the Government should declare an emergency in the power sector and bring reputable international power generation and distribution companies to step into this critical sector. Without electricity, we are doomed as a nation.”

Also, he stated that “local manufacturers will continue to wallow in pain, and the economy will continue to nose-dive”.

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Similarly, dissecting the power sector in an interview on Wednesday, Dr Usman Mohammed said the nation’s power is the worst of today.

He said the sector retrogressed instead of progressing with the billion naira intervention by the Nigerian Government.

As a way forward, he suggested that whosoever emerged as president of Nigeria in the forthcoming election must personally champion Nigeria’s power sector reforms.

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READ ALSO: Why national grid collapsed — ministry

He also stated that the key to unlocking the sectors’ potential is adequate investment across the three subsectors: Transmission, Generation and Distribution.

Usman said a competent managerial team should be engaged if the Nigerian power sector desires change in the coming years.

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Indeed, no matter the direction of the power industry today, Nigerians hope that the country will head on the right path in the future.
DAILY POST

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British Family Accused Of Boarding Dead Grandmother On EasyJet Flight

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A British family has been accused of trying to board a dead relative onto an EasyJet flight from Málaga, Spain, to London Gatwick on Thursday, passengers said.

The woman, reportedly 89 years old, was wheeled onto the plane by five family members, who told airline staff she was unwell and had fallen asleep.

Witnesses said the woman was pushed in a wheelchair to the rear of the plane and lifted into her seat. Some claimed they overheard a family member tell a boarding clerk, “It’s OK, she’s just tired,” adding, “It’s OK, we’re doctors.”

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READ ALSO:Gunmen Invade Church, Kill Priest’s Wife In Anambra

Just before takeoff, the cabin crew realized the woman had died, and the plane was turned around, delaying the flight by 12 hours.

Petra Boddington, a passenger, said: “easyJet, when did you start letting dead people onto planes? Seriously!” Another, Tracy-Ann Kitching, added: “I saw her being wheeled onto the plane; someone was holding her head as they passed me! A doctor on board confirmed that was already dead when they sat her down.”

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EasyJet has denied that a deceased person boarded the plane. The airline said the passenger had a fit-to-fly certificate and was alive when she boarded.

READ ALSO:UK Charges Nigerian-British Art Dealer Ochuko Ojiri With Terrorism-related Offence

The flight returned to the stand prior to take-off due to a customer on board requiring urgent medical assistance. The flight was met by emergency services, but sadly the customer passed away,” a spokesperson said.

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The Guardia Civil in Málaga confirmed officers attended the aircraft, and the woman was declared dead on board. No arrests have been made.

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Russian Strike On Odesa Region Kills Eight, Injures 27

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Ukraine’s State Emergency Service has reported at least eight people killed and 27 others injured on Friday night after a Russian ballistic missile strike hit the southern Ukrainian city of Odesa.

According to Ukrainian authorities, the attack targeted port infrastructure facilities in the town of Pivdenne, near Odesa, and damaged nearby civilian vehicles.

The strike came one week after much of Odesa was left without power, heat, and water following a “severe” aerial assault.

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Some of the injured were on a bus that was at the epicenter of the shelling. Trucks caught fire in the parking lot, and cars were also damaged,” the State Emergency Service said.

READ ALSO:Russia Insists Ukraine Must Cede Land Or Face Continued Military Push

Emergency officials said the deaths occurred at a port infrastructure facility. Medical teams and first responders were deployed after the strike, but their work was disrupted by “ongoing air raid alerts,” according to Oleh Kiper, head of Odesa’s regional administration.

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Russia has carried out repeated attacks on Odesa in recent days, damaging port facilities, civilian vessels, and key infrastructure.

Two major bridges linking the northern and southern parts of the Odesa region have also been hit, with repairs under way, Kiper said.

Elsewhere, Ukraine’s State Emergency Service reported a “massive” drone attack on the southern Mykolayiv region, which damaged civilian infrastructure and vehicles. No casualties were reported.

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READ ALSO:19 Die From Alcohol Poisoning In Russia

Odesa, Ukraine’s largest seaport and a major hub in the Black Sea region, has been a frequent target since the start of the war.

Last week, civilian, energy, and industrial sites in the city suffered extensive damage after what regional officials described as “one of the enemy’s most severe airstrikes,” leaving many areas without power and water.

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Russia’s Defence Ministry has not commented on the attack.

Speaking hours before the strike during his annual Direct Line call-in show, Russian President Vladimir Putin said Russia was yet to “see Ukraine’s readiness for peace”.

[Russia] is ready for negotiations and for ending the conflict via peaceful means,” Putin said, adding that it was up to Russia’s “Western opponents” to end the war.

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(CNN)

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Aircraft Crashes In Owerri With Four Persons Onboard

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Photo: File copy

A Cessna 172 aircraft with registration number 5N-ASR, operated by Skypower Express, has crashed at the Sam Mbakwe International Cargo Airport, Owerri, Imo State.

The aircraft had departed Kaduna International Airport en route to Port Harcourt International Airport before diverting to Owerri after the crew declared an emergency.

The crash occurred at about 8:00 pm on the airport premises, with four passengers and crew members onboard.

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Confirming the incident, the Director, Public Affairs and Family Assistance of the Nigerian Safety Investigation Bureau (NSIB), Mrs. Bimbo Oladeji, said the agency had been notified of the crash.

READ ALSO:Social Media Feud Spills Into Aircraft As VDM, Mr Jollof Exchange Blows

According to the NSIB, the aircraft crashed on the approach area of Runway 17, but no fatalities have been recorded so far.

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The statement said: “Following the occurrence, airport emergency services were successfully activated and arrived on site promptly. Reports indicate that there was no post-crash fire, and the runway remains active for flight operations, with other aircraft taking off safely after the incident.

“Efforts are currently underway to coordinate the recovery and evacuation of the distressed aircraft from the crash site to allow for a detailed wreckage examination.”

The NSIB said it has officially activated its investigation protocols in line with its statutory mandate

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READ ALSO:Ogun To Prosecute DJ Over Multiple Road Crashes

The Director-General of NSIB, Capt. Alex Badeh Jr., sympathised with the management of Skypower Express over the incident and expressed relief that no lives were lost.

Badeh Jr. added that the Bureau’s investigation team is already coordinating with relevant authorities to secure the crash site and commence a detailed investigation into the cause of the accident.

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Two days ago, 11 persons narrowly escaped death as a private jet crash-landed at Mallam Aminu Kano International Airport, Kano, on Sunday morning.

The occupants, including passengers and cabin crew, were safely evacuated amid an intense atmosphere, eyewitnesses told The Guardian.

READ ALSO:Tanker Crash Kills Three, Fire Razes Shops In Kano

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The private jet, owned by Flybird Aviation, crash-landed at about 9:30 a.m. while approaching Kano Airport en route to Abuja.

The incident attracted urgent attention, with emergency staff and other stakeholders converging at the runway to render rescue operations.

The management of the Federal Airports Authority of Nigeria (FAAN) is yet to release an official statement on the incident. Unofficial sources disclosed that the passengers have been taken to an unknown destination.

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Several aircraft incidents have occurred at Kano Airport, with several lives lost.

The last incident occurred in May 2002, when an EAS Airline aircraft departed the runway at Aminu Kano International Airport at 1:29 p.m. local time en route to Lagos.

 

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