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Economy

Nigeria’s transmission network gets N540b boost

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Nigeria’s transmission network will soon receive a boost as the Niger Delta Power Holding Company Limited (NDPHC) has embarked on an investment of over $1.5 billion (N540 billion) in relevant infrastructure.

The investment is expected to tackle the transmission inadequacies in the power sector.The development comes as Minister of Power, Works and Housing, Babatunde Fashola, says the production of electricity from power plants across Nigeria has reached 7,001 megawatts (mw) from the 2,069mw recorded in 2015.

The Executive Secretary of the Association of Power Generation Companies (APGC), Dr. Joy Ogaji, had told The Guardian that even though the generation companies (Gencos) have power generation capacity of 12,500 megawatts (mw) per day and with expansion capacity of doubling it, the Transmission Company of Nigeria (TCN) and the distribution companies (Discos) have ill-equipped infrastructure to evacuate and distribute the generated power.

But the Managing Director and Chief Executive Officer of the company, Chiedu Ugbo, yesterday, at The Guardian Power Summit, “Beyond Rhetoric: Turning Nigeria’s Power Sector Value Chain Potential to Profit,” disclosed that NDPHC has embarked on several transmission, distribution and gas projects to bridge infrastructure gap in the sector.

Ugbo listed the transmission projects to include a 5,590 MVA of 330/132kV transformer capacity; 313 MVA of 132/33kV transformer capacity; 2,194 km of 330kV lines; 809 km of 132kV lines; 10 new 330kV S/Stations; seven new 132kV S/Stations and expansion of 36 existing 330kV and 132kV S/Station.

Ugbo said that NDPHC was only granted a licence to generate electricity.“The interventions in the various segments of gas transportation, transmission and distribution infrastructure are meant to be transferred to appropriate licensee and statutory agencies while generation assets are to be privatised,” he said.

On power sector achievements since 2015, at the summit, Fashola said that the Federal Government’s effort to provide electricity was yielding positive results.According to him, as at September 4, 2017, the available power that could be put on the grid was 6,619 mw while the transmission capacity was simulated at 6,700 mw, up from 5,000 mw in 2015. “Production reached all time high of 7,001mw.”

The minister, however, put the distribution capacity at 4,600 mw. Fashola noted that the achievement could not be attributed to the regular rainfall, which is known to contribute to the generating capacity of hydro power plants. “I acknowledge that there will be cynics who will say it was because of the rains.

True enough, the rains contributed to the hydro power increase, but the total hydro capacity available with the rains from Jebba, Kainji and Shiroro as of 4th of September 2017 was about 1,000 mw. So it is the gas thermal plants, arising from peace efforts and pipeline repairs that made up the difference that made the total available power of 6619mw that was produced.”

He disclosed that the government is also looking at licensing some private power plants that have generation licences and excess power, but no distribution licence, to grant them permits to willing buyers especially in industrial clusters under regulations made by Nigeria Electricity Regulatory Commission (NERC).

Fashola assured that the completion of the 240mw Afam power plant; 10mw Katsina wind farm; 29mw Dadin Kowa hydro plant; 30mw Gurara Hydro plant; 40mw Kashimbilla Hydro power plant; Kaduna 215mw plant; Zungeru 700 mw Hydro plant and the Mambilla 3050mw Hydro plant would in the nearest future increase the country’s generating capacity.

On “The Role of Niger Delta Power Holding Company Limited (NDPHC)”, Ugbo lamented Discos’ inability to pick the load.According to him, with the resolution of the gas supply challenge for the plants in the Western Delta and the gas and transmission infrastructure challenge in the Eastern Delta and improved generation, the sector is facing a new set of challenges, which include resultant generation constraint as a result of system frequency control.

The Commissioner, Legal, Licensing and Compliance, Dafe Akpeneye, said that available statistics showed that about 70 to 80 per cent of installed meters have been bypassed by customers.

To tackle the issue, Akpeneye called for a significant investment in smart meters’ tamper proof technology.He also recommended that all Ministries, Department and Agencies (MDAs) should be migrated to pre-paid meters to forestall having to deal with accumulated debts.

The Chairman, Editorial Board of The Guardian, Prof. Wale Omole, who represented the Chairman and Publisher of The Guardian, Lady Maiden Alex-Ibru, said the flagship of the Nigerian media would continue to organise conferences geared towards the country’s economic growth.Omole said that the discussion from the conference was expected to be beneficial to businesses and individuals in Nigeria.

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Economy

May Day: We’ll Not Delay Action On New Minimum Wage – Makinde

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May Day: We’ll not delay action on new minimum wage – Makinde

…As FG approves salary increase for civil servants 

Gov. Seyi Makinde of Oyo State has assured workers that his administration will not delay in implementing the new minimum wage.

Makinde gave the assurance on Wednesday in his address at the 2024 May Day celebrations, held at Lekan Salami Sports Complex, Ibadan.

The governor, who was represented by his deputy, Mr Bayo Lawal, said notwithstanding the new minimum wage, his government will not fail in its promise of ensuring payment of salaries and pensions on or before the 25th of every month.

He said that his administration had been responsive to the welfare of workers, adding that it had also put people at the heart of its policies and programmes.

Acknowledging the importance of labour in the policies, programmes and projects aimed at ensuring the development of the state, Makinde commended the workers for ensuring an atmosphere devoid of incessant industrial actions.

He noted that the cooperation between his government and labour had contributed immensely to the existing development and peaceful atmosphere in the state.

He urged the workers to reciprocate his administration’s good gesture by being more dedicated and committed.

The governor also enjoined them to work ‘tirelessly and vigorously’ for their future.

 The Federal Government has approved 25 per cent and 35 per cent of salary increases for civil servants on the remaining six Consolidated Salary Structures.

The Head of Press, National Salaries, Incomes and Wages Commission (NSIWC), Mr Emmanuel Njoku, said this on Tuesday in Abuja.

“The Federal Government has approved an increase of between 25 per cent and 35 per cent in salary increase for Civil Servants on the remaining six Consolidated Salary Structures.

” They include Consolidated Public Service Salary Structure (CONPSS), Consolidated Research and Allied Institutions Salary Structure (CONRAISS) and Consolidated Police Salary Structure (CONPOSS).

“Others are Consolidated Para-military Salary Structure (CONPASS).
Consolidated Intelligence Community Salary Structure (CONICCS) and Consolidated Armed Forces Salary Structure (CONAFSS).

“The increases will take effect from January 1,” he said.

According to Njoku, the Federal Government has also approved increases in pension of between 20 per cent and 28 per cent for pensioners on the Defined Benefits Scheme.

He said this was in respect of the above-mentioned six consolidated salary structures and would also take effect from January 1.

He said the move was in line with the provisions of Section 173(3) of the 1999 Constitution of the Federal Republic of Nigeria (as amended).

The official recalled that those in the Tertiary Education and Health Sectors had already received their increases.

“This involves Consolidated University Academic Salary Structure (CONUASS) and Consolidated Tertiary Institutions Salary Structure (CONTISS) for universities.

“For Polytechnics and Colleges of Education, it involves the Consolidated Polytechnics and Colleges of Education Academic Staff Salary Structure (CONPCASS) and Consolidated Tertiary Educational Institutions Salary Structure (CONTEDISS).

” The Health Sector also benefitted through the Consolidated Medical Salary Structure (CONMESS) and Consolidated Health Sector Salary Structure (CONHESS),” Njoku said.

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Economy

Electricity: NLC, TUC Condemn Higher Tariff For Non-existent Electricity

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Electricity: NLC, TUC Condemn Higher Tariff For Non-existent Electricity

…Insist Estimated billing is an extortion and a daylight robbery against Nigerians

The  Nigerian Labour Congress (NLC) and the Trade Union Congress (TUC),  have appealed to the  Nigerian Electricity Regulatory Commission (NERC) and Power Sector operators,  to reverse the increase in electricity tariff within one week.

President of the unions, Mr Joe Ajaero and Mr Fetus Osifo made the call on Wednesday in a joint speech to mark the  2024 Workers’ Day in Abuja.

The duo expressed dissatisfaction over the epileptic power situation in the country which is affecting the economic growth of the country.

According to them, it’s imperative that any nation incapable of effectively and efficiently managing its energy resources faces certain ruin.

“One of the pivotal factors constraining our nation is our glaring incompetence in managing this sector for the collective welfare of our citizens.

“Power, regardless of its source, remains paramount in Kickstarting any economy, while oil and gas are indispensable for robust energy success in every country. “

They said it was absolutely critical for the government to collaborate with the people to establish frameworks that ensure energy works for all Nigerians.

According to the duo, the plight of the power sector remains unchanged over a decade after the privatisation of the sector.

“The reasons are glaringly evident. As long as those who sold the companies remain the buyers, Nigerians will continue to face formidable challenges in the power sector.

” It is unethical to force Nigerians to pay higher tariffs for non-existent electricity.

“Estimated billing is an extortion and a daylight robbery against Nigerians, ” the duo said.

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Economy

Naira Rebounds, Gains N28.15 Against Dollar Weakly Trading At N1,390.96 

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Naira Rebounds, Gains N28.15 Against Dollar Weakly Trading At N1,390.96 

The Naira on Tuesday closed the month of April on a good footing as it gained N28.15 at the official market, trading at N1,390.96 to the dollar.

Data from the official trading platform of the FMDQ Exchange, a platform that oversees the Nigerian Autonomous Foreign Exchange Market (NAFEM), revealed that the gain represented a 1.98 per cent appreciation for Naira.

The percentage increase is significant when compared to the previous trading date on Monday, April 29.

The local currency experienced about two weeks of steady fall by exchanging at N1,419 to a dollar.

The success story was replicated in the volume of currency traded, as the total daily turnover increased.

The daily turnover stood at 225.36 million dollars on Tuesday up from 147.83 million dollars recorded on Monday.

Meanwhile, at the Investor’s and Exporter’s (I&E) window, the Naira traded between N1,450 and N1,200 against the dollar. 

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