Inability to transmit ready 6,000MW translates to daily loss of N2.568bn—NESI
More facts on why the nation’s power privatization spree by previous administration must be reviewed are still emerging.
Weekend, the Nigerian Electricity Supply Industry Statistics (NESI) analysis revealed that the nation’s inability to utilise 6,000MW represents a daily loss of N2.568 billion to the economy. The report showed that the daily loss could have been used to upgrade infrastructure in the electricity sector, noted for being the biggest debtor to the nation’s banks.
Just as six out of the 10 National Integrated Power Projects (NIPPs), valued at $7.5billion (N2.287trillion) are hampered by lack of gas, the rest valued at N2.348billion were put on hold due to funding challenges.
Data from the Federal Ministry of Power, Works and Housing, the power units that were not able to produce electricity on August 9 included Geregu Nigerian National Integrated Power Project (NIPP) Gas Turbin (GT)22; Omotosho Gas GT2, GT3 and GT4; and Alaoji NIPP GT1 & 4.
Others are Olorunsogo Gas GT5; Egbin ST2; Gbarain GT2; Afam VI GT13 & ST18; Geregu NIPP GT22; Ihovbor GT1 & 2; Olorunsogo NIPP GT1 & 3; Omotosho Gas GT4 & 5; Geregu Gas GT1; Olorunsogo Gas GT2, 4 & 7 and Omotosho NIPP GT2.
Details show that Nigeria, as it stands now lost N1.199 billion for not utilising about 2,498 MW of electricity on July 30th due to transmission and frequency management constraints.With regard to the idle plants, the 270MW capacity AES Barge IPP completed since 2001 is not operational, just as the 726MW Afam IV-V Power Station completed in 1982 and 2002.
Calabar 561MW and the Egbema 338MW plants have been idle for almost five years after completion, as is the case with 225MW-capacity Omoku II. The contract for the 215MW Kaduna power project awarded in 2009 was to be completed within 36 months, but it is experiencing some delay.
Besides, the alternative power projects are not spared as the completion of the 10MW Katsina Wind Plant has been stalled. The N4.4 billion project was awarded to a French company in 2010 and scheduled for completion in 2012, but it is still awaiting completion. Similarly, the 1,000MW Enugu coal plant, the MoU of which was signed in September 2014 between the Ministry of Mines and Steel Development, and HTG-Pacific Energy at the cost of $3.7billion is yet to take off.
Besides, the $4billion Delta State 2,500MW IPP which started since 2015 and was scheduled for completion within 13 months is yet to record significant progress. The 136MW Trans-Amadi plant is not yet feeding the grid. The Phase 1 consists of a 3x12MW Solar Mars Gas Turbines commissioned in 2002, and Phase 2 consists of 4x25MW Nuovo Pignone frame 5 Gas Turbines commissioned in 2009. Two of the Phase 2 turbines were procured in 2004, and the remaining two were purchased in 2005.
Business Hilights correspondent gathered that due to the weaknesses of the transmission network, a number of projects were initiated by the Transmission Company of Nigeria (TCN) to fortify the grid, but are yet to be completed.
Some of the affected schemes include the construction of new Abeokuta-Igboora double transmission line and 132kv double-circuit Tee-off at Igboora-Igangan; construction of 2x60MVA, 132/33kV substation at Odogunyan and construction of 2x60MVA, 132/33kV substation at Auobo. There are also the Ikeja West Ayobo 132kV D/C transmission lines and 2x132kv line bays extension at Ikeja west; and construction of Benin North-Osogbo 330KV DC line with turning in and out to new Akure substation.
There are also others including the construction of Kaduna-Jos 330KV DC line in Plateau and Kaduna states; installation of 1x60MVA & 132/33kv power transformers, auxiliary equipment and devices at GCM transmission substation in Onitsha; and construction of 330KV and the D/C Kaduna Power Plant-Mando Substation Transmission Line.
