FG assures completion of Egbema power plant, as Imo Govt, NDPHC pledge collaboration

The Federal Government has assured of accelerated completion of Egbema Power Plant in Imo State.

Giving the assurance at the weekend during an inspection visit to the power plant, Minister of  Power, Chief Adebayo Adelabu also commended the State Governor, Hope Uzodinma for his dedication to collaborating with NDPHC in order to complete the critical power infrastructure projects.

Accompanied by the Managing Director, Niger Delta Power Holding Company (NDPHC), Chief ChieduUgbo, the Minister praised President Bola Ahmed Tinubu for signing the 2023 Electricity Act, which allows states to participate in the electricity sector.  

Adelabu also praised Governor Uzodinma for his commitment to working with NDPHC to expedite completion of the Egbema power plant and associated transmission projects, which will improve electricity supply not only in Imo State but also nationwide.

Also speaking during a meeting with the Minister in the Government House, Governor Uzodinma pledged to collaborate with the Niger Delta Power Holding Company (NDPHC) to ensure the completion of the plant in order to improve electricity supply in the State.

The collaboration will ensure the completion of the 378.3 MW Egbema Power Plant, along with the 330/33kV switchyard, the Omoku-Egbema-Owerri-Alaoji 330kV DC transmission lines projects and the Owerri transmission substation expansion project. The projects are at various stages with the power plant at 70 per cent completion stage.

The collaboration between the Imo State Government and NDPHC aims to enhance electricity supply and energize homes and businesses in Imo State through the completion of the Egbema Power Plant and associated transmission infrastructure.

Power Ministry: Adelabu Lists Key Achievements, Developmental Strides as APC Professionals Review Tinubu’s One Year in Office.

conditions suitable for driving investment and improved monitoring and enforcement of service delivery by the Discos with necessary sanctions set in place for erring operators.

The Minister of Power also spoke on the conclusion of $550m Nigeria Electrification Plan which has provided energy access by providing electricity to more households, MSMEs, educational and healthcare facilities in rural communities. Also the government is committed to achieving the Nigeria Energy Transition Plan with the conclusion of the $550m Nigeria Electrification Plan which “has bridged the energy access deficit by providing electricity to over 1.1 million households, MSMEs, educational and healthcare facilities in unserved and underserved rural communities.

KEYNOTE ADDRESS DELIVERED BY THE HONORABLE MINISTER OF POWER, ADEBAYO ADELABU OFR, AT THE POLICY ROUNDTABLE OF THE ASIWAJU SCORE CARD SERIES, ORGANISED BY THE APC PROFFESSIONALS’ FORUM, WITH THE THEME “ENHANCING THE POWER SECTOR FOR ECONOMIC GROWTH” HELD AT THE MUSA YA’ADUA CENTER ABUJA, ON TUESDAY, 15TH MAY, 2024


Distinguished Party Leaders,
Members,
Distinguished Colleagues,

I stand before you today to discuss a topic of utmost importance to me and millions of Nigerians: the revitalization of our nation's electricity sector to power the Renewed Hope Agenda of His Excellency President Bola Ahmed Tinubu GCFR.

2.​It is no secret that a reliable and efficient electricity supply is the bedrock of any thriving economy. Without stable and reliable electricity supply, businesses struggle, education suffers, healthcare service delivery stays sub-optimal, and the full potential of our people and the nation remains unrealized.

3.​Studies have consistently shown a clear correlation between increased power generation and economic growth. Reliable electricity empowers businesses to expand production, attract investment, and create jobs. It fuels vital sectors like agriculture, manufacturing, and information technology, driving diversification and national competitiveness.

4.​For too long, Nigerians have grappled with power outages and an unreliable grid supply. This not only disrupts daily life, but also hinders our nation's progress and impact on the continent and global stage.
5.​However, I stand before you today not with lamentations, but with a Renewed Hope and a vision for a brighter future powered by a robust and sustainable power sector. A Nigeria where factories hum 24/7, innovation flourishes in tech hubs bathed in light, vaccine storage are adequately energized, and every child has the opportunity to learn under the glow of a study lamp. This is the future we are striving for, a future where a steady flow of electricity unlocks a wave of economic prosperity.

6.​President Bola Ahmed Tinubu's administration has wasted no time tackling power sector issues. In just one year, the government have implemented a multi-pronged approach designed to address issues across the Nigeria Electricity Supply Industry value chain and to set the sector on a path to recovery and prosperity. Here are some of the key achievements of the government in the last one year:
• Structural Reform of the Industry through legislations: In June 2023, President Bola Ahmed Tinubu officially signed the 2023 Electricity Act into law, marking a significant milestone in Nigeria’s electricity sector. The new law focuses on enhancing the regulation and management of the electricity value chain with the active participation of the sub-national governments. This has resulted in the process of devolution of regulatory powers to three states – Enugu, Ekiti and Ondo to set up their electricity market.

• Advance effort in the development of a National Electricity Policy and Strategic Implementation Plan to provide a comprehensive framework for the nation's electricity sector which signifies a concerted effort towards addressing longstanding challenges and charting a sustainable path forward in Nigeria's electricity industry.

• Resolution of the sector obligations with Presidential approval to defray legacy debts to gas companies to allow efficient gas supply for the sector going forward and payment mechanism to address Generation Companies debts to ensure necessary maintenance are resolved and evacuation capacity optimization.

• Infrastructure Development with additional 463MW transmission evacuation capacity added to the grid through the ongoing Presidential Power Initiative. This was made possible through the signing of an accelerated performance agreement in Nov 2023 supervised by President Bola Ahmed Tinubu and German Chancellor Olaf Scholz. Additionally, the government has put in place required framework to achieve an injection of 3.5 million meters into the power sector – 1.5 million meters through the World Bank Distribution Support Recovery Program and 2 million meters through the Presidential Metering Initiative.

• Improvement of grid Generation Capacity with the addition of 700MW (with capacity to evacuate 600MW) added to the grid from the newly commissioned Zungeru hydropower plant.

• Transmission segment of the sector has been set on a path of optimal productivity with a regulatory order to unbundle Transmission Company of Nigeria from a single entity to Independent System Operators (System and Market Operator) and Transmission System Provider. This process ensures a drive in the efficiency and transparency of the mid-stream of the Nigeria power sector value chain.

• Distribution segment of the sector have been incentivized to guarantee improved service level for the Band A customers with introduction of cost-reflective tariffs (a key liquidity conditions suitable for driving investment) and improved monitoring and enforcement of service delivery by the Discos with necessary sanctions set in place for erring operators.

• Commitment to achieving the Nigeria Energy Transition Plan with the conclusion of the $550m Nigeria Electrification Plan which has bridged the energy access deficit by providing electricity to over 1.1 million households, MSMEs, educational and healthcare facilities in unserved and underserved rural communities.

• Catalyzing Investment in the Sector with the Nigeria Sovereign Investment Authority launching a US$500 million initiative; Renewables Investment Platform for Limitless Energy (RIPLE) RIPLE, in November 2023 dedicated to the development, investment, and operation of renewable energy projects across the entire value chain. Additional investment catalyzed into the sector with the finalization of World Bank Distributed Access through Renewable Energy Scale-up (DARES) $750 million facility to increase access to electricity for 2.5 million people through deployment of solar home systems and mini grids to households, MSMEs throughout Nigeria, educational and health facilities.

7.​We are beginning to see some progress from the outcome of the reform process and key achievements of the administration in the last one year. However, we will not relent until we have a resilient and efficient electricity sector that meets the needs of all Nigerians.

8.​To achieve this the Ministry of Power under my leadership has been engaging key sector stakeholder, industry experts, development partners and civil society groups on the way forward to achieve a viable and bankable Nigeria Electricity Supply Industry. Some of the key interventions we would be exploring going forward include:

• Introduction of an organic, strategic, suitable, and well-structured capitalization into the sector for sustained recapitalization of the Nigeria Electricity Supply Industry.

• Enforcement of a data-driven decision-making process through proper data centralization and management, capacity building of industry enablers, and active stakeholder engagement for improved universal access, and industry reliability.

• Adoption of further blended finance to catalyze investment in the sector to realize the Nigeria Energy Transition Plan for leveraging a diversified mix of sources especially renewable energy sources to achieve climate resilience, low carbon economy, and Energy Transition.

• Introduction of an integrated and multi-faceted approach to bridging skill gaps in the sector through a comprehensive skills assessment and training needs framework with emphasis on gender equality, innovation and research & development initiatives to improve the sector’s enabling environment.

• Promoting Investment and Public Private Partnerships to source new investment geared towards ensuring Transmission and Distribution Network enhancement coupled with a pricing framework that guarantees RoI for investors to ensure efficient power delivery across the nation.

• Regulatory framework to address outstanding obligations and to prevent future liabilities from crystalizing through enforcement of contract sanctity.

• Active support to the sub-national governments to have a holistic view and implementation approach ahead of declaration of an electricity market and

• Consumer empowerment through improved communication strategies to enhance public knowledge and communication channels between industry stakeholders and consumers to ensure clear and transparent information flow.

9.​The journey ahead will not be without its challenges. However, I believe a reliable and sustainable power sector is the cornerstone of a thriving Nigeria and I am confident that by working together, we can overcome the challenges ahead and achieve our desire for a wholly energized nation.

10.​We call upon the different stakeholders to play their part:
• To the public sector players, we request your unwavering patriotism as you conduct your activities in the sector.

• To the private sector players, we invite you to join us in building a brighter energy future for Nigeria.

• To the civil society and consumer groups, your advocacy and constructive criticism are crucial in holding us accountable and ensuring transparency.

• To the development partners, your technical support is invaluable at this transformative phase of the sector.

• To the Nigerian People, we implore your continued patience, understanding, and cooperation as we implement these reforms. The road may seem gloomy and rough right now, but I assure you all that there’s light at the end of the tunnel where we can all shout UP-NEPA once and for all.

11.​Let us all imagine a nation bathed in light with the vibrant energy of its empowered people, where businesses are flourishing, innovation is soaring, and essential services can reach every corner. That is the vision the President Bola Ahmed Tinubu Administration is working towards, and I call on us all to stand on this mandate of Renewed Hope Prosperity and Posterity.

12.​Long live, All Progressive Congress.
13.​Long live, Federal Republic of Nigeria!

Embracing a Brighter Future: Support President Tinubu and Minister Adelabu's Power Sector Reforms

By Abeegunde Omo Igbaye

As Nigeria continues on its path towards economic growth and development, one crucial sector requires attention and support: the power sector. The current electric tariff, though a subject of debate, is a necessary step towards achieving a stable and efficient power supply in the country.

In this article, I will explore the reasons Nigerians must support President Bola Ahmed Tinubu and the Power Minister, Adebayo Adelabu Penkelemesi, as their reforms in the power sector are poised to yield positive results at the end of the day.

The POWER SECTOR'S PRESENT STATE;

Nigeria's power sector has faced numerous challenges, including policies summersault, sabotage, inadequate generation, weak transmission, and poor distribution. The sector's limitations have resulted in frequent power outages, crippling businesses and households alike. To address these issues, the Nigerian government, under the leadership of President Tinubu, has embarked on an ambitious journey to reform the power sector.

THE CURRENT ELECTRIC TARIFF: A NECESSARY STEP;

The current electric tariff, though initially met with resistance, is a crucial component of the power sector reforms. The tariff aims to reflect the true cost of generating and distributing electricity, ensuring that the sector becomes self-sustaining. This move will attract investors, encourage private sectors participation, and reduce the burden on the government as huge amounts of money was been used to subsidize the power that is not either available or clearly inadequate.

REASONS TO SUPPORT PRESIDENT TINUBU AND MINISTER ADELABU'S REFORMS;

1. *Increased Efficiency*: The reforms will lead to a more efficient power sector, reducing waste and losses. With a stable power supply, businesses will thrive, and households will enjoy uninterrupted electricity.
2. *Investment and Job Creation*: The new tariff and reforms will attract local and foreign investors, creating jobs and stimulating economic growth.
3. *Improved Infrastructure*: The government's commitment to upgrading and expanding power infrastructure will ensure a more reliable and robust power supply.
4. *Reduced Dependence on Fossil Fuels*: The reforms will promote renewable energy sources, reducing Nigeria's dependence on fossil fuels and contributing to a cleaner environment.
5. *Economic Growth*: A stable power supply will boost economic growth, enabling Nigeria to compete with other nations and achieve its development goals.
6. *Social Impact*: Reliable electricity will improve healthcare, education, and overall living standards, positively impacting the lives of millions of Nigerians.
7. *Government Revenue*: The reforms will generate additional revenue for the government, enabling it to fund other critical sectors and projects.

CONCLUSION

President Tinubu and Minister Adelabu's power sector reforms are bold and crucial steps towards a brighter future for Nigeria. The current electric tariff, though initially challenging, is a necessary component of these reforms. Nigerians must support these efforts, recognizing the long-term benefits of a stable, efficient, and sustainable power sector. Together, we can build a stronger, more prosperous Nigeria, where electricity is a fundamental right, not a privilege.

Let us embrace this transformative journey and support the power sector reforms, paving the way for a brighter future for generations to come.

Abeegunde writes from No. 28, New Market Road, Igbaye, Odo-Otin Local Government of Osun State.

PRESS RELEASE

FG INJECTS 625MEGAWATTS TO NATIONAL GRID
• Increases grid capacity to 4800 megawatts

The Federal Government has announced the additional 625 megawatts to the national grid, increasing the grid's wheeling capacity to 4800 megawatts.

This disclosure was made by the Minister of Power, Chief Adebayo Adelabu at the commissioning of the 63 MVA, 132/33kV mobile station at Ajah, Lagos State and 60MWA, 132/33KV Power Transformer in Birnin Kebbi, Kebbi State, simultaneously.

According to the Minister, the pivotal project is a testament to the Renewed Hope Agenda of President Bola Tinubu towards transforming the Power sector in the pursuit of reliable and sustainable energy infrastructure for a better Nigeria.
Adelabu said that the mobile substation being commissioned is a strategic deployment aimed at improving the transmission capacity constraints by over 1300mv across the nation.

On the significance of the project and other equipment undergoing installation under the Presidential Power Initiative (PPI), Adelabu noted that the mobile substations equally stands as a beacon of hope for businesses, household reliant on uninterrupted power supply, stopgap measure during maintenance and emergency.
While commending the collaborative efforts of FGN Power Company, the German Government and Siemens Energy whose partnership has facilitated the production and installation of the substations, the Minister also announced the remote Commissioning of a 60MVA Power Transformer at Birnin Kebbi, Kebbi State.

"Together, these equipment will boost our transmission wheeling capacity by 123mw, thereby paving the way for enhanced electricity Supply for all Nigerians".

Imploring all Nigerians to safeguard these vital installations against acts of vandalization and sabotage, Adelabu reiterated that the success of governments initiatives hinges on collective responsibility.

He called on the management of the FGN Power Company and all stakeholders in the power sector to work with determination to ensure that the timelines set for projects delivery are achieved.

"Together, we embark on a journey towards a brighter future for Nigeria, one powered by innovation, resilience and collective determination", he said.

Earlier in his opening remarks, the Managing Director of FGN Power Company, Kenny Anuwe said, " as Nigeria continues its journey towards energy sufficiency and economic prosperity, initiatives like the PPI underscores President Tinubu's unwavering determination to deliver adequate electricity towards unlocking Nigeria’s full economic potentials.

Anuwe assured of FGN Power Company's commitment in driving progress and delivering tangible improvements in electricity access for all Nigerians in this transformative era in Nigeria's power Sector.

FGN Power was established by the Presidency as a special purpose vehicle (SPV), tasked with implementing the Presidential Power Initiative (PPI) with Siemens serving as the technical partner.

Bolaji Tunji
Special Adviser,
Strategic Communications to HM Power
May 2, 2024.

SPEECH DELIVERED BY THE HONOURABLE MINISTER OF POWER, CHIEF ADEBAYO ADELABUAT THE COMMISSIONING OF 63MVA,132/33KV MOBILE SUBSTATION INSTALLED  UNDER PHASE 1 OF THE PRESIDENTIAL  POWER INITIATIVE (PPI) IN AJAH, TRANSMISSION SUBSTATION,LAGOS STATE
 


Good morning, everyone.
1. It brings me immense pleasure to stand before you today as we gather to celebrate a significant milestone in our nation's pursuit of reliable and sustainable energy infrastructure. We are here to mark the commissioning of a pivotal project - the 63MVA, 132/33KV Mobile Substation, a testament to the renewed hope agenda’scommitment to transforming Nigeria's power landscape.
 
2. This Mobile Substation represents a strategic deployment aimed at improving the transmission capacity constraints by over 1300MW across the nation. Its strategic placement at key sites such as Okene, Amukpe, Potiskum,Apo, Ajah, Birnin Kebbi and others underscores our dedication to enhancing transmission efficiency and reliability nationwide.
 
3. Today, as we inaugurate this 63MVA Mobile Substation in Ajah, Lagos State, we recognize its multifaceted significance. Not only does it serve as a catalyst for capacity enhancement within our transmission network, but it also stands as a beacon of hope for the businesses and households reliant on uninterrupted power supply.
 
4. Furthermore, the versatility of this Mobile Substation cannot be overstated. From addressing major load centers to serving as a stopgap measure during maintenance and emergencies, its flexibility ensures swift responses to fluctuating power demands, thereby contributing to uninterrupted service delivery.
 
 
5. In tandem with this commissioning, I am pleased to announce the remote commissioning of a 60 MVA Power Transformer at Birnin Kebbi, Kebbi State. Together, these equipment’s will boost our transmission wheeling capacity by 123MW, thereby paving the way for enhanced electricity supply for all Nigerians.
 
6. These endeavors signify more than just infrastructural developments; they represent a pivotal step towards revitalizing our power sector and reaffirming our commitment to improving the lives of our citizens. I commend the collaborative efforts of the FGN Power Company, the German government, and Siemens Energy, whose partnership has facilitated the production and installation of these world-class assets.
 
 
7. The Presidential Power Initiative (PPI) embodies our strategic approach to tackling Nigeria's longstanding challenges of unreliable power supply. With an installed power generation capacity of 14GW, it is imperative that we maximize operational capacity to meet the needs of our growing population.
 
8. I am happy with the collaborative efforts between the German Government and the Federal Government of Nigeria under the PPI, which promises to deliver reliable power supply to every corner of our nation. Moving forward, we remain committed to fostering mutually beneficial partnerships that drive productivity and socio-economic growth.
 
9. However, I must emphasize that the success of these initiatives hinges on collective responsibility. I implore all Nigerians to safeguard these vital installations against acts of vandalism and sabotage, recognizing them as essential economic assets crucial to our nation's development.
 
10. As we celebrate the activation of this Mobile Substation, let us not only acknowledge its technological prowess but also reflect on the socio-economic impact for our communities. Enhanced power infrastructure serves as a catalyst for industrial growth, job creation, and improved  standards of living.
 
11. In conclusion, let me extend my gratitude to all stakeholders involved in making this project a reality. Together, we embark on a journey towards a brighter future for Nigeria, one powered by innovation, resilience, and collective determination.
 
12. I therefore call on the Management of the FGN Power Company and all other stakeholders in the power sector to work with extra determination to ensure that the timelines, which we have set for this project is achieved. What we are doing here today is just the start of a long journey, to a destination that will make Nigerians to be proud of all of us.
 
13. Thank you and God Bless the Federal Republic of Nigeria.

Power: Enough of sponsored campaign against Adelabu---- CSO

A Civil Society organisation, Peoples Right Agenda (PRA) has condemned the incessant sponsored attacks on the Minister of Power, Chief Adebayo Adelabu and his effort to make a difference in the Nigeria power sector.

It described the media assaults as sponsored
In a statement made available to newsmen at the weekend, PRA said the attacks were sponsored by different stakeholders who desire the status quo to continue and political detractors who see nothing good in what the administration of President Bola Ahmed Tinubu is doing to make Nigeria a country that we would be proud of.

These sponsored media campaigns have continued to be a major distraction towards ensuring stable electricity in the country in spite of the efforts of the Minister to make a difference in the entire Power sector value chain.

The statement which was signed by PRA's National Coordinator, Tunde Olaoshebikan and Secretary, Isaac Olatona said Nigeria’s Power problem did not start today but with what has been put in place by President Bola Ahmed Tinubu administration in the Renewed Hope Agenda and what the Minister has done so far, Nigeria’s power situation will change.

“Since the day of ECN (Electricity Company of Nigeria), NEPA ( National Electricity Power of Nigeria), PHCN ( Power Holding Company of Nigeria) , Nigeria has had over 40 Ministers of Power, the total megawatts to the National grid has not significantly improved. The highest the country had ever pushed out was around 4000 megawatts except about two years ago when 5800 megawatts was wheeled to the grid, and this was a one-off situation. We cannot continue to do things the same way and expect a different result. Adelabu has come in as a Minister of Power who desires to do things differently and this is what those who do not want the country to enjoy stable electricity are not happy about.

We know the attacks are sponsored because these people want the status quo to continue. Among all the Ministers in the cabinet, he is the only one that those behind these campaigns have singled out for re deployment out of all the Ministers appointed by the president, some of who we barely know existed.

“We know there are cabals in the industry who want it to be business as usual, but they will not succeed , Nigeria will thrive under this administration”.

The Civil Society Organisation also noted that from its findings, the sponsorship of these negative media campaigns against the power sector and by extension the present administration have political undertone.

“Apart from those who are unhappy with the reforms going on in the sector, a lot of political undertones have also been observed that clearly shows the campaign of calumny is sponsored even from within the All Progressives Congress (APC) and some opposition elements in the Minister’s home State of Oyo.

“Some of the reports either make reference to Adelabu’s governorship ambition which has no relevance in today’s situation. The Minister is barely a year in office while President Tinubu’s administration of four years is yet to spend a year of its four-year tenure, so making reference to a governorship ambition at this period is being cheeky and deliberate to portray the Minister in bad light and possibly de -market him before 2027. This should stop in order to enable him concentrate on the job at hand.

We are also aware of the cabals who believe the Ministry of Power is their birth right and wants it back at all cost in order to continue their entrenched negative practices whixh has brought us to this state. The president is too astute to fall for such cheap blackmail. Adelabu’s track record as an achiever speaks for him and the president is aware of this and he has his reasons for putting him in that Ministry”.

We also have questions for those calling for Adelabu’ removal. Has anyone asked if one naira has been paid from the sector debt overhang that Adelabu raised? Has anybody asked If money has been made available to complete the over 120 unfinished projects at the Transmission Company of Nigeria (TCN)? What has been done to the frequent vernalisation of the National Grid by the Security Operatives leading to Grid collapse? Did Adelabu midwife the Privatisation process that gave licenses to weak and financially troubled companies?

What has been done to the inadequate gas supply to the Power Generating companies causing shortfall in generation? Are all these caused by the Minister? Will changing the Minister resolve all these issues overnight?”

Not only that, PRA also noted that in the history of the sector, no Minister has displayed a full understanding of the sectorial issues and profferef workable solutions like Adelabu did. Any one in doubt should go and listen to his interviews and speeches”.

Olaodhebikan and Olatona also revealed that information at their disposal does not indicate there is any cabinet reshuffle for now given the fact that there has not been a single Capital release for any ministry to execute its plan for 2024.

“So, it will be tough to even measure any Minister’s performance, except from policy thrust point of view and not actual implementation”.

Power sector needs complete overhaul to ensure regular electricity supply---- Adelabu
 
Minister of Power, Chief Adebayo Adelabu has commended theNigerian media for its continued support of the Renewed Hope Agenda of President Bola Ahmed Tinubu while alsoemphasizing the Power Sector’s relevance to the activities of every other sector in the country.

The Minister gave the commendation during a press conference to explain the new tariff regime for Band A customer at the weekend. He also gave an overview of the ministry’s activities. Adelabu also appealed to the general public to be open-mindedto the government's activities and policies while assuring the public that the President has a track record of success and will do well during this administration.

Adelabu emphasized that with the removal of subsidies on petrol, the floating of the Naira, and the inflation rate in the country, the government does not want to aggravate the suffering of Nigerians. He further said that the power sector needs an overhaul, and the present administration has taken the bold step to start the journey.  He pleaded for patience and understanding in addressing the root cause of the problems of the Power Sector to provide consumers with the desired service.

The Minister pointed out that Nigeria is in a subsidy regime where the government covers 67 percent of the cost of power production, transmission, and distribution, which consumes more than 10 percent of the National budget. “This is a burden on the country's meagre revenue”.

He emphasized the need for consumer protection and that value for money is critical for consumers, adding that the Ministry is determined to keep its promise to Nigerians on issue of electricity.

Speaking on the recent tariff increase, the Minister said the increase is only for consumers in the Band A category, which is only 15 percent of consumers, while other customers will continue to enjoy the government subsidy.  

According to the Minister, the ministry intends to provide a cost-reflective tariff and gradually migrate other consumers to the band A grade over three years. These consumers will enjoy 20 to 24 hours of electricity per day, and that, realistically, it is cheaper at N225 per kilowatt than diesel and generating sets.

Chief Adelabu said the sector currently needs to be moreattractive to investors. “There is an infrastructure deficit, which includes the availability of gas and the generation, transmission, and distribution of power. These must be addressed for the sector to grow and benefit Nigerians”. He also mentioned that the current metering gap needs to be bridged and that all theissues stated can only be addressed by the generation of funds.

The Minister said the sector had been decentralized and that consumer protection was vital. “Twenty hours must be achieved as promised, and anything else would attract consequences forthe distribution company”, he said.

Adelabu also advised Nigerians to learn energy consumption management while getting value for money spent. “At the same time, the Ministry, on its part, is ramping up generation, such as the renewable energy and the Zungeru projects. The Ministry is also working hard to find creative ways to cut vandalism while installing new lines and injection lines and investing in advocacy to educate consumers”, he said.

Earlier, Minister of Information and National Orientation, AlhajiMohammed Idris, had emphasized the current administration's commitment to bridging the communication gap between the government and the Nigerian people.

He said that the Ministerial Press Briefing is conducted regularly to ensure President Bola Ahmed Tinubu's goal of an accessible and timely flow of information is achieved. He assured the media that the Federal Ministry of Information and National Orientation will continue to provide credible and timely information on government policies.

The Minister also noted the need for the Ministry of Power to brief Nigerians on the recent review of the tariff regime in the power sector due to the citizens' concerns.

Bolaji Tunji
Special Adviser, Strategic Communication and Media Relations to Minister of Power

Question 1:
 
Nigerians are concerned about the country’s power supply. However, some challenges I will mention now might not be within your control since they were inherited. Besides the recent increase in tariffs, Nigerians would like to know the progress of the Memorandum of Understanding (MOU) that Nigeria signed with Germany to enhance the country's power supply. There was a lot of optimism when this agreement was signed.
 
HM Power’s response:

In 2018, the Nigerian government signed a memorandum of understanding with the German government for the presidential power initiatives, also known as the Siemens contracts. The German government agreed to lend Nigeria $2.3 billion and employ Siemens to transform Nigeria's transmission and distribution sector. However, due to COVID-19, significant progress has yet to be made in implementingthese projects. Unfortunately, the late Chief of Staff to the President, Malam Abba Kyari, the foremost champion of the project, passed away. After that, an election occurred, and a new government took over.

Between 2018 and 2023, there were no significant developments concerning the agreements. The project was supposed to proceed in two phases, but the pilot phase only progressed significantly once a new government emerged. In November 2023, during the visit of the German Chancellor to Nigeria, one of the issues discussed was the need to continue with the project. Recently, there was an African Business Summit in Germany, which was attended by the President, and I was privileged to accompany him to the summit. During the summit, we had extensive conversations with our German counterparts regarding a project, and we were both convinced that it would benefit both countries to proceed with a Memorandum of Understanding (MOU). We agreed to sign an acceleration agreement to kick-start the project again.

In December 2023, at COP 28 in Dubai, an affiliation agreement was signed between the federal government, the German government, Siemens Energy, and FGN Power Company Limited. Following this, we commenced the project analysis, and I am pleased to inform you that we are almost through with the project’s pilot phase. The pilot phase involved the offshore importation of ten power transformers and ten mobile substations to be used as a Proof of Concept (POC) for these projects. All these items have arrived in the country.

I can confirm that we have installed and commissioned five out of the ten transformers. I oversaw the installation of these power transformers at various locations across the country. We have also installed three out of ten mobile substations, with seven more to go. Once we finish installing them, we will commission and energize them. At that point, Nigerians will begin to see the impact of this project.
So, we are fully convinced that with the success recorded as the pilot phase of this project, we are moving forward unperturbed on the remaining phases of these projects. The phases include transforming our transmission segment or network by expanding the transmission capacity and strengthening the transmission to avoid the current fragility that leads to persistent grid collapse. This will involve upgrading existing power transmission substations—about fourteen of them. It is going to involve the establishment of new transmission substations, about 22 of them. It’s going to involve the installation of new transmission power lines, the reconducting of some lines, and the conduct of some existing power lines, totaling almost 14,000 kilometers as the transmission segments. The same thing applies to the distribution segments, whereby our existing injection substations will be enhanced in the distribution companies (DISCOS). There will be replacements and upgrades of 33KV and 11KV transformers, numbering about 6000 transformers.We will also reconduct and install new lines, totaling almost 22,000 kilometers of lines.

So, I believe that once we are done with this first phase of the presidential power initiatives, called Siemens projects, Nigerians will start seeing improvements in the strength of the national grid and the efficiency and effectiveness of the distribution companies. We are on top of it, and President Bola Ahmed Tinubu is exceptionally committed to seeing these projects come to reality.

Question 2 
 
The other issue that continues to bedevil the electricity system is, you know, that Zungeru power plant was commissioned a few weeks ago but needs to be connected to the national grid. How would the government spend a tremendous amount of money to establish that plant if there was no provision to connect it to the national grid? Was it an omission or an oversight?
 
HM Power’s response:

Let me correct this misinformation: the Zungeru hydroelectric power plant is complete, the concession process is complete, the payments by the concessionaire have been made, and the official handing over of this plant has been done to the concessionaire, which is Mainstream Energy Limited, who are the current operators of Kainji and Jabba hydroelectric power plants. The stage we are now in is technical handing over by the Chinese consultants that built the Zungeru hydroelectric power plant to the concessionaire because there is a one-year defect liability where these contractors need to be on the project site to ensure that whatever problem that occurs within one year, they can fix it.

They are working earnestly with the concessionaire and the Ministry of Power, together with the Bureau for Public Enterprise (BPP), to ensure that we conclude the technical handover of the plant. I can tell you that the testing stage started yesterday, that the power generation at the plant started yesterday, and that it would last about one or two weeks, after which total production will start. And I can tell you with good authority that the Zungeru power plant can evacuate power from the national grid. Therefore, it is complete disinformation to say it is not connected to the national grid.

Question 3

Some of the power plants continue to collect money from the federal government. Still, not a single kilowatt of power is taken by Nigerians on what you call "take it or leave it," which is provided for as a clause in the power sales agreement. Why should we allow an electricity-generating company to earn money only because it owns power plants? Whether Nigeria uses or does not use energy from the plants, the federal government is mandated to pay. Why should we allow that?
 
HM Power’s response:

On the take-or-leave-it agreements that the federal government signed with some power plants, there are no power plants that collect money from governments without generating power. Nobody will allow that.

Rest assured, not in President Bola Ahmed Tinubu's transparent administration.

Question 4
 
I'm wondering why it is difficult for the government to be in charge of the generation, distribution, and transmission of energy to protect the masses. It is evident that privatisation still is not working. So, if we keep leaving these in the hands of investors, the masses are at the receiving end. Don't you think the government should, at this point, take charge of generation, distribution, and transmission?
 
HM Power’s response:

We all know the shortcomings of the privatisation process. Indeed, it has yet to achieve all these intended purposes. But I can tell you, to a large extent, that privatisation is the way to go. We carried or implemented it; it may be a problem, but it is not beyond revival. We can take steps to compel private sector operators to perform.

The kind of investor funding required in the power sector is enormous; the government alone cannot provide the funds for investment in generation, transmission, and distribution.
Secondly, the government should refrain from running businesses. So, it was right to privatize some sections of the power sector value chain, and the efficiency and effectiveness depend on the execution of this privatisation, which is what this government is working on. We have to correct all the deficiencies.

The power sector is so unique that every segment is unique. If you pick generation, it is jointly owned; there are three types of ownership. Some power plants are 100% privately owned. Egeregu, Sapele, Azura, and Omotosho power plants are there. Some other sets are owned by the federal government but concessionaired to the private operator; that's our hydropower plants, Kainji, Jebba, Zungeru, Dadin Kowa, and Shiroro, which are owned by the federally run private sector on concession bases.

The third group is government thermal gas plants, which are the ones built under the Nigeria Integrated Power Project (NIPP), and which are all owned by Niger Delta Power Holding Company (NDPHC). They are all government businesses, but let me tell you, if you compare NIPP plants today with any of the privately owned ones, they are better off.

We must look for a solution in the private sector's hands. Still,the Nigeria Electricity Regulatory Commission as regulator will ensure that they not only perform optimally but also have the interests of the masses at heart. That's why the government cannot liberalise the power sector today; we cannot leave it because of the centrality and criticality of the power sector to individual households, businesses, commercial institutions, and industries. So, we will make the best of the dire situation. That's what we are trying to do.

Question 5

You talked about capacity and established the capacity of those in this 15% Band A category. Let me speak from personal experience now. On my streets in Kado Estate, Abuja, most of those who live there are retirees, and this estate falls under this Band-A category. Now, the question is, is it rational to put Kado Estate in the same cadre as the people in the Asokoro and Maitama areas? Let's look at it. I mean, it's a very sensitive issue. I would have expected the federal government to start in those highbrow areas and say, Okay, we are heaping the responsibilities of the gains that Nigerians will benefit from on these people rather than spreading them across. It is just a privilege to be in that place. Not that there's any money there.
 
HM Power’s response:

We have to manage our consumption efficiently; that's efficient power consumption management. So, I implore us to be prudent in consuming electricity. It is no longer cheap for Band A; we implore them to immediately report to NERC if the service is less than 20 hours of electricity.

Adelabu salutes President Tinubu on 72nd birthday

Minister of Power, Chief Adebayo Adelabu, OFR has felicitated with the President/Commander in Chief of the Nigerian Armed Forces, President Bola Ahmed Tinubu on his 72th birthday.

Adelabu who sent his heartfelt congratulations to the president in a goodwill message issued by his spokesman, Bolaji Tunji, described President Bola Ahmed Tinubu as a statesman and political icon the Country needs at this period in its history.

Adelabu recalled the contributions of the President in the democratic journey of the nation. “Having been a major actor in the enthronement of the democracy that the country is enjoying today, the confidence reposed in him with the presidential mandate is well placed”.

The Minister extolled the virtues of President Tinubu as a committed democrat, a visionary leader and lover of Nigeria and Nigerians, irrespective of religion or ethnicity.

“Ever before becoming the president, he had always been known as a detribalised Nigerian and promoter of national unity, cultural preservation and bridge-builder. The mantle of leadership on him is not misplaced”.

Adelabu said with President Tinubu’s administration, Nigeria is on the right path to economic recovery which is aptly encapsulated in the renewed hope agenda of the administration.

"May Almighty God continue to strengthen you in the meritorious service to the people of Nigeria and the African continent and by extension, the whole world.

Adelabu inspects Sokoto IPP, Goronyo Dam...commends Sokoto Government on 38 megawatts power plant
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Minister of Power, Chief Adebayo Adelabu has urged State governments in the country to key into the vision behind the electricity act 2023 signed into law by President Bola Tinubu adding that this is the only way Nigeria can achieve economic growth and ensure development in the country.

The Minister spoke on Thursday during a one-day working visit to Sokoto State, where he visited the recently completed 38 megawatts Independent Power Plant built by the State government and the Goronyo Dam, one of the dams being considered for power generation.

Adelabu said the 2023 Electricity Act has opened up opportunity for sub national governments to invest in the electricity value chain. He expressed happiness on the initiative by the Sokoto State government and promised to ensure the take off of the plant within the shortest possible time.

“I am happy to witness this kind of thing, an independent power plant project funded by the state govt. I am impressed. I am also happy that Sokoto state government is fast queuing keying into the renewed hope agenda of Mr President of giving good life to Nigerian citizens. Good life in all ramification. In education, in health support, in social infrastructure and power. We know power is critical to the performance of any other sector.

For the government of Sokoto state to have taken the pain to cross the hurdle, financial and other wise to fund this kind of investment is commendable and I want to use Sokoto as a point of contact for other State governments.

According to Adelabu, Sokoto is already taking advantage of the Electricity act of 2023 that is allowing sub national governments to invest in the power sector value chain. “Other state governments should emulate Sokoto state. We can have functional, reliable, uninterrupted, affordable electricity supply for every Nigerian citizen, it is possible. And I am happy that Sokoto state government is making our dream a reality. I want to thank the Governor for this investment. It must not fail. I am promising you. We must get the dividends of this investment. It was built with tax payers money. They must enjoy their money. I am pledging that the federal government through the Ministry of power and its agencies will provide every necessary support that is required to take this project to the desired destination. You have done over 95 percent of the work. Whatever is required of us, I am promising and pledging that we will not relent in supporting you to ensure that this project finally takes off and it supplies electricity to the seat of the caliphate, Sokoto State”, the Minister said.

The Minister has therefore invited all parties involved in the project to a meeting in his office to discuss area of concern and the bottle necks delaying the take- off of the plant.
“To ensure it is not all talks, I am using this opportunity to immediately call for an all-party meeting in my office within the next two weeks. The meeting will include the project consultant, Mr Theo Ubani, the Commissioner for Energy, Sokoto State, Honourable Danusi Umar, Director of Distribution, Federal Ministry of Power, Engineer B. U Mustapha Managing Director of the Transmission Company of Nigeria (TCN), Engineer Sule AbdulAziz, Chairman of the Nigeria Electricity Regulatory Commission (NERC) ,Alhaji Sanusi Garba, Managing Director of Nigeria Electricity Management Services Agency (NEMSA), Engineer Tukur Aliyu and management of Kaduna distribution company. These are the people needed to make the project take off. Whatever hurdle that is delaying the take off of the project must be resolved in that day", the Minister said.

Adelabu also commended the State government for not only building the power plant but for also having the ancillary infrastructure in place. “You have the switch yard, strategically placed. You also have a substation close by and there is also the 33KVA lines that are already there”, he said.

The project Consultant had earlier briefed the Minister on the regulatory bottlenecks that have delayed the take off of the projects with the assurance by the Minister that the issues would be resolved.

The Minister of Power, Adebayo Adelabu, has explained how a private company reportedly held on to N32bn paid into its account in 2003 for the supply of three million prepaid metres.

According to a statement by the minister’s Special Adviser, Strategic Communications and Media Relations, Bolaji Tunji, on Wednesday, the Federal Government had entered a tripartite agreement with Messrs Ziklagsis Network Limited and Unistar International in 2003 for the supply of three million meters to distribution companies in the country, within three years.

The statement indicated that to kick start the project, a revolving metering loan of N32bn was released to Messrs Ziklagsis.

“The agreement was not implemented while the fund remained in the bank account of Ziklagsis at the then Prudent Bank from where it moved to Skye Bank, Polaris and lately, Providus Bank,” the statement read.

With the privatisation of distribution, Adelabu said the government proposed the metering of Ministries, Departments and Agencies in order to accurately determine the consumption of these MDAs and also reduce accumulated debts, saying “This was what led to the initiative to metre military formations nationwide.”

While debunking reports that due process was not followed in the mass metering project of military formations, which began last week, Adelabu recalled that the Nigerian Army, worried by its huge electricity debt, wrote a letter to the presidency requesting intervention to pay off the outstanding debt and the metering of their formations.

The statement added, “It was then that Ziklagsis was introduced to the Nigerian Army by the Ministry of Power. It was around this period that the Nigerian Army also introduced De Haryor Global Services to Ziklagsis to enable them to work together.

“In November 2022, discussion began on the project among the parties and an agreement was signed between the Nigerian Army as a client, Messrs Ziklagsis as project supervisor and De Haryor Global Services as a service provider to commence the metering projects in Army barracks at a cost of N12.7billion, under the MDAs metering project. This predates the appointment of Adelabu as Minister of Power. In spite of this, the money was not released to the service provider that had already gone ahead to seek funds for the acquisition of smart metres.

“Concerned about the over eight million metre gap in the country and the liquidity squeeze in the Nigeria Electricity Supply Industry, the minister wondered how money meant for a national project could be held up untouched for over 20 years by an individual.

“He, therefore, mounted pressure and escalated the matter to the presidency for the retrieval of the revolving fund from Messrs Ziklagsis plus accrued interest to date. This was duly approved by the President. Upon the President’s approval, N12.7 billion was therefore to be released in tranches to De Haryor Global Services to commence installation of already procured smart meters.

“The minister should therefore be commended for his effort in ensuring the recovery of the revolving metre fund which had been untouchable for over 20 years, thus enabling the eventual take-off of the project.”

The Minister of Power, Adebayo Adelabu, has explained how a private company reportedly held on to N32bn paid into its account in 2003 for the supply of three million prepaid metres.

According to a statement by the minister’s Special Adviser, Strategic Communications and Media Relations, Bolaji Tunji, on Wednesday, the Federal Government had entered a tripartite agreement with Messrs Ziklagsis Network Limited and Unistar International in 2003 for the supply of three million meters to distribution companies in the country, within three years.

The statement indicated that to kick start the project, a revolving metering loan of N32bn was released to Messrs Ziklagsis.

“The agreement was not implemented while the fund remained in the bank account of Ziklagsis at the then Prudent Bank from where it moved to Skye Bank, Polaris and lately, Providus Bank,” the statement read.

With the privatisation of distribution, Adelabu said the government proposed the metering of Ministries, Departments and Agencies in order to accurately determine the consumption of these MDAs and also reduce accumulated debts, saying “This was what led to the initiative to metre military formations nationwide.”

While debunking reports that due process was not followed in the mass metering project of military formations, which began last week, Adelabu recalled that the Nigerian Army, worried by its huge electricity debt, wrote a letter to the presidency requesting intervention to pay off the outstanding debt and the metering of their formations.

The statement added, “It was then that Ziklagsis was introduced to the Nigerian Army by the Ministry of Power. It was around this period that the Nigerian Army also introduced De Haryor Global Services to Ziklagsis to enable them to work together.

“In November 2022, discussion began on the project among the parties and an agreement was signed between the Nigerian Army as a client, Messrs Ziklagsis as project supervisor and De Haryor Global Services as a service provider to commence the metering projects in Army barracks at a cost of N12.7billion, under the MDAs metering project. This predates the appointment of Adelabu as Minister of Power. In spite of this, the money was not released to the service provider that had already gone ahead to seek funds for the acquisition of smart metres.

“Concerned about the over eight million metre gap in the country and the liquidity squeeze in the Nigeria Electricity Supply Industry, the minister wondered how money meant for a national project could be held up untouched for over 20 years by an individual.

“He, therefore, mounted pressure and escalated the matter to the presidency for the retrieval of the revolving fund from Messrs Ziklagsis plus accrued interest to date. This was duly approved by the President. Upon the President’s approval, N12.7 billion was therefore to be released in tranches to De Haryor Global Services to commence installation of already procured smart meters.

“The minister should therefore be commended for his effort in ensuring the recovery of the revolving metre fund which had been untouchable for over 20 years, thus enabling the eventual take-off of the project.”

Cindypresh:


This adelabu is clueless🙄

Mr. Adelabu don't you know what you're paid with our tax payers money to do??

Get to work onuku

How can you say he is clueless? What his predecessors could not bring out in 10 years, he did and you call him clueless. Please shut up!