Energy and Power
FG Extends Suspension of New Electricity Tariff by One Week
The Federal Government has extended the suspension of the new electricity tariff by one week.
Prof. James Momoh, Chairman, Nigeria Electricity Regulatory Commission (NERC) said this when the ad hoc Technical Committee on Electricity Tariff submitted its interim report at a reconvene bilateral meeting between Federal Government and Organised Labour on Monday in Abuja.
The new tariff was earlier suspended for two weeks and ended at midnight on Oct.
11, when the organised labour suspended the planned industrial action over agitation on the hike in electricity tariff on Sept. 28.,It would also be recalled that the the committee which was Chaired by Mr Festus Keyamo, Minister of State for Labour is to examine the justifications for the new policy in view of the need for the validation of the basis for the new cost reflective tariff.
It was also agreed that while the committee carries the justification that electricity tariff should be reduced for two weeks.
Momoh while speaking, said the one week extension new tariff said was to enable the committee to review and work out modalities for the implementation of the agreement reached on the electricity tariffs structure.
Sen. Chris Ngige, Minister of Labour and Employment, while reading a resolution reached between the Federal Government, Organised Labour and the Ad Hoc Technical Committee on Electricity Tariff said that adoption of the work plan for effecting the resolutions has been reached.
Ngige said the resolutions adopted would be implemented by all stakeholders within the week by Sunday, Oct. 18.
According to him, the following amendments to the resolutions were adopted include, phase one immediate reliefs.
“Using of the Nigerian Electricity Supply Industry (NESI) VAT proceeds to provide relief in electricity tariff. This is to leverage on the VAT from the NESI, the increases experienced by customers due to the transition to the Service Based Tariff will be reduced.
“That is Band A – 10 per cert reduction, Band B – 10.5 per cert reduction and Band C – 31 reduction,” he said.
He said on the acceleration of National Mass Metering Programme (NMMP).
It was adopted that for the distribution of the first one million meters, the Ministry of Power was to liaise with Central Bank of Nigeria(CBN), Nigerian Electricity Regulatory Commission (NERC) and Nigerian Electricity Management Services Agency (NEMSA).
He added that they are to start work by Oct. 12, to accelerate the roll out of meters with a target of December 2020.
The minister, therefore said that the meeting agreed that it would work towards bridging the metering gap.
“The Federal Government committed to provide six million meters and NERC is expected to compel the DISCOs to meet the metering needs of the customers,”he said.
Ngige also said on the resolution adopted for the Local procurement for Meters for National Mass Metering Programme (NMMP) that organised Labour would to work with government to improve and ramp up local production capacity.
He also said that the resolution adpoted on salary protection for electricity workers was that NERC should ensure that the personnel costs of electricity workers should be placed on first-line charge on the Primary Collection Account.
He added that the process would commence from Monday , Oct. 12.
“On the issue of mandatory refund for any over billing during system transition by the DISCOs that NERC should implement immediately within October.
‘While on the freezing of customer band migration during the interim period that the revised NERC order will include specific guidelines on freezing band migration, ” he said.
Ngige also noted that the resolutions adopted for Phase two for the extensive review of key sector reforms include that the ad hoc committee would work from Oct. 12 to Dec. 12, to ensure that all outstanding issues are resolved and implemented.
He also said the resolution adopted on gas pricing was that the Group Managing Director was co-opted into the Technical Committee to assist with the purpose.
He added that on resource capacity, the Managing Director, NEMSA is also co-opted into the Technical Committee to work with NERC on the metering assignments.(NAN)
From Dan Amasingha, Minna
In a major bid to bolster renewable energy infrastructure in North-Central Nigeria, News Engineering Nigeria Limited, in partnership with India-based Mahashakti Energy, has formally declared interest in executing Niger State’s proposed 100-megawatt (MW) solar power project.
The multi-million-dollar clean energy initiative is slated to be funded by the Islamic Development Bank (IsDB).
The Managing Director and Chief Executive Officer of News Engineering, Lady Josephine Nwaeze, disclosed this during a strategic visit to Governor Mohammed Umaru Bago at the Niger State Liaison Office in Abuja.
Leading a joint delegation of both firms, Lady Nwaeze noted that the visit was designed to present the consortium’s technical capability, track record, and readiness to deliver the project in line with international best practices.
She praised the Bago-led administration for improving security and creating an enabling environment for private sector-driven development.
Presenting the consortium’s technical profile, Business Development Manager at News Engineering, Engr. Henry Akoji, highlighted the firm’s extensive footprint in Nigeria’s power sector. He revealed that News Engineering has successfully executed over 1,000 electrical installation projects nationwide, spanning high-voltage transmission lines, power distribution networks, and rural electrification infrastructure.
”Our renewable energy division has deployed over 100 solar mini-grid projects and distributed approximately 5,000 solar home systems across the country,” Akoji stated.
He emphasized the company’s end-to-end expertise in substation design, transmission line upgrades, project management, and technical capacity building.
Adding a global perspective, the Director of Mahashakti Energy, Ashok Kansal, highlighted his firm’s specialization in power loss reduction and sustainable grid management. Kansal pointed to successful interventions in India, where Mahashakti reduced aggregate technical and commercial (ATC) losses by 30 to 40 percent.
He assured the governor that the partnership would leverage cutting-edge technology in solar evacuation and distribution infrastructure to minimize energy losses and guarantee a stable power supply across Niger State.
Responding to the proposal, Governor Bago commended both entities for their presentation and demonstrated capacity. However, he emphasized that the state government would conduct rigorous due diligence and technical audits on their past projects before finalizing any contractual agreement.
The proposed 100MW solar initiative forms a cornerstone of Niger State’s broader strategy to bridge its energy deficit, drive industrialization, and expand electricity access.
The state government is expected to complete its technical evaluation before announcing a preferred partner for the Is isDB-backed project.
From Mike Tayese, Yenogoa
Governor of Bayelsa State, Senator Douye Diri, has sued for patience on the ongoing installation of the state’s independent power project.
The 60-megawatt gas turbine project, which installation commenced in October this year, was earlier scheduled to be completed by December but suffered some logistical delay.
He called on people of the state to have an open mind about the project, which he said now requires a new completion date due to unforeseen challenges.
Diri, who undertook an on-the-spot-assessment of the project at Elebele in Ogbia Local Government Area on Wednesday, said like other Bayelsans, he was also disappointed that the December completion deadline could not be met.
He, however, stated that his reaction to the delay had been that of understanding rather than being angry as had been noticed, particularly on the social media.
”You can see I have gone round the whole facility. It was based on the working agreement and information available at my disposal that I gave the December date. But as it is with every human endeavor, we must all have an open mind, when it comes to issues, particularly technical matters like this.
”I am as disappointed as any other Bayelsan because I believed that we were going to celebrate the 2025 Christmas with our own independent power, but it turned out not to be so.
”I call on Bayelsans to have an open mind. These technical experts are working virtually 24 hours, but delays like this will certainly come” he stated.
The state’s helmsman implored the people to appreciate the work of the engineers, stressing that a minor mistake was capable of jeopardising the millions of dollars expended on the project.
”For 29 years Bayelsa has been in darkness or has endured epileptic power supply. Now that we are getting close to the day of liberation, some people have become impatient. Let us not behave like the proverbial tortoise in the prison for years that asked to be released immediately as the place was smelling the moment he knew it would regain freedom the next day.”
Governor Diri gave a thumps up to the technical partners, Jampur Group, and its team on ground as well as the Managing Director of the Bayelsa Electricity Company Limited, Engr. Olice Kemenanabo, saying they were working round the clock to ensure the job was completed.
”Those who have been following me on this inspection would know that work has not stopped even for one day since it started. I am sure the job is more than 90 per cent complete. So let us hold our fire.
“Engineer Olice, I am not putting you under any pressure. From the reports I have, Olice is one of the best electrical engineers in Nigeria.”
The governor, however, hinted that the government was looking at inaugurating the project during its sixth anniversary in February.
The MD of the Bayelsa Electricity Company Limited, Kemenanabo, who also spoke, said the state was on the right track towards actualising the project and assured that the alignment of the entire system, including the gas generator and alternator were on course.
He also stated that the remaining two turbines would be delivered to the project site in a few days.
Speaking on behalf of the Jampur Group, Mr. Sherrif Abu-Anif said the company was in good position to meet its own end of the bargain and appreciated the state government for playing its part very well.
By Eze Okechukwu, Abuja
The Minister of Finance and Coordinating Minister for the Economy, Wale Edun yesterday declared that liquidity was the major hindrance required by the troubled power sector to achieve the desired result of producing steady Power in Nigeria.
This is as the Managing Director of Niger Delta Power Holding Company (NDPHC) Chiedu Ugbo informed the Senate Committee on Power in Abuja yesterday that the Calabar Power Generation Company under its ownership was the best performing power plant in the country.
In his submission to the Committee investigating the controversial Make up Gas (MUG) Reprocessing Deal Involving the Ministry of Finance, NDPHC, Calabar Generation Company Limited and ACUGAS Limited, the Minister of Finance pointed out that the need for liquidity into the Power Sector remained the key to unlocking it.
The Minister who made the submission through his Special Assistant, Mallam Dahiru Moyi said the agreements on Gas supply between NPDHC and ACUGAS Limited was inherited by former President Muhammadu Buhari in 2015, following after the agreement was signed in 2011 during President Goodluck Jonathan’s administration.
According to him, “just as the Ministry of Justice was not aware of the contract agreement, the Ministry of Finance was also not part of it from the beginning but since government is a continuum, the Ministry of Finance later came into it for the purpose of facilitating the required liquidity.
“The issues on ground about contracts agreements being investigated by the Senate Committee on Power is not about restructuring but providing the required liquidity which the Ministry of Finance is doing through collaboration with the Nigerian Liquified Natural Gas (NLNG).
“Since NLNG pays Gas in Dollars, the Ministry is collaborating with it for a practical solution of bringing liquidity into the age long contract agreement through Deed of Transfer.
“Make Up Gas (MUG) belongs to Calabar, Calabar belongs to NDPHC and NDPHC belongs to Federal and State governments with the Federal Government having 52.68%”, he said.
In his own submission before the Committee, the Managing Director of NDPHC, Chiedu Ugbo said the company as a result of the Gas supply agreement with ACUGAS Limited was taking Gas from three out of five units and generating power from Calabar plant to the National Grid which according to him was the best power plant in the entire country.
He said NDPHC went out of its way to construct an 80 kilometres gas pipeline for utilization of MUG in Calabar and Alaoji power plants.
He however lamented that problems relating to systemic transition, frequency and voltage issues have not made the firm achieve the desired results.
In his remarks, the Chairman of the Committee, Senator Enyinnaya Abaribe (APGA, Abia South) thanked the stakeholders for giving the Committee clarity on the issue but added that it was still an ongoing investigation.
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