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Uncertainty hits Nigeria’s power sector as Adelabu foot-drags on policy direction

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1 year ago

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Uncertainty hovers around Nigeria’s power sector as operators wait on Minister of Power, Adebayo Adelabu for policy directions two months after his inauguration.

Adebalu, in September, said the Government plans to add 20,000 megawatts of electricity as the country battles with a decade-old 4,500mw capacity.

The target struck stakeholders differently; some believed it was doable, while others perceived it as a political statement.

Meanwhile, DAILY POST gathered that the Minister is yet to come up with a blueprint upon which the additional 20,000 electricity capacity would be championed.

But Adebalu has not failed to assure Nigerians that President Bola Ahmed Tinubu’s Government would provide adequate and reliable electricity.

He gave similar assurances at the ongoing three-day Nigerian Electricity Supply Industry (NESI) Market Participants & Stakeholders Roundtable (NMPSR).

But energy experts say the perennial problems facing Nigeria’s generation, transmission and distribution value chain transcend from elusive political statements to concrete policy documents required to drive the industry.

The electricity distribution companies are battling liquidity issues and low remittance compounded by the metering gap still, the generation companies struggle with poor investment and transmission inadequacies, leading to incessant grid collapses.

For years now, the country has struggled with 4,500-5,000 megawatts of electricity daily for a population of over 200 million people.

The problems of the Nigerian power industry have remained unsolved, becoming a persistent clog in the wheel of progress for Nigeria’s economy.

Amid the prevailing power sector challenges, experts posited that unveiling a succinct policy blueprint in power would serve as a compass for efficiently implementing the Government’s plan.

Speaking in an interview with DAILY POST, Kunle Olubiyo, the President of the Nigerian Consumer Protection Network, insisted that Nigeria’s power sector has failed in all ramifications, hence a need for a thorough review.

According to him, the expiration of the Performance Agreement and Licensee Moratorium on November 1 2023 would avail the Government the opportunity to rejig the sector.

“Government should bring together all critical stakeholders to look at the power sector. The power sector in all ramifications has failed; hence, the review will bring to the table all players,” he said.

Similarly, an energy expert, Joseph Eleojo said the Minister’s planned target has unveiled his lack of understanding of the country’s power sector challenges.

“For the Minister of Power to be talking of adding only 20,000mw smacks of his lack of knowledge of the electricity problems. Is the Minister gunning for a paltry 20,000mw for 200 million people?

“Why wait till 2026 to generate only 20,000mw? It is ridiculous and shows the Minister’s lack of knowledge of the electricity sector.

“The quick fix is to harness the vast resources of sun and water we have across Nigeria to generate electricity. Each local Government should be given direct support and supported by competent consultants and equipment manufacturers in solar and mini-hydro to generate electricity in their local Government areas since the new Electricity Act allows them to generate, transmit and distribute such.

“There are templates for rural electrification that are practicable, realistic and workable in South America, Southeast Asia and other places we can adopt. I pray for the President and his team to realise the importance of electricity quickly in this infancy of his administration.

Also, a former managing Director in Nigeria’s power sector, who preferred anonymity, said there is a need for precise strategies for proper policy implementation.

“Before you make a policy statement, what strategies are in place to achieve the 20,000mw target by 2026? What are the components to drive this target within this period? Is the capacity coming from gas, hydro, or solar, or what is the specific strategy to achieve the said target?

“The Minister must devise how he intends to achieve this; if not, it is a mere political statement”.

“It becomes more surprising that the Minister intends to achieve 20,000mw in three years when the country has been battling with 4,500mw generation capacity for decades.

“There should be a blueprint or roadmap to achieving the said target. Meanwhile, what Nigerians need is an adequate power supply. It is achievable if there are strategies and methods put in place to achieve the target.

“As much as possible, the government should have a concrete plan and strategy to deliver power to the people”, he stated.

 

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Lagos broadcast stations decry union violence, 48-hour shutdown

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20 hours ago

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January 14, 2025

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The management of Lagos State Government-owned broadcast stations has condemned the recent violent actions by striking union members, which disrupted operations and forced the stations off-air for 48 hours.

In a statement issued on Tuesday by the Head of Service, Establishments and Training, Afolabi Ayantayo, it was disclosed that the affected stations—Lagos Television, Radio Lagos/Eko 89.7FM, and Traffic Radio—were attacked on Monday by workers allegedly affiliated with the Nigeria Labour Congress, the Radio, Television, Theatre, and Arts Workers Union, and the Nigeria Union of Journalists.

The statement noted that striking workers reportedly vandalised studio doors, assaulted on-air presenters, switched off transmitters, and severed cables in an attempt to enforce the strike.

“The stations—LTV, Radio Lagos/Eko 89.7FM, and Traffic Radio—were forced off-air for 48 hours by workers who destroyed studio doors and assaulted presenters. They switched off transmitters and severed cables in unprecedented acts of violence, captured on video. Many workers were also whipped for refusing to join the strike, which aimed to pressure the government into placing about 400 workers on the civil service payroll,” the statement read.

Describing the incident as unprecedented, the station managers expressed their disappointment with the unions’ approach.

“Despite the State Government’s open communication channels, the leadership of NLC, RATTAWU, and NUJ chose the path of violence—both in words and actions,” the managers said in the statement.

They further described the strike as not only an attack on the broadcast stations but also a show of disrespect towards state authorities.

“The strike, which the managers have described as an attack and a sign of disrespect for the authorities, has raised doubts about the leadership of the NLC, RATTAWU, and NUJ in Lagos being committed to an amicable resolution of the crisis.”

The statement added that the union leaders have been invited to another meeting scheduled for Wednesday, 15 January 2025, to discuss the issues in dispute.

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CBN Fines Zenith, First Bank, Globus Bank, Others N1.3 Billion For Not Dispensing Cash

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24 hours ago

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January 14, 2025

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The Central Bank of Nigeria (CBN) has fined nine deposit money banks in Nigeria a sum of N150 million each, amounting to N1.350 billion for failing to dispense cash through their Automated Teller Machines (ATMs) during the yuletide season.

According to the apex bank, the sanctioned banks include Fidelity Bank Plc, First Bank Plc, Keystone Bank Plc, Union Bank Plc, Globus Bank Plc, Zenith Bank Plc, United Bank for Africa Plc, and two others.

This is according to a press statement on Tuesday by CBN’s Acting Director of Corporate Communications, Mrs. Hakama Sidi Ali.

The statement read “In a clear message of zero tolerance for cash flow disruptions, the Central Bank of Nigeria (CBN) has sanctioned Deposit Money Banks (DMBs) for failing to make Naira notes available through automated teller machines (ATMs), during the yuletide season.

“Each bank was fined N150 million for non-compliance, in line with the CBN’s cash distribution guidelines, following spot checks on their branches. The enforcement action follows repeated warnings from the CBN to financial institutions to guarantee seamless cash availability, particularly during periods of high demand.

 

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Police uncover two gun manufacturing factories in Benue, arrest suspects

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1 day ago

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January 14, 2025

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Operatives of the Benue State Police Command have uncovered two gun manufacturing factories in Guma and Kwande local government areas of the state.

This was disclosed in a statement released on Tuesday by the state Commissioner of Police, Mr Steve Yabanet.

The CP noted that through credible information about criminals manufacturing arms at Mbaafa, Adikpo, Kwande LGA, detectives were deployed to the areas for investigation.

According to him, on January 11, police stormed a gun factory at Mbaafa and arrested one Friday Aduduakamve and Iorwashima Iornyume, aka AK-35.

The CP said that the operatives searched the factory and recovered nine fabricated pistols and one yet to be completed AK-47 rifle, amongst others.

He said that the team also uncovered another gun manufacturing factory in Daudu, Guma LGA, where more arms were recovered.

“As police detectives began intelligence gathering on criminal activities in Daudu, information was received that one Meme Ihoon, 50 years old, was responsible for all short arms being used by kidnappers, armed robbers, and cultists in Daudu.

“During the investigation, the said suspect was arrested on January 10; six dane guns and three long pipes used for fabricating guns were recovered from his house.

“The suspect confessed to having been producing and selling arms. Investigation is ongoing to arrest other criminals connected with the case,” the police spokesman said.

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