By SUNDAY ABBA, Abuja
The Nigerian Independent System Operator (NISO) has been charged with ramping up electricity generation to over 8,000 mega watts (MWs) in the next one year.
Director General of the Bureau of Public Enterprises (BPE) Ayodeji Ariyo Gbeleyi
gave the charge at the NISO leadership retreat in Abuja, where he also revealed that the federal government had secured a $5 million World Bank loan to upgrade the nation’s power distribution infrastructure in support of the goal.
Our correspondent reports that Gbeleyi charged NISO with revamping of electricity generation to at least 8500 megawatts within the next 12 months.
As Nigeria charts a path towards embedded generation, smart grids and decentralised electricity systems. Stakeholders at this retreat say, ensuring good stability, market transparency and operational independence is crucial.
According to the DG, BPE, while daily wheeling capacity stands at around 5500 megawatts, generation capacity already exceeds 14,000 megawatts, with the real challenge lying in weak transmission and distribution networks.
“In the near term, 12 to 18 months, we can scale up capacity to probably increase that 5500MW by a minimum of 50 per cent because generation capacity is there in the grid. So capacity can be scaled up. Chances are that with the distribution infrastructure also being scaled up, we’re going to focus on three pillars: operational efficiency, financial prudence, and governance,” he noted.
The Nigerian electricity Regulatory Commission, NERC, and other industry players stressed the need for compliance to market rules by the participants, urging NISO to sanction defaulting players in the sector.
Managing Director, NISO Engr Abdu Mohammed Bello expressed confidence in reaching the 8500 megawatt target, pointing to increased investor interest, a stronger private sector engagement.
“We have a lot of resources. Nigeria harnessing these resources are put together, definitely we can do that. At the end of the day, we expect to see real time grid operations. We expect to see modernisation of the grid. Government has awarded new contract for the SCADA system,” he said.
The stakeholders at the engagement meeting with industry players on the future of the grid and it’s stability were optimistic that with the ongoing reforms and investments in the power sector by the federal government, Nigeria will achieve eight thousand mega watts of electricity generation and distribution in the next one year.
They stressed the need for shared commitment, transparency and coordinated efforts across agencies to confront longstanding challenges.
The National grid is said to be relatively stable, and says it is strengthening its operation to sustain the gains.