Metering, sanctions for energy theft, others to address power sector hiccups
Encouraging investment in metering, enforcing more sanctions for energy theft, financially strengthening the Nigeria Bulk Electricity Trader, among other incentives, will be the fulcrum to drive the ongoing reforms by the Federal Government in the power sector, Babatunde Fashola, minister of power, works and housing, has assured.
Fashola says polices are already in progress that are taking into consideration investors and Nigerians concern, saying institutional framework is also being established that will provide the needed incentive to grow the sector.
The minister in his opening address at Nextier Power Dialogue, a social media conversation platform on twitter monitored by BusinessDay Wednesday, observes that there is expectation of better contract performance and standard sanction for non-compliance.
In giving a brief history of the Nigeria power sector, Fashola explains that the private initiative is still at inception reiterating that “we don’t even know the extent of the issues, there is a fundamental planning problem. We need incremental power.”
He explains further that Nigeria oil and gas sector has experienced 14 attacks in about two months, acknowledging that while some members of the Niger Delta militants are angry, “anger doesn’t solve issues.
“The Grid is growing every day and more are coming on. That is where we are. We expand, hydropower, gas and we have put back 3,000 – 4,000mw.”
The minister of power observes that there have been debts accumulated from February 2015, saying that projects are in progress around the country Wg Katsina Windmill, Gurara, Kaduna 215mw, etc.
On area the ministry is looking to invest at the moment, the minister says there is opportunity across the whole value chain such as metering, transmission lines, etc, explaining that there are opportunities in expanding the distribution end, transformers, etc.
He emphasises that if Discos have investors with technical capacity interested in improving and expanding, they should present them and adds that “something big” is in the works.