Minister of Power, Chief Adebayo Adelabu on Thursday, emphasised the reliability of grid connection as power source rather than captive power plant currently being used by bulk electricity consumers, noting that despite generating a record 5,155 megawatts, it was not being taken up.
The minister spoke at the board retreat of the Nigeria Electricity Liability Management Company (NELMCO), in Lagos.
“Majority of bulk electricity users, such as industries, are off the grid due to lack of trust and confidence in the past. They now have their own captive power plants in their industries which is more expensive,” he lamented.
According to Adelabu, continued use of captive power rather than grid connection is more expensive. “The average cost of producing captive power is about N350 to N400 for those connected to gas lines. For diesel, it’s about N950 while petrol is about N550”, he said in a statement by his spokesman, Bolaji Tunji.
He said efforts would be made to encourage such bulk users to return to the grid. “Once consumers and industries see the trust, the confidence and the stability we are giving, they would be encouraged and reconnect to the grid for cheaper source of power.
“We aim to attain the threshold of a new era in power delivery with a target of 6GW by end of December 2024 in the short term and the federal government is still focused on the vision 30-30-30.
“By 2030, we aim to achieve 30 gigawatts in the medium term, with renewable energy constituting 30 percent and universal access in the long term, it is imperative that we align on the principles guiding our activities and the strategies driving our progress,” he said.
He added that government was currently using a multi-pronged approach to attain these targets for the Nigeria Electricity Supply Industry (NESI).
The minister also mulled the idea of differential tariff for up peak period in order to stimulate demands.
“Having noticed a drop in demand during the off peak period, we plan to stimulate demands by having a different tariff during the off-peak period. These are some of the efforts we are looking at especially with our smart meters,” he said.
He urged the board members to reflect on how to embed corporate governance in driving sustainable growth in the sector.
“As we manage the liabilities of the Nigeria Electricity Supply Industry (NESI), it is imperative that we uphold the highest standards of transparency, accountability, and integrity. Our actions and decisions must always align with the principles that safeguard public interests, ensuring that trust is maintained and strengthened across the board”, he said.
He also enjoined the power sector to embrace environmental, social, and governance (ESG) standards in their actions. “In today’s world, ESG considerations are no longer optional; they are integral to every corporate operation.
NELMCO’s role goes beyond managing financial liabilities – we are also stewards of social and environmental responsibilities. We must incorporate sustainable practices into our strategies, ensuring that our actions contribute to Nigeria’s broader goals of achieving the nation’s climate ambition and fostering social equity. This commitment to ESG will not only enhance our reputation but also ensure long-term value creation for all Nigerian,” he said.
He implored the board to reflect on sustainable ways to address the tariff shortfalls in the industry while boosting the financing power of the sector.
“I believe, tackling the tariff shortfall in the Nigeria Electricity Supply Industry requires innovative and sustainable financing solutions. We must balance efforts at addressing the existing obligations while delivering long-term strategies that pave the way for financially solvency sector through cost-reflective tariffs.
“ We need to focus on ways to help the electricity market stabilize, attract investment, and ensure that every Nigerian has access to reliable and affordable power which will drive the nation’s economic development”.
He also emphasised the need for effective leadership and board agility especially in the electricity industry.
“As leaders, our primary role is to set a strategic course, inspire our teams, and navigate challenges with foresight. We must be proactive and adaptable, ready to pivot in response to disruptions, whether technological, regulatory, or economic. A culture of continuous learning, open communication, and innovation will ensure we remain resilient and not just to survive but to thrive in an ever-changing environment,” he stated.
Emmanuel Addeh
Follow us on:
Elon Musk’s social media platform, X, has named Rachel de Oliveira Conceicao as its legal…
In a surprising turn during the Edo state governorship election, Olumide Akpata, the Labour Party…
The Governor of Ondo state, Mr. Lucky Aiyedatiwa, has vowed to transform the state into…
The Independent National Electoral Commission (INEC) has announced an extension of voting time in areas…
Usher paid tribute to the male role models in his life at the 2024 Black…
The EFCC has arrested three suspects for alleged vote buying during the ongoing Edo governorship…
View Comments
(N.C.S)
GREETINGS!!! AUCTION ITEMS HERE ARE…
1. MOTOR CYCLES
2. BAGS OF RICE
3. ELECTRONIC'S ARE LAPTOPS/TV/PHONE'S ETC
4. BALE OF CLOTHES
5.TRUCKS/VEHICLES.
BELOW ARE SOME OF THE VEHICLES AVAILABLE INCLUDE.
TOYOTA VENZA ₦1.8Million
TOYOTA CAMRY 2.2 ₦800,000
TOYOTA CAMRY 2.4 ₦850,000
Highlander-N1. 6m
TOYOTA YARIS ₦900,000
TOYOTA MATRIX ₦900,000
TOYOTA RAV4 ₦950,000
dyna truck 1.3m
GOLF 3 & 4 N450,000_#550,000
MANY MORE AVAILABLE MODELS
#HONDA
HONDA ACCORD ₦800,000
HONDA EOD ₦850,000
HONDA ODYSSEY ₦800,000
MANY MORE AVAILABLE MODELS
#LEXUS
RX450 ₦950,000---1,800,000 to 3mLEXUS RX300- RX330 - RX350 - RX400 -
LEXUS LX450 - LX470 -LX570 ₦2.300,000 to 3.8m
LEXUS GX460 - GX470 ₦3.500,000
LEXUS RC300 - RC350 ₦1.800,000 to 3m
Benz GLK350 3m
Benz E200 2.670,000
Benz C300 2.8m
BAGS OF RICE AND GALLONS OF OIL AT AFFORDABLE PRICES.
➡PER GALLONS OF OIL =13,500
??👇
#RICE
▪PER BAGS OF RICE ARE:-
➡RISING SUN= N18,500
➡SECIALAFRICA N19, 500
➡TOMATO RICE= N18,000
➡MAMA AFRICA= 17,500
CALL OFFICER Omar HOTLINE'S ON
O8O__6739__9O9O
NOTE: All VEHICLES ENGINES ARE IN GOOD CONDITION, TESTED AND PERFECT. AUCTION IS OPEN FOR EVERYONE AND WE MAKE DELIVERING TO THE 36 STATE AND LOCAL GOVERNMENT