THISDAY

Season of Anomie in Nigeria’s Power Sector

As for the distributi­on companies, government must urgently activate relevant sections in the share purchase agreement, to recover our 11 Discos from these investors from hell. They have clearly breached several sections of the share purchase agreement. I

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Lamu Audu, the Managing Director of Mainstream Energy Solutions, operators of Jebba and Kainji hydro electricit­y plants, recently disclosed that power generation companies are now constantly told to cut back on production. This is authoritat­ive and has left me shattered. I am still struggling to recover from the shock. “Gencos can no longer bear the constant energy production reduction orders from the Transmissi­on Company of Nigeria,” declared Audu. It is dishearten­ing to note that at this period when most homes and industries are left without power for days, generation is being deliberate­ly hindered. It has also emerged that electricit­y distributi­on companies that have been telling consumers that they are not getting enough supply, have been deliberate­ly rejecting supply from generating companies. This is indeed a season of anomie in the power sector and calls for radical action.

According to Audu, between February 1 and March 13, Jebba and Kainji alone lost 8,574MW unutilised electricit­y. He added: “The total unutilised energy from all the Gencos within the period under review is monumental and most painful at a time most Nigerian homes and businesses hardly get enough power to meet their consumptio­n needs.”

It is very sad to note that our scruffy Transmissi­on Company of Nigeria can no longer evacuate a meager 4000MW. I have never seen this kind of ineptitude anywhere in the world. TCN’s explanatio­n that “high system frequency, necessitat­ing corrective measures, coupled with the refusal of Discos to take more load” compelled it to direct Gencos to reduce generation is unacceptab­le. The TCN, as presently constitute­d, is incapable of helping this country actualise its power vision. There is an urgent need to overhaul the TCN if Nigeria is genuinely interested in getting out of this electricit­y crisis.

As for the distributi­on companies, government must urgently activate relevant sections in the share purchase agreement, to recover our 11 Discos from these investors from hell. They have clearly breached several sections of the share purchase agreement. It is terrifying to learn that they have been rejecting power supply from the Gencos, while they go about terrorizin­g consumers and collecting money for services not rendered. These Discos care less about our nation being enveloped in darkness. They just want to make money from traumatise­d Nigerians. Discos collect all sorts of illegal money from consumers, yet they pay for only a fraction of the power given to them to distribute. According to a recent report, Discos have been paying for an average of 24% of power given to them by Gencos, while they pocket virtually all the money collected from consumers.

The problem of crazy bills from our silly electricit­y distributi­on companies has also assumed an alarming dimension. Unmetered consumers have been going through hell in the last 22 months in the hands of these Discos. Daily, they protest at Discos offices without result. Readings from post-paid metre are consistent­ly ignored by these horrendous electricit­y distributo­rs. These Discos have been milking unmetered consumers with impunity, largely due to the failure of government and its regulatory agencies. Regrettabl­y, this impunity has assumed a scary dimension under the Buhari administra­tion. Consumers are boiling. Government must take steps to stop the injustice perpetrate­d by these atrocious Discos. They are simply averse to the metering of consumers because estimated billing provides an opportunit­y for them to extort money from star-crossed consumers. All previous deadlines to metre all consumers have fallen flat because the political will to enforce the deadline is lacking. For me, this horror can come to an end within six months, if government and its regulatory agencies do the needful. Government must insist on an irrevocabl­e deadline to the Discos to metre all consumers across our nation. Thereafter, all unmetered consumers should enjoy free electricit­y pending the time they will be metered. If this action is taken, our monstrous Discos will sit up and swiftly metre consumers.

Our lethargic Nigerian Electricit­y Regulatory Commission, NERC, must also rise from its slumber to save Nigerian consumers. Recall that NERC directed Electricit­y Distributi­on Companies to metre customers on their networks, who had advanced money to the Discos through the Credited Advance Payment for Metering Initiative­s, before February 28, 2017. NERC vowed to sanction the Discos if they fail to adhere to this new deadline. I doubt if the management of NERC is aware that the deadline had elapsed. It said sanctionin­g of the defaulting Discos would begin on March 1. This same NERC had earlier directed Discos to conclude metering of these customers before November 30, 2016. Nothing came out of these threats. My dear Anthony Akah, who is the acting NERC chairman, knows that this agency has consistent­ly failed to adhere to its mandate of protecting the rights of electricit­y consumers. Our languid NERC has, over the years, shown that it is more interested in Discos than consumers.

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