FG Approves Framework for Addition of 2,000MW to National Grid
The federal government yesterday in Abuja approved a policy framework that will foster the movement of hitherto floating 2,000 megawatts of electricity to the national grid for onward transmission to consumers.
When the policy framework is implemented, Nigeria will for the first time enjoy the distribution of 7,000 megawatts of electricity from the current 5,000 megawatts being transmitted.
Briefing journalists at the end of yesterday’s weekly Federal Executive Council (FEC) meeting in the State House, the Minister of Power, Works and Housing, Mr. Babatunde Fashola, who said the framework would be on 33KV and 11 KV lines of distribution, added that the 2000 megawatts of electricity have been unable to get to the national grid because there are no adequate networks to support the connection of more than 5,000 megawatts to the grid.
According to Fashola, the framework will involve an investment of 40 per cent by the federal government while the distribution companies (Discos) will contribute the balance of 60 per cent.
The minister who also said the investment would be valued under international procurement standard, added that the evolvement of the framework had also become compelling because more megawatts of power to the tune of 1,600 are expected to be generated this year, pointing out that the move would put paid to the attitude of generating power that is not put to use.
“The memorandum from the Ministry of Power, Works and Housing which council approved today was to agree to a framework of investment at the 33KV and 11 KV lines of the distribution network so that the 2,000 megawatts of power which we currently have and is not getting to the grid can get to the grid and get to Nigerians as consumers. The reason it is not getting to the grid is because those networks are not sufficient to support more than 5,000 megawatts at the moment.
“So, what the federal government approved through the council today is an investment
where federal government as 40 per cent shareholder and the Discos as 60 per cent shareholders will be compelled to make an additional investment which they are supposed to have made.
“The process which will involve international trending just for the procurement of the equipment, the lines and all of the accessories that are necessary to build up those networks and they will be valued and when valued under international procurement standard, federal government will put its 40 per cent and ask the Discos to put their 60 per cent and other parties that may be interested will have the opportunity to either come in and improve investment.
“That is the essential framework. It is just to accelerate action to ensure that the 2,000 megawatts that are available now get to the grid and get to the people because more power is coming. We are expecting many more power to complete this year which will add almost 1,600 more megawatts to the production this year.
So, we can’t continue to accumulate power that is produced and doesn’t get to the people. This framework now gives us the authority to start the process of distribution expansion and investment,” Fashola said.
Also briefing, the Minister of State for Aviation, Hadi Sirika, said the council also approved a memorandum for the upgrade of Nigeria’s flight safety laboratory which he said would aid accident investigation.
According to him, the project which would cost N606 million would enhance the capacity of flight decoders to withstand high temperature, disclosing that the earlier tape-based decoder was damaged as a result of high temperature during the Dana Airline crash of June 3, 2012.
“Today, in council, a memo from Ministry of Transportation (Aviation) was taken, considered and approved to upgrade our flight safety laboratory which is what is used in accident investigation or for other essential purposes.
“The laboratory was first established in 2012 but it became obsolete for the reasons being that the laboratory used tape-based flight decoder. In Nigeria, like other places with high temperature that had experienced air crash, like the case of Dana, extreme temperatures got the decoders damaged.
“So, we are upgrading it to something that is permanent and can withstand high temperature based on international requirements. So, council considered and graciously approved and upgraded. The cost is N606 million,” he stated.
In his briefing, the Minister of Water Resources, Suleiman Adamu, said the council also approved a memorandum seeking to replicate and upgrade the water supply scheme in Kazaure, Jigawa State at the cost of N3.78 billion.
According to him, the project which was started in 1997, was the fallout of Gari irrigation project which he said had been abandoned since the Year 2000 and consequently halted water supply to the town.
However, he said with the effort to boost irrigation by the federal government, had made revival of the project compelling.
“Council today approved a memo from my ministry for the replication and upgrading of the water supply scheme in Kazaure, Jigawa State at the cost of N3.78 billion. This project was awarded to CGC Nigeria Limited. The project came about because of the Gari irrigation project which was started in 1997 irrig but was abandoned in 2000. That disrupted the treatment facility that was supplying the town water for 20 years,” Adamu said.