There have been recent improvements in power generation across the country. In December alone, an all time transmission peak was achieved, breaking the country’s February 2016 record. The Niger Delta Power Holding Company (NDPHC) which built, operates and maintains the 10 NIPP GenCos and have a combined design capacity of 5,453 megawatts (MW) with 4,774MW installed capacity claims that a significant fraction of the generated power is stranded as a result of poor distribution networks across the country.
Niger Delta Power Holding Company (NDPHC) claims they have in recent times drastically combated the gas constraints that had hindered their operations, but it is now facing the the issue of poor distribution facilities within the network of the 11 Distribution Companies (DisCos). This in-turn has led to inadequate electricity supply to customers in spite of the huge generation capability.
The Managing Director of the NDPHC, Mr Chiedu Ugbo confirmed this when he noted that gas supply to the NIPP GenCos improved due to the N701bn PAG intervention.
“The introduction of the N701bn Payment Assurance Guarantee (PAG) by the federal government since April this year, operators of the NIPP GenCos along with other power stations said they now get up to 80 per cent of their monthly invoices for January 2017 till 2019.”
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The Minister of Power, Works and Housing, Mr Babatunde Fashola earlier confirmed the inability of many GenCos to generate higher electricity because they are now limited by the ability of the DisCos to take more power to customers, and not the issue of gas constraints which had prevailed before May 2017, stating categorically the issue of 2000MW of unused electricity. Fashola said;
“When I visited in 2016, only one turbine was running in each of Geregu I and II plants because of no gas out of six turbines. Today, all the three turbines in each are running because there is now some gas.”
Mr Ugbo who spoke about the new challenge of inadequate distribution networks said the focus of the NDPHC for 2018 is how to deliver more distribution projects and injection substations across cities in Nigeria so that the DisCos will have improved capacity to deliver more electricity to customers.