General
Ambode Eyes 3000mw 24-hr Power Generation for Lagos
By Dipo Olowookere
Lagos State Governor, Mr Akinwunmi Ambode on Wednesday said the quest by the country to achieve energy security can no longer be left for the Federal Government to address alone, just as he revealed plans by the State to attain 24-hour power supply through generation of 3000megawatts of electricity by 2022.
Speaking at Lagos House in Ikeja after receiving the report of the Embedded Power Technical Committee constituted by the State Government with representatives from the public and private sector, Governor Ambode said while the Federal Government continues in its efforts to resolve the power crisis, the sustainable solution going forward would be the pulling together of commitment and resources of all stakeholders in the power value chain.
While explaining the rationale behind the embedded power initiative of the State Government, Governor Ambode said the major bane of the power situation in the country has always been with transmission, adding that the initiative was designed to permanently resolve power crisis in the State and by extension in the country.
He said: “The reason why we embarked on this initiative is that we believe strongly that if the power problem is solved in Lagos, it is technically solved in the whole of the country and so because Lagos has more or less tested a solution that works, we can scale this up and also address it on a national scale.
“The problem of power in Nigeria is the problem of transmission and that is the truth. Yes, we have generating companies and we have distributing companies and they say power is in the hands of the private sector but we know technically that that is not totally true.
“We also know that transmission is hundred per cent owned by government but we have tested here in Lagos and we have been able to provide 48 kilowatts of power without transmitting it which means that we generate and then distribute.
“So, if that works for 48 kilowatts, can we put Lagos into clusters and actually use embedded power initiative to drive the business of Lagos? That is what this initiative is all about and I want to thank all the stakeholders for submitting their business template into what government sees as the right step to take so that we can join hands together to say in the next two to five years, we can actually power Lagos and then grow our GDP.”
Governor Ambode said the target of the State Government is to generate up to 3,000MW of power through accelerated deployment of various embedded power plants in strategic locations in the State within three to five years.
Out of the 3000MW, the Governor said 350MW would be delivered by Q1 2018, additional 850MW by Q4 2018, and the balance of 1,800MW not later Q3 2022, while the State Government will support the Power Purchase Agreements (PPAs) to be signed between the Distribution Companies and the embedded power providers, to enhance bankability of the projects.
He said the embedded power will be distributed off-grid within Lagos State through the network of Eko and Ikeja Distribution Companies, while the State Government will support the Distribution Companies in upgrading their distribution infrastructure and installation of smart prepaid meters in the areas where embedded power is deployed.
Other areas of collaboration, according to the Governor, would include support for collection, appropriate legislation and enforcement of power theft laws.
Besides, Governor Ambode said his administration will collaborate with operators of oil blocks in the Lagos area to accelerate the extraction of gas feedstocks for power generation, adding that alternative sources of fuel would be explored to sustain uninterrupted power supply in the medium to long term, including partnerships on investments in gas pipeline infrastructure through the State’s owned oil and gas Corporation – Ibile Oil and Gas.
While recalling the success of the Light Up Lagos Project with installation of over 47,000 poles of street lights, and connection of about 67 communities in the Ibeju Lekki axis to national grid after about six years off grid under the rural electrification project, Governor Ambode said another 32 communities in Badagry which have not had access to electricity for over sixteen years would be connected to the grid within the next 21 days.
Responding on behalf of Distribution Companies (DISCOS), Chairman of Eko Distribution Company, Mr Charles Momoh commended Governor Ambode for the embedded power initiative, saying it was the best thing that has happened to Lagos State in recent times.
He also expressed the confidence of DISCOS in the ability of the Governor to see to the success of the initiative.
Earlier in his remarks, the Commissioner for Energy and Mineral Resources, Mr Wale Oluwo, said he was confident that the implementation of the report holistically would address electricity problem in the state.
General
NMDPRA Denies Restricting Gas Supply to Gencos
By Adedapo Adesanya
The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has denied issuing a directive that gas supply to power generating companies (GenCos) be halted.
In a statement on Wednesday, the authority also denied instructing wholesale gas suppliers to stop further supply of gas to companies due to failure in payment obligations.
The NMDPRA described reports stating that it has directed the stoppage of gas supply to GenCos over N2 trillion debt as “false and completely unfounded”.
“It has absolutely no bearing on the information shared at a recent stakeholders’ engagement held in Lagos between the Authority, the OPTS, IPPG and other stakeholders in the oil and gas industry,” the NMDPRA said.
“The purpose of the engagement was to sensitise stakeholders on the requirements, opportunities and benefits associated with the implementation of the wholesale supply license as provided by sections 142 and 197 of the Petroleum Industry Act (PIA) 2021.
“It was a follow-up to an earlier stakeholder engagement held at the NMDPRA corporate headquarters in Abuja on November 27, 2024.
“The Authority wishes to reassure all our stakeholders and indeed the general public that at no time was the false statement made at that event and anywhere else, and are advised to completely disregard the publication as every effort is being made to ensure that the supply and distribution of natural gas and petroleum products to end users is seamless and unabated as we head into the festive season and indeed all through the coming year 2025.”
Recall that Nigeria’s national grid experienced another collapse on Wednesday, the 11th time in 2024 as Gencos couldn’t generate enough power, compounding issues facing the Nigerian power sector.
This was the first time in over a month as the last time the nation witnessed a nationwide shutdown in electricity supply was on November 7, 2024.
Before then, the country was experiencing an incessant collapse of the grid, which prompted the federal government to set up a team to address the issue.
General
Power Outage in Nigeria as National Grid Collapses
By Aduragbemi Omiyale
Nigeria is currently experience a cut in power supply after the national grid collapsed for the 11th time in 2024.
This is the first time in over a month as the last time the nation witnessed a nationwide shut down in electricity supply was on November 7, 2024.
Before then, the country was experiencing an incessant collapse of the grid, which prompted the federal government to set up a team to address the issue.
However, just when Nigerians were thinking they will not witnessed another national grid collapse in the year, it issue reared its ugly head again.
On Wednesday afternoon, most of the energy distribution companies suffered power outage, prompting them to inform their customers of the situation.
One of the DisCos, Ikeja Electric Plc, in a message to electricity consumers under its franchise area, said, “Please be informed that we experienced a system outage today, December 11, 2024, at about 13:32 hours affecting supply within our network.
“Restoration of supply is ongoing in collaboration with our critical stakeholders. Kindly bear with us.”
Recall that on Tuesday, in a report, Google listed national grid as one of the top trending searches by Nigerians this year.
General
NLNG to Replace Vessels in Move Towards Decarbonisation, Sustainability
By Adedapo Adesanya
The Nigerian LNG Limited (NLNG), which produces Nigeria’s Liquified Natural Gas (LNG) and natural gas liquids (NGLs) for export, is planning to replace all its vessels with modern ships within the next decade.
This was disclosed by Mr Nnamdi Anowi, the General Manager of Production, NLNG, during the World Leaders’ Panel session on Tuesday in Berlin, Germany, as part of the 2024 World LNG Summit and Awards.
Speaking at the event themed “Achieving the Balance Between Energy Security and Decarbonisation,” he said the company which was incorporated in 1989 was making plans to boost its vessels to ensure proper transportation of gas for export.
“We are making significant strides in our shipping operations. Over the next 10 years, we aim to transition from our current steam-powered vessels to modern ships.
“Earlier this year, we took a major step by entering into a long-term chapter of our first modern ship Aktoras, and we are already planning to acquire a second ship next year,” he said.
On the critical issue of net zero emissions, Mr Anowi said that NLNG aspires to achieve net zero emissions by 2040.
According to him, this goal is attainable through implementing a combination of solutions that include operational efficiency, natural sinks/offset projects, carbon capture and storage (CCS), net zero expansion, digital solutions and shipping efficiency.
“Our pathway to net zero aligns with Nigeria’s target of reaching net zero by 2060, while many major players in the industry are aiming for 2050.
“We are actively expanding our initiatives in this area, including several low-carbon projects,” he explained.
Regarding Liquefied Petroleum Gas (LPG), Anowi noted that the company had committed 100 per cent of its LPG production (propane and butane) to the Nigerian market.
He pointed out the urgent need for cleaner energy, citing a report that revealed that not less than 100,000 Nigerians died yearly from smoke inhalation caused by cooking with firewood, predominantly affecting women and children.
“This underscores our commitment to sustainability. It’s important to recognise that about 80 per cent of Africans lack access to cleaner energy.
“When discussing sustainability, we can not overlook the necessity of providing energy to these communities,” he added.
He further elaborated on NLNG’s strategy, stating, “Our objective at Nigeria LNG is to maintain safety, enhance capacity, foster growth, and future-proof our business.
“The recent transformation programme includes a rebranding initiative, evidenced by the unveiling of a new logo and the company’s renewed purpose: providing energy for life’s sustainability.
Mr Anowi also noted that NLNG was working diligently to improve its production capacity from 23 million tons to 30 million tons through its Train 7 Project.
“We are actively engaging with stakeholders and the government to ensure our LNG trains are filled by the end of next year,” he said.
On sustainability, Mr Anowi explained that 75 per cent of NLNG’s emissions result from its operations, with the remaining 25 per cent coming from its shipping activities.
He emphasised the importance of measurement, reduction, avoidance and mitigation strategies in their sustainability efforts.
He said that the company was also exploring CCS opportunities through partnerships with the government and other international oil companies.
“We are in the early stages of CCS implementation, assessing potential reservoirs for this purpose,” he said.
In terms of renewable energy, Anowi said that NLNG was investigating solar power projects at its offices in Abuja and Port Harcourt as part of its broader sustainability initiatives.
“We are committed to abatement efforts and are collaborating with experienced private companies to explore carbon credit opportunities.
“We must balance sustainability with affordability and reliability in energy supply.
“The African region must progress at its own pace, prioritising immediate energy needs before addressing long-term sustainability goals,” he explained.
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