Ending Incessant Collapse of National Grid

For the umpteenth time, Nigerians were plunged into darkness last week as the national electricity grid collapsed thrice in one week, leaving Nigerians to wonder when the federal government will give power infrastructure the adequate attention it deserves.  Davidson Iriekpenwrites

L

ast Tuesday, Nigeria’s electricity grid collapsed once again, throwing several cities into darkness. Electricity distribution companies (DisCos) in separate statements, announced the shutdown across the country.

The development came after similar collapses on October 14 and 15 respectively, affecting the power supply within its franchise.

This year alone, the national grid has collapsed eight times, plunging millions of homes and businesses into darkness and further exposing the fragility of Nigeria’s power infrastructure.

Since the resuscitation of last Tuesday’s collapse, many residents in parts of Lagos and others of the country were yet to have  power restored in their neighbourhoods before another collapse happened yesterday.

The first time it happened was on February 4. It collapsed again on March 28, April 15, July 6, and August 5.

It would be recalled that the national grid collapsed 98 times under the administration of former President Muhammadu Buhari, despite the over N1.51 trillion intervention fund invested in the sector by the federal government since the administration came on board in 2015.

The inconvenience and economic cost of power failures inflict significant hardship on both domestic and industrial customers, with power outages costing the nation an estimated $1 billion per year. 

The lack of adequate electric power supply has led to the closure of many industries that rely heavily on a consistent power supply. 

Small businesses and heavy machine manufacturers are particularly affected by the abysmal performance of the electricity companies.

The citizens are also affected socially, psychologically, and physically. Overall, the power sector has contributed in no small way to the stagnation of Nigeria’s economy. 

Frequent collapse of the grid raises questions about the government’s ability to address this challenge which has consistently impacted negatively on national economic development.

Although five power stations, Egbin, Delta, Olorunsogo NIPP, Geregu NIPP and Omotosho NIPP, are meant to provide spinning reserves, none of them currently have actual reserves.

The national grid reportedly has a production capacity of 12,000MW, but the GenCos have only been able to produce between 4,000MW and 5,000MW, which is insufficient to cater for the country’s over 200 million population. Experts estimate that Nigeria needs a minimum of 30,000MW to achieve sufficient power supply.

In November 2013, the federal government privatised all power generation and 11 distribution companies, with the government retaining the ownership of the transmission company. This was to improve efficiency in the sector. However, since privatisation, the grid has continued to collapse amid efforts to reposition the power sector.

According to experts, there are currently 23 grid-connected generating plants in operation in the Nigerian Electricity Supply Industry (NESI) with a total installed capacity of 11,165.4 MW and an available capacity of 7,139.6 MW. Most generation is thermal-based, with an installed capacity of 9,044 MW (81% of the total) and an available capacity of 6,079.6 MW (83% of the total). Hydro-power from three major plants accounts for 1,938.4 MW of total installed capacity (and an available capacity of 1,060 MW).

Actual electricity supply has been significantly less than load demand. For instance, in 2014 and 2016, the actual supply lagged behind the power demand by 21,639MW and 23,401MW, respectively, representing about 15% and 17% of power availability.

What is significant about the power sector narrative in Nigeria is that the power from all the 23 generating companies is transmitted by one entity: the Transmission Company of Nigeria (TCN). There is a widespread belief that much of the problem with the Nigerian electricity conundrum has to do with distribution.

It beats the imagination of many analysts on how one company has the responsibility to transmit the power generated by 23 companies. They believe that whoever designed the system must have motives other than national development and energy self-reliance.

Nigeria is one of the most under-powered countries in the world, with actual consumption 80% below expectations based on current population and income levels. This has led Nigerians to create a unique generator economy where countless diesel and petrol generators of varying capacities account for nearly 14GW of electricity used in the country.

Compared to other African countries, South Africa, with a population of 59.39 million, generates a staggering 58,095 MW, while Egypt, with a population of 109 million, produces over 59,000 MW. Nigeria’s power generation falls far short of its potential, hindering economic growth and development.

Since power affects every aspect of Nigerian life, from economic growth to the daily lives of citizens and business owners, the government’s commitment to addressing this issue is crucial, and it must be accompanied by concrete action and a sustained effort to bring stability to the national grid. Nigerians deserve a reliable and consistent power supply to unlock the nation’s full potential and improve the quality of life for all its citizens.

Experts have posited that to solve the power crisis in Nigeria, a holistic approach, which includes a significant investment in power generation, transmission, and distribution infrastructure, is required. They added that the government must prioritise the rehabilitation and expansion of the power grid to ensure it can meet the growing electricity demand.

They suggested that there must be transparency in the management of funds allocated to the power sector and the need to eliminate corruption at all levels to ensure that resources are used efficiently.

Experts also advocate for Nigeria to explore alternative energy sources, such as renewable energy, to reduce dependence on fossil fuels and create a more sustainable energy mix. Encouraging private sector participation in the power sector can bring in the expertise and investment needed for its revitalization. Pointedly, the government should provide a clear update on the status of the Siemens deal, addressing any delays or challenges, and ensuring its successful execution.

It is impossible to discuss Nigeria’s power problems without mentioning the Siemens deal, a project that held promise for improving the country’s power infrastructure. The Siemens deal, which President Bola Tinubu and German Chancellor Olaf Scholz signed late last year in Dubai, United Arab Emirates, and aimed at expediting the implementation of the Presidential Power Initiative (PPI) to improve electricity supply in Nigeria, was seen as a potential game-changer. However, questions linger about the status and progress of this initiative. Nigerians are rightfully asking what happened to this much-anticipated solution.

In June 2023, President Tinubu assented to the electricity bill, which empowers states, companies and individuals to generate, transmit, and distribute electricity. One year later, the effect of the law has not been felt in the power sector.

The current Minister of Power, Adebayo Adelabu, has set an ambitious goal of increasing the national grid’s capacity to 20,000 MW in the next three years. This is a laudable objective, given that the sector’s greatest challenges are reliability and ensuring universal access to power, especially for underserved communities.

 However, achieving this goal will require a comprehensive and sustained effort, as well as addressing the root causes of the power crisis.

There must be a concerted political effort directed at solving Nigeria’s power problem. Smaller, localised grids dedicated to specific areas could provide a solution. If individual states cannot generate sufficient electricity, the country’s existing geopolitical zones could be used to create transmission grids tailored to each zone. This approach could reduce reliance on a central grid that frequently collapses and causes widespread energy distress.

For now, the government’s commitment to addressing this issue is crucial, and it must be accompanied by concrete action and a sustained effort to bring stability to the national grid. Nigerians deserve a reliable and consistent power supply to unlock the nation’s full potential and improve the quality of life for all its citizens.

Responding to the incessant collapse of the grid, presidential candidate of the Labour Party in the 2023 election, Mr. Peter Obi, voiced a sharp criticism of the government’s failure to address the country’s persistent power crisis.

According to a statement revealed on his official X page, Obi described the grid collapse as a “national shame,” condemning the repeated disruption of electricity supply and the failure of leadership to provide sustainable solutions.

“This recurring disaster is a glaring testament to the failure of leadership and policy implementation at the highest levels,” Obi said, reflecting the frustrations of millions of Nigerians who are accustomed to living without reliable electricity.

Obi warned that such instability has profound socio-economic consequences, hindering productivity and stifling the growth of small and medium enterprises (SMEs)—the backbone of the country’s job creation efforts and GDP growth.