NNPC engages gas producers to boost supply for GenCos

The Nigerian National Petroleum Corporation (NNPC) says it is working with gas suppliers in order to deepen gas supply for electricity generation companies (GenCos).

Speaking on Monday in Lagos during a facility visit of Egbin power plant, Yusuf Usman, NNPC chief operating officer for gas and power, said the corporation was committed to deepening gas utilisation in the country and supply for gas to power.

“I have listened to all the concerns you raised. An area of concern to me is when you talked about the gas constraints. We are going to support you to make sure that the power supply is steady. We are having a session with gas suppliers in this regard,” Usman said.

“I am aware that works are ongoing in this regard to ensure that all the power we generate is safely evacuated.”

Usman also commended the turnaround of the thermal power station — the biggest in Sub Saharan Africa — post privatisation.

“The visit has been an eye-opener for me. We have seen turbines that have been running for over 40 years. We have seen efforts being made by Egbin management to effect a turnaround at the plant through an overhaul of the entire system,” he added.

“We have also seen the support you have been giving to the youths through employment and capacity development opportunities.”

On his part, Temitope Shonubi, chairman of board of directors, Egbin Power Plc, said the company was planning to add between 1,750 megawatts (MW) and 1,900MW to Nigeria’s power generation pool.

He said the plant had gone through major overhauling, which had helped to increase its generation from the low capacity it had before it was privatised in 2013.

“Egbin has 1,320MW capacity. As at the time we took over, the plant was generating 300MW which is abysmal 22 per cent. As of today, our generation capacity has surged and we are doing 89 percent,” he said.

“We have reached the highest peak of 970MW and we are working hard to ensure sustainability of this feat.

“The 970MW we hit is the highest recorded this year and based on our core value of sustainability, we are working round the clock to make sure that we sustain the gains, which we have made.”

Listing problems being faced by the company to include grid limitation, gas constraints and liquidity, Sonubi added that stakeholders including the NNPC, the Central Bank of Nigeria (CBN), and the Transmission Company of Nigeria (TCN) have been working tirelessly and collaboratively to tackle the issues.