REVEALED: Power sector lost more than N534bn in 2016

The power sector lost more than N534billion of revenue in 2016, the Nigerian Electricity Supply Industry (NESI) has revealed.

Of this figure, the industry lost N1.525 billion on December 24, 2016, alone.

According to NESI, the N534billion amounts to the value of electricity lost on account of the challenges, part of which could have been used to bridge the liquidity gap in the power sector, estimated at N1trillion.

It said the loss was triggered by shortages in gas supply, frequency and line limitations, and water levels management constraints that led to several cases of electricity outage in the country.

Putting the average daily revenue loss at N1.5billion, NESI identified gas constraint as one of the major challenges confronting the electricity sector.

Also, NESI’s operational report for January 3, 2017, showed that the power sector hit a peak generation of 4,959 megawatts, as against 3,321 megawatts recorded on December 2, 2016.

NESI, a subsidiary of the TCN, said that the sector recorded highest system frequency of 51.52Hz and lowest system frequency of 48.85 Hz.

It also said that the highest voltage recorded was 372KV, while lowest voltage recorded on the same day was 300KV.

Already, the key players in the sector are finding it difficult to access more loans from Nigerian banks due to their inability to meet the payment obligations for previous debts.

The situation will also affect the capacity of the power firms to improve on electricity supply to consumers for domestic and industrial uses.

NESI further disclosed that about 12 power stations could not produce electricity during off-peak period under the review.

Statistics from the National Control Centre, Osogbo, showed that Afam IV-V, Geregu Gas, Alaoji National Integrated Power Project (NIPP) and Olorunsogo Gas plants could not produce a single megawatt (MW) on December 25, 2016

Others that could not produce a single megawatt (MW) on the day include Odukpani NIPP, Okpai, Ibom Power, ASCO, AES, Omoku, Rivers NIPP and Gbarain power plants.

Nigeria has installed power output of 11,165MW, of which the 12 plants have a combined capacity of 2,035MW.

Earlier,  the Transmission Company of Nigeria (TCN) had said about 3,959 megawatts of electricity was generated to the 11 distribution companies as the country’s power supply gradually stabilised.

TThe power generation data is obtained from daily forecast on the Nigerian Electricity System Operator (SO) website.

The daily power statistics posted by SO, a section of the TCN, shows that power generation gradually improved during the festive season with a peak generation of 3,959 megawatts from the national grid.

The website shows that the country’s lowest power generation during the same period was 3,366 megawatts.