Communique Of Fourth Power Sector Operators Meeting In Calabar

Issued at the end of the 4th monthly meeting of the Honourable Minister of Power, Works and Housing with operators of the Power Sector, Held on April 11, 2016 at Calabar Power Plant, Odukpani, Cross River State. The Permanent Secretary (Power) of the Federal Ministry of Power, Works and Housing, Mr. Louis Edozien chaired the fourth monthly meeting of operators in the electricity industry in furtherance of identifying, discussing and finding practical solutions to issues facing the Nigerian Electricity Supply Industry.

The operators were fully represented at the highest executive management levels, including Managing Directors and CEOs of Generating Companies (GenCos), Distribution Companies (DisCos), and the Transmission Company of Nigeria (TCN), as well as various government agencies such as the Niger Delta Power Holding Company (NDPHC) Nigerian Bulk Electricity Trader (NBET), Gas Aggregating Company of Nigeria (GACN), the Nigerian Electricity Liability Management Company (NELMCO), the Nigerian Electricity Regulatory Commission (NERC) and Nigerian Electricity Management Services Agency (NEMSA) responsible for the regulation and development of the electricity industry.

The meeting deliberated on various issues and agreed as follows:

i. The meeting committed to treating all decisions made as binding. To this end, a unanimous resolution was made regarding strong sanctions against operators who fail to act on decisions agreed at the meetings.

2 ii. The meeting acknowledged the need to improve on the responsiveness and awareness of the Distribution Companies’ (DisCos’) Customer Complaints Units (CCU), to ensure that all complaints from paying customers are acknowledged and resolved swiftly. Resolutions were made to publicize dedicated customer complaints lines in four national newspapers by each DisCo in order to support this objective in the next two weeks.

iii. The meeting reiterated the need for more aggressive rollout of metering for all customers. In this regard, Eko, Kano, Kaduna and Jos DisCos confirmed plans to aggressively deploy recently procured metering starting in May 2016. Abuja DisCo assured the meeting that it plans to meter 100,000 households by the end of the year, and Port Harcourt DisCo intends to install 110,000 by the end of the year.

iv. The Nigerian Electricity Regulatory Commission (NERC) informed the meeting of the activation of the agreement between Paras Energy and Eko DisCo to provide 40MW to the Lagos area, as well asthe agreement between Ikeja and Eko DisCos, with Egbin power plant for dedicated supply totalling 220MW.

v. The meeting resolved that Port Harcourt DisCo and Calabar and Ibom Power Plants can proceed with their bilaterally negotiated agreement to supply currently stranded power, starting with 150MW to 250 MW. Port Harcourt DisCo will invest in infrastructure in Akwa Ibom and Cross River to receive the power and deliver it to customers at the approved tariff.

vi. TCN announced that projects critical to improving power distribution in Aja, Kebbi, Kafanchan, Otukpo, Makurdi, Wudil, Afam, Daura, and Kwanar Dangora are completed or nearing completion.

3 vii. The meeting acknowledged the shortage of gas, limiting power output from power stations connected to the ELPS pipeline, and supported ongoing discussions between the Honourable Minister of Power Works and Housing, and Ministry of Petroleum Resources to facilitate additions in gas supply and the repair of the Forcados Oil Export Line to ameliorate the gas shortage.