By Barnabas Augustine
Nigeria's power sector is set to undergo a significant transformation as the Nigerian Electricity Regulatory Commission (NERC) has granted licences to a host of companies to generate electricity. The move is expected to boost energy supply and stimulate economic growth across the nation.
In a major step towards energy independence, Golden Penny Power Limited has secured approval for six gas-fired power plants, with a combined capacity of a substantial 100 megawatts (MW), across Lagos, Oyo, Ogun, and Cross River states.
Telecommunications giant MTN Nigeria has also entered the power generation space, receiving the green light for four captive power plants in Lagos, boasting a total capacity of 15.94 MW.
Other businesses joining the power generation fray include SweetCo Foods Limited, African Steel Mills Nigeria Limited, West African Ceramics Limited, Royal Engineered Stones Limited, and Armilo Plastics Limited. These companies have been authorised to generate electricity exclusively for their own use.
NERC has also shown its commitment to renewable energy by issuing permits and registration certificates for mini-grid projects. Daybreak Power Solutions, TIS Renewable Energy Limited, Auro Nigeria Private Limited, Watts Exchange Limited, Centum Dopemu Energy Services Ltd, and DMD Electric Limited have been granted licences to develop mini-grids in various locations across the country.
In addition to the generation licences, the NERC has certified six companies as Meter Service Providers, including four meter installers and two meter manufacturers. This is a crucial step in ensuring accurate electricity billing and reducing consumer complaints.
The regulator has also issued a raft of new regulations and orders to govern the electricity sector. These include guidelines for eligible customers, multi-year tariff structures for distribution companies, and performance improvement plans for the transmission company.
The NERC's actions signify a proactive approach to addressing Nigeria's power challenges and fostering a more sustainable and efficient energy landscape.