NBET has robust strategies to raise power generation, efficient electricity market – MD

The Managing Director (MD) of the Nigerian Bulk Electricity Trading Company (NBET), Dr Nnaemeka Ewelukwa, has said the agency has robust strategies in place to increase power generation while optimising the electricity market.

Dr Ewelukwa stated this in a presentation at a workshop for media and civil society members in Lagos, saying part of the strategies was the continuous engagements the agency had with the Nigerian Electricity Regulatory Commission (NERC) to develop a framework that targeted raising electricity generation and which would also reduce the risks that came with having more active Power Purchase Agreements (PPA).

• NIGERIA DAILY: How Nigerian Politics Will Be Shaken By ‘The Third Force’
• Nigeria needs professionals in fishery technology – Provost

He said, “We are working with NERC to track those things that need to happen in order to increase capacity availability from the existing power plants, and that includes looking at the issue of: do they have fund for gas supply agreements? If they don’t have, how will they have fund for gas supply agreements?”

At the workshop with the theme: “Building Knowledge and Plugging Skills Gap in Power Sector Reporting”, Ewelukwa noted that the agency, which just got a three-year licence renewal, was optimistic that the sector would soon experience tremendous growth base on key steps being taken by the federal government.

On how PPAs of GenCos can become more effective, the NBET helmsman said, “On the issue of PPAs not working, I mentioned that NBET is working with NERC to actually ensure that the Service-Based Tariff (SBT) regime is actually made effective so that when DisCos are being held to account to supply X megawatts to customers, to make sure that the power is coming.

“And so NERC and NBET are working on this to make sure that we provide the framework for making more megawatts available but at the same time mitigating against the risks of having active PPA’s all over the place.”

Part of the reforms, he said, was the Siemens power project that was being aggressively pursued.

He said, “Phase one seeks to achieve stabilise 7,000 megawatts, and that is why I will encourage you to, beyond this meeting, have engagements. But what I can tell you is that the government is committed towards achieving these re-forms as quickly as possible.”