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Why electricity supply worsened — FG

Why electricity supply worsened — FG

The Minister of Power Bayo Adelabu has explained why the country has been experiencing low power supply.

He attributed the main cause of poor power supply to the low supply of gas to generating companies (GenCos).

In a bid to proffer solutions to the lingering power problems, Adelabu held a meeting with electricity generation and distribution companies.

Adelabu, on Friday, said the meeting was to address the ongoing issues of blackouts in Nigeria.

On his verified “X” page, he said: “Yesterday, I had crucial discussions with power Generating companies (GENCOs) and Distribution companies (DISCOs) to address the ongoing issue of blackouts in parts of our country. Power supply during the yuletide improved, but unfortunately, we’ve experienced setbacks in the new year.

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“After investigations, it’s clear that the main cause of poor power supply is the low supply of gas to GENCOs. Visited facilities in Olorunshogo, Ogun State, and Omotosho, Ondo State to understand the challenges firsthand. Resolving the gas supply issue is our top priority.

“During our meeting, we also addressed the indebtedness to GENCOs by Nigeria Bulk Electricity Trading Company (NBET). While acknowledging the sector’s liquidity challenge, we are working on validating the debt and determining a fair resolution.

“I emphasised the importance of GENCOs establishing contractual arrangements with gas suppliers to ensure a steady gas supply. Recognizing concessions may be needed, I assure you that we are committed to working on this to stabilize the power sector.

“To tackle the gas supply and liquidity challenges, I’ve decided to form a committee involving all stakeholders. Together, we will work on recommendations to resolve these issues and ensure a more reliable and consistent power supply for our citizens.

“A plan has also been established to initiate discussions with the Minister of State for Petroleum Resources regarding collaboration and to emphasize to the Ministry the importance of prioritizing Gas to Power.

“Our commitment is unwavering in addressing the challenges affecting power supply. We understand the impact on citizens, and our goal is to swiftly resolve the issues of gas supply, indebtedness, and overall sector stability. Your patience is appreciated as we work collaboratively towards a brighter, more reliable energy future for Nigeria.”

Why electricity supply worsened — FG

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