Electricity: Customer Eligibility Policy Yields Result – Fashola
The Customer Eligibility Policy of the Federal Government has started yielding result, with five industrial customers presently buying electricity directly from Generation Companies (GenCos).
The Minister of Power, Works and Housing, Babatunde Fashola made this known on Monday at the 29th stakeholders’ meeting organised by Mainstream Energy Solutions Ltd., in Minna.
The News Agency of Nigeria (NAN) reports that the Customer Eligibility Policy was declared by the minister in 2017 to improve distribution side of electricity and facilitate better power supply to consumers who consumed up to two mws and above.
“From reports reaching me, five industrial customers are now benefitting from the policy and taking their power directly from a GENCO, which incidentally is our host today, messers Mainstream Energy Ltd.
“We also have a list of 26 industrial customers who are seeking to benefit from the policy,’’ Fashola said.
According him , directives have been issued to the Nigeria Electricity Regulatory Commission (NERC) to work out and implement competition transition charges as provided by Law, to safeguard operators from any losses arising from the policy.
“We will continue to monitor the impact of the policy and remain flexible to keep what works and change what does not.
“I urge everybody to remain open-minded, adaptive and responsive.’’
He said the provision of N701 billion payment assurance guaranteed by government was to give comfort to investors in the generation side of the value chain.
This, he said was designed to ensure the payment of power produced by GenCos.
“Since its implementation in 2017, recovery of payments by GenCos has increased from 20 per cent to 80 per cent and power supply capacity has improved from 4,000mw to 7,000mw and there is an appetite by other players to participate.
“Is it perfect, certainly not, do the GenCos like it, I am sure that they will tell that 80 per cent recovery is better for business than 20 per cent recovery, but they would rather have 100 per cent recovery,’’ he said.
The minster, however, said that GenCos must transparently invoice for their output made on generation of power.
“We must harmonise the price of gas for payment under the scheme, where there are differential prices arising from different gas suppliers.
“Therefore, we must work as owners of the policy to nurture and improve on its capabilities.
On Meter Asset Provider (MAP), he said the policy was introduced to address the meter supply gap, relieve the DISCOs of the financial burden of meters.
He said reports reaching him indicated that there was an embracement of the policy, adding that entrepreneurs were showing interest and talking to banks to raise finance.
On energising educational institutions and markets, Fashola said, “these are government-led initiatives based on the rural electrification plan approved by the President in 2016 to provide access to power for rural dwellers and vulnerable members of our society.’’
He said government had proposed to use six small hydro dams that had been abandoned for decades to energise Federal Government owned universities and some markets.
“There are currently 15 markets under contemplation with Ariaria, Sabon Gari and Sura markets in Aba, Kano and Lagos as flagships.
“The six hydro dams are to be concessioned to private operators on Build, Operate, and Transfer (BOT),’’ he said.
Multinational: Benin, Cote D’ivoire, Ghana, Nigeria And Togo And The Economic Community Of West African States (ECOWAS)
Study on the Abidjan – Lagos Corridor Highway Development Project
Notice for Expression of Interest
Recruitment Of A Consultant To Conduct A Corridor Economic & Spatial Development Initiative Scoping And Project Packaging Study For The Abidjan-Lagos Highway Corridor Highway Development Program
The ECOWAS Commission has received Grants from the African Development Fund (ADF) and the European Development Fund (through the African Investment Facility –AfIF) to cover the cost of studies on the Abidjan-Lagos Corridor Highway Development Project, and intends to use part of Grant amount to finance service Consultants Contract for Corridor Economic & Spatial Development Initiative (SDI) Scoping and Project Packaging Study for the Abidjan-Lagos Highway Corridor.
The services under this Contract mainly consist of: (i) defining the corridor’s zone of influence to show direct and indirect beneficiaries (populations, other economic activities, etc.) which the corridor affects and vice versa, using the appropriate technical methodology under the SDI concept; (ii) identifying and analyzing the significant developmental aspects of the various zones along the corridor; (iii) identifying a longlist of economic projects (trade, logistics, industry, etc) within the geographical zone of influence of the Corridor, that are worth developing as part of the multinational highway project to result in a holistic economic development corridor, (iii) data gathering, and scoping (shortlisting) of SDI projects; (iv) developing regulatory and institutional framework for the holistic development of the corridor as an economic development corridor; (v) perform economic and financial analysis of selected projects to determine the nature of investments required for further development and (vi) develop an Abidjan-Lagos corridor economic development investment & marketing plan.
Feasibility and Detailed Engineering Studies are to be conducted per the following lots to cover the entire corridor: (i) Lot 1: Abidjan (Cote d’Ivoire)-Takoradi (Ghana), 295.3 km; (ii) Lot 2: Takoradi-Apimanim (Ghana)-Accra (Ghana)–Akanu/Noepe Border (Ghana), 466 km; and (iii) Lot 3: Akanu (Ghana)-Noepe (Togo)-Lome (Togo)-Agonmey Glozoun (Togo)-Athieme (Benin)-Cotonou (Benin)-Seme-Krake (Benin/Nigeria)-Lagos (Nigeria), 320.06 km. All distances provided are indicative and could be more depending on the eventual confirmation of alignments by Member States.
The overall duration of the Feasibility and Detailed Engineering technical studies is estimated at twenty seven (27) months for each lot and the Corridor Economic and Spatial Development Study shall cover the entire corridor for a period of twelve (12) Months with some interim outputs (impacts from shortlisted projects) that could be taken on board by the feasibility and detailed design Consultants.
The ECOWAS Commission invites Consultants (firms with proven experience in spatial development initiatives, economic corridor development, urban and land use planning, transport infrastructure engineering firms for large-scale infrastructure projects) to submit their candidacy for the services described above. Interested, eligible and qualified consultants must produce information on their ability and experience demonstrating that they are qualified for services of similar nature. The shortlisting criteria shall be: (a) general experience in Economic Corridor Development, urban planning and development services (Studies, Technical Assistance, Project Management,) over the last ten (10) years; (b) specific experience in the field of studies of spatial development and establishment of economic zones along multinational highway corridors during the last ten (10) years; (c) Specific experience in cross-border or multinational land-use planning over the past ten (10) years; (d) availability of key personnel (list, qualification, experiences); (e) logistical and equipment; (f) IT Resources and specialized software, etc. (g) capacity to produce reports and all other relevant documents on the study in English and French.
NB: Each reference will be summarized on a project sheet, and will be considered only if the candidate attaches supporting documents indicating the contact information of the contracting authorities so as to facilitate verification of the information provided: Excerpts of contract (inner cover page and page with the signatures) plus Attestation of good performance.
Consultants may form groups to increase their chances of qualification.
The eligibility criteria, the preparation of shortlist, and the selection procedure shall comply with the African Development Bank’s Procurement Framework for operation funded by the Bank Group as of October 2015 available on the Bank’s website: http://www.afdb.org. The selection procedure will be based on Quality Based Selection Method (QBS), and a shortlist of six (6) firms which present the best profiles shall be drawn up after the expression of interest. Also the firms that are part of an international network are to submit one expression of interest.
Interested consultants can obtain further information at the e-mail addresses mentioned below during working hours: 8:00 a.m. to 12:00 noon (local time) on working days: firstname.lastname@example.org with copy to email@example.com; firstname.lastname@example.org; email@example.com ; firstname.lastname@example.org ; email@example.com
Expressions of interest must be delivered in a written form (one (1) signed original plus four (4) copies) in (person, or by registered mail) to the address below, not later than 14th June, 2018 at 11:00 a.m. (GMT+1), Nigerian Time, and must be clearly marked: “Studies on the Abidjan-Lagos Corridor Highway Development Project/Expression of Interest in Consulting Services for Corridor Economic and Spatial Development Initiatives Study”.
For delivery in person or by registered mail to:
Directorate, General Administration, Procurement Division
First (1st) Floor of the ECOWAS Commission Headquarters,
Plot 101, Yakubu Gowon Crescent,
Asokoro District, Abuja,
Requests for further information or clarification could be sent by e-mail:
Attention : Commissioner General Administration &Conference
Email : firstname.lastname@example.org
with copies to :
The working languages shall be English and French. The Expression of Interest will be submitted in English.
Introductory Remarks By The Director, Planning, Research & Statistics, Federal Ministry Of Power, Works & Housing (Works & Housing Sector), Dr. Famous S. Eseduwo At The 24th National Council Meeting On Works At Birnin-Kebbi, Kebbi State
Let me start by appreciating God all-mighty for making this 24th National Council Meeting on Works, holding here today at the Presidential Lodge Conference Centre, Birnin-Kebbi, Kebbi State, a reality. As the coordinator of the Ministerial Planning/Organizing Committee for this important perennial event, I also joined the Permanent Secretary, Ministry of Works, Kebbi State in welcoming you to this week-long meeting with the theme, “Ensuring Value-For-Money in Nigerian Highways Development”.
I wish to also express our sincere gratitude to his Excellency, Senator Abubakar Atiku Bagudu, the Executive Governor of Kebbi State, the government and good people of Kebbi state, for providing the enabling environment for this year’s National Council Meeting On Works.
I like to also appreciate our Honourable Minister Of Power, Works & Housing, His Excellency, Babatunde Raji Fashola, SAN, the two Honourable Ministers of State, Power, Works & Housing, Hon. Mustapha Baba Shehuri and Surv. Suleiman Hassan Zarma, mnis, as well as the Permanent Secretary, Mohammed Bukar, the directors and staff of the Federal Ministry of Power, Works & Housing (Works & Housing Sector) for their invaluable support in bringing together this meeting.
The Nigerian highways development problems are numerous and road is a common good that requires a going concern of everybody. As man cannot live without food, almost at the same scale, man cannot live without road, comfortably. We use road every day virtually for everything that keeps us going.
This underscores government’s continuous efforts to fix highways within available resources over the years. The rationale for this national council meeting on works, therefore, is to identify the unsettling challenges in the road sub-sector and come up with implementable strategies towards improving highways development in Nigeria within available financial, human and material resources.
Permit me to refresh our memories that the National Council on Works is the highest policy-making and advocacy organ in the Works Sector and as such, the stakeholders converged every year to deliberate on issues concerning road infrastructure. This is exactly why we are gathered here today. Thus, we are expected to kick-start the technical sessions any moment from now through the thematic group discussion methodology. The thematic groups were thought out of the memoranda received and summarized for this meeting. We have carefully broken down this year’s theme, “Ensuring value-for-money in Nigerian Highways Development” into five thematic areas which the chairman of the 1st technical session will announce to us very soon.
The National Council Meeting on Works, of a fact, is an inclusive approach to highways policy formulation, aimed at providing practical solutions to the existing road infrastructure development challenges in our country. This year’s thinking is to be guided by the perspective of “value-for-money”.
Let me on behalf of the planning/organizing committee sincerely apologize for any initial inconveniences you may have encountered on your arrival to Birnin-Kebbi, relating to issues ranging from hotel accommodation to intra-city transportation. Such challenges are often normal when a large number of persons visit a city for a programme. Nonetheless, please bear with us because it was due to circumstances beyond our control.
I want to assure you that all necessary arrangements have been put in place to ensure the success of this year’s council meeting. As we progress with the meeting, some of the preliminary challenges will sort out themselves. The secretariat is available for any possible assistance 24/5.
Please open your folders and flip through the programme to be acquainted with the sessions we intend to have from today to Thursday as well as the memoranda for the thematic group discussions and possible recommendations.
Once again, I welcome you to the thinking platform of this year’s national council meeting on Works which we are expected to deliberate on the summarized memos today and tomorrow towards making recommendations to the meeting of Permanent Secretaries holding on Wednesday.
Thank you and wishing you productive deliberations.
Remarks Of The Honourable Minister Of Power, Works And Housing At The 29th Monthly Power Sector Meeting Hosted By Mainstream Energy (Concessionaires Of Kainji And Jebba Hydro-Power Stations) In Niger
In lieu of our monthly meeting for July 2018, I opted to brief the public about our progress so far in our journey to incremental power towards steady and, finally, uninterrupted supply.
In the process, I highlighted the challenges we have overcome and those we are dealing with, and what needs to be done and who has the responsibility to do so.
Those who know and who genuinely desire to solve problems in this industry do not need to be told that the most pressing challenge of the Sector today lies at the Distribution end.
Amongst the challenges at this sector of the value chain, (and there are problems in Gas, Generation and Transmission), the most urgent are Distribution of available energy to consumers, and there is an unused energy in the region of 2,000 Megawatts in this category.
The other, of course, is the supply of meters to consumers. These two issues of power distribution and supply of meters rank highest in the feedback from the stakeholders in the industry.
In order to address these challenges and find solutions to them, I issued policy guidelines and directives to appropriate institutions for them to act.
It is in this context that I think it is fortuitous that Mainstream is our host today, because my remarks will focus on the review of progress we have made with some of our policies.
I have always insisted that there must be methods to decision making, and this includes evaluation of decisions to see how they have progressed and what needs to be added or modified.
Therefore, we must understand that policies are not an end in themselves . Policies represent an expression of our hopes and aspirations and must be embraced, nursed and nurtured to deliver on all their capacities and possibilities.
In a sense, I liken policies to the human being. At birth, he represents the hopes of parents for tomorrow. Left alone, that infant is helpless, so he is dependent for feeding, clothing and all survival needs until he becomes ambulatory, able to stand, walk, talk, run, and matures into adulthood.
With this analogy in the background, I will address the progress of some of our policies for the benefit of members and the larger public.
A) N701 Billion Payment Assurance Guarantee
This was not in any law. It was a creation of the Buhari Government to give comfort to investors in the Generation side of the value chain that they will be paid for supplying power.
Since its implementation in 2017, recovery of payments by GENCOs has increased from 20% to 80%; and power supply capacity has improved from 4,000MW to 7,000MW and there is an appetite by other players to participate.
Is it perfect? Certainly not.
Do the GENCOs like it? I am sure that they will tell that 80% recovery is better for business than 20% recovery, but they would rather have 100% recovery.
But this is only one side of the coin. The other side of the coin is that GENCOs must transparently invoice for their output and, for example, we must harmonise the price of gas for payment under the scheme, where there are differential prices arising from different Gas suppliers.
Therefore, we must work as the parents and owners of the policy to nurture and improve on its capabilities.
B) Eligible Customer
This was introduced on 15th of May 2017, and the Regulations to govern it were issued by NERC on 1st of November 2017.
The purpose was, amongst others, to improve distribution side of electricity and facilitate better power supply to consumers who consumed up to 2MW and above.
From reports reaching me, 5 (FIVE) industrial customers are now benefitting from the policy and taking their power directly from a GENCO, who incidentally is our host today, Messrs Mainstream Energy Ltd.
We also have a list of 26 (TWENTY-SIX) industrial customers who are seeking to benefit from the policy.
The DISCOs must be interested to know that I have also issued directives to NERC to work out and implement Competition Transition Charges as provided by Law, to safeguard them from any losses.
We will continue to monitor the impact of the policy and remain flexible to keep what works and change what does not; and I urge everybody to remain open-minded, adaptive and responsive.
C) Meter Asset Provider (MAP)
This policy was introduced to address the meter supply gap, relieve the DISCOs of the financial burden of meters, allow entrepreneurs to take up this as a business and diversify the sources of meter supply.
The Regulations and Condition for its operation were issued by NERC on 8th March 2018.
Reports reaching me indicate that there is an embracement of the policy. Entrepreneurs are showing interest and talking to banks to raise finance.
Some DISCOs have signed up to the Government-Supported fund of N37 Billion and we will keep an eye on the progress of the initiative.
Government intervention in this regard is part of its role of enabling to be effective. It does not relieve the DISCOs of their contractual obligation to provide meters.
On the contrary it seeks to help them perform their contract.
D) Energising Educational Institutions and Markets
These are Government-led initiatives based on the Rural Electrification plan approved by the President in 2016 to provide access to power for rural dwellers and vulnerable members of our society.
We proposed to use 6 (SIX) small hydro dams that had been abandoned for decades, Federal Government owned universities and some markets as anchors.
Apart from the Universities, where Government is directly funding the intervention, the markets are being privately funded, contrary to the untrue allegations that have been made in the media, and I challenge those who made the allegation to provide proof to the contrary.
There are currently 15 (FIFTEEN) markets under contemplation with Ariaria, Sabon Gari and Sura markets in Aba, Kano and Lagos as flagships.
The 6 (SIX) hydro dams are to be concessioned to private operators to build, operate, and transfer.
Our thinking is simple. While the whole value chain and power privatization gradually evolves, it is possible to create Oases of success by showing to our children that they can have reliable power while in school.
If that is a reason to get children to school and keep them there, certainly, no good business can oppose this.
Indeed, it seems to me sensible to expect that the future of today’s business and even Government, rests solely on the quality of education that the current generation of students get.
As for the markets, the 37,000 shops in Ariaria, about 13,000 in Sabon Gari, and about 1,000 in Sura represent SMEs, where the majority of our people earn a living.
They are currently paying for expensive power from small and environmentally unfriendly generators.
It seems to me that our nation will have come to their aid if we deliver reliable power to the most vulnerable like them.
Ladies and Gentlemen, this is my update about the progress of our policies and the rationale behind them.
I welcome you to this meeting and wish us fruitful deliberations.
Babatunde Raji Fashola, SAN
Honourable Minister of Power, Works and Housing
Monday 13th August 2018
MEMBERS OF THE HIGH TABLE AND OTHER DELEGATES AT THE PERMANENT SECRETARYS MEETING DURING THE 24TH NATIONAL COUNCIL ON WORKS
Members Of The High Table And Other Delegates At The Permanent Secretarys Meeting During The 24th National Council On Works With Theme Ensuring ValueForMoney In Nigerian Highways Development Taking Place In Birnin Kebbi Kebbi State
FASHOLAHASSAN AT THE 29TH MONTHLY POWER SECTOR OPERATORS MEETING IN MINNA NIGER STATE
Hon Minister of Power Works Housing Mr Babatunde FasholaSAN middleMinister of State Surv Suleiman Zarma Hassanright and Permanent Secretary Power Engr Louis Edozien left during the 29th Monthly Power Sector Operators Meeting hosted by Mainstream Energy Solutions Limited operators of Kainji and Jebba Hydro Power Plants on Monday13th August 2018 at the Justice Legbo Kutigi Hall Minna Niger State