Nigerian Power Generation Bill 2021

Ayo Akinfe

[1] Six regional powers grids will be established across the country, with each responsible for providing electricity to the states within its domain

[2] A national grid will operate on top of this serving as a supplement whenever there are shortages in any geo-political zone

[3] Zonal grids will be free to sell excess power generated to other zones or export it as a commercial product

[4] Independent power plants will be at liberty to sell their produce to whichever grid offers them the most commercially competitive deal

[5] Distribution companies will purchase power from grids. To combat uncompetitive practices, no operator will be allowed to be a supplier and distributor at the same time

[6] To enable over-dependency on one source of energy, power plants will be encouraged to generate energy from a variety of sources including hydro, gas, wind and solar power

[7] A national gas pipeline project will commence immediately with the aim of linking every household in the country to a network. Gas hitherto flared in the Niger Delta will be fed into this network to facilitate the constant supply of gas to every home at affordable prices

[8] Distributor companies will be responsible for the supply, maintenance and security of transformers. They will be assisted by a special unit within the Nigerian Police Force for this purpose

[9] Over the next 10 years, the government shall aim to increase generated electricity supply to 100,000MW from the current 7,000MW through the construction of 10 mega power plants across the country through a combination of public-private deals and the awarding of contracts to private operators. A flagship project identical to China’s Three Gorges Dam will be built at Lokoja as part of this programme

[10] All power distributors will be allowed to establish industrial divisions that will supply the industrial and manufacturing sectors of the economy.