Grid collapses: 12 states plan to establish private power plants

Amid the incessant national grid collapses that have continued to throw the country into darkness for days, some states have intensified push for independent power plants for a stable and affordable power supply.

While some states have initiated the power generation processes, others have reached advanced stages.

The national power grid is a vast network of electrical transmission lines that links power stations to end-users across the country.

The grid has collapsed 10 times between January and November 7. The grid collapsed on Tuesday and suffered another disturbance on Thursday, plunging the country into widespread darkness.

As of 7.30pm on Friday, a total of 2,306.35MW generation had been restored, according to an update provided on the official X handle of the Nigeria National Grid.

Findings revealed that between 2015 and 2024, the grid has collapsed about 110 times.

According to reports and data obtained from the Nigeria Electricity Regulation Commission, the grid collapsed approximately 93 times during the administration of former President Muhammadu Buhari.

Between June 2023 and November 2024, the grid collapsed about 17 times for various reasons.

The persistent collapses and high tariffs have spurred state governments to consider independent power generation.

Power generation, which used to be exclusive to the Federal Government, is now on the concurrent list in the 1999 Constitution.

President Bola Tinubu signed a new Electricity Act into law in June 2023 as part of the move to reform the power sector.

The Act gives states the power to generate, transmit, and distribute electricity within their jurisdiction.

Currently, no fewer than 12 states have shown commitment to generating their power.

Lagos four power hubs
Taking the lead in self-regulating power generation is Lagos State, which is establishing four gas-fired power hubs, each requiring a minimum of 100MW capacity.

The state has invited independent power producers and energy solution firms to submit bids for constructing gas-fired power plants to bridge the state’s persistent electricity gap.

The Lagos State House of Assembly is already considering the ‘Lagos State Electricity Bill 2024’, a proposed law that aims to create an independent electricity market largely separate from the national grid.

If passed into law, the state will regulate, generate, transmit, and distribute power for its consumers.

In a statement jointly issued by the Commissioner, Ministry of Energy and Mineral Resources, Biodun Ogunleye, and Special Adviser, Office of Public-Private Partnership, Bukola Odoe, the state’s electricity requirement surpasses 6GW, while the current supply from the national grid delivers under 2GW at peak times.

14 Ekiti electricity investors
Also, the Ekiti State Government has granted operational licences to 14 electricity investors for independent power generation.

The state Governor, Biodun Oyebanji, said the move would enhance power generation, ensure efficient distribution, and provide reliable metering for residents.

Oyebanji, who took to his X handle on Thursday to announce the state’s progress in the power sector, said three distribution, four generation and two mini-grid generation companies, and five meter asset providers had been licensed.

“Currently, Ekiti receives approximately 20-25MW from the national grid, which falls short of our estimated requirement of 120MW. Our goal is to reach 130MW through a robust state grid, reducing our dependency on the national supply and promoting sustainable, locally managed energy solutions.

“This initiative aligns with the 2023 Electricity Law Enactments, which empower states to decentralise electricity markets and license providers to meet local needs better,” he stated.

Osun’s electricity bill
The Osun State Government has also initiated the process for independent power generation.

The state Commissioner for Energy Development, Festus Adeyemo, while speaking to one of our correspondents on Friday, said the state had already commenced work on plans to generate its energy.

Adeyemo, who said Governor Ademola Adeleke would soon transmit a bill on electricity generation and marketing to the House of Assembly for consideration, added that the state was also working on a mini-hydro electricity project at Ikeji-Ile.

Oyan Dam for Ogun
Governor Dapo Abiodun of Ogun State, during the inauguration of his cabinet members for his second term in office, said his government would establish the Ministry of Energy to pursue the desire of the state government to have its power generation company.

The Managing Director and Chief Executive Officer of the Ogun-Osun River Basin Development Authority, Dr Adedeji Ashiru, disclosed about two weeks ago that the Ogun State Government was considering exploring the potential of Oyan Dam to provide electricity for the state.

Rivers turbine projects
Already, Rivers State has four gas turbine projects with the capacity to generate over 450MW of electricity.

But the state government said it was handicapped and unable to utilise the project maximally for the benefit of its people due to the monopoly of the Federal Government on the distribution of power before now.

The state Commissioner for Power, Solomon Eke, who disclosed this during a telephone interview on Thursday, said the turbines were being upgraded.

He stated, “Rivers State has four independent gas turbines. We are upgrading them and private investors are also coming in. We are the first to begin construction of independent power and they are functioning.”

Benue ready to generate power
Benue State has also expressed readiness to have a power plant in the state.

The Managing Director of the Benue Investment and Property Company, Dr Raymond Asemakaha, said the power plant would be geared towards generating electricity to boost socio-economic development across communities in the state.

He disclosed this during a meeting with a delegation of Africa of Remedy Earth at BIPC headquarters in Makurdi recently.

Asemakaha asked the electricity company to set up a pilot plant in Benue State, maintaining that it was necessary for the state to own a power generation plant that would transform the state and stimulate economic activities.

He said, “We know that one thing that stimulates the economy is when you have enough power. So, we are looking for options to ensure that the state generates its power and shares it with its communities.”

Kogi begins moves, Gombe signs MoU
The Kogi State Government said it had commenced plans to generate its own electricity.

According to the Special Adviser to the Governor on Media, Ismail Lash, the bill for the creation of an electricity market and establishment of the Kogi State Electricity Company was passed into law in July 2024.

Lash said on Friday that the state government had invited operators to partake in the generation and distribution of electricity in the state.

He added that the government also planned to complement the efforts of existing or legacy distribution companies to improve access to electricity by investing in power infrastructure for the benefit of the people of the state.

The Gombe State Government has signed a Memorandum of Understanding with China18th Engineering, an international engineering, for the provision of a 100-megawatt solar energy plant, as part of measures to enhance energy self-sufficiency in the state.

The agreement followed a meeting between Governor Muhammadu Yahaya and top executives of China Railway 18th Bureau Group in China. Yahaya emphasised the importance of local power generation in driving economic growth and addressing frequent power outages.

“The MoU signifies the beginning of a transformative project that will boost electricity supply and bring prosperity to our people,” he said.

The governor referenced the recent nationwide blackout that affected Gombe State and other parts of northern Nigeria, stressing that local power stations and alternative energy sources could mitigate such disruptions.

Assembly empowers Nasarawa govt
Meanwhile, Nasarawa State House of Assembly has empowered the state government to generate its electricity in order to proffer a lasting solution to the consistent power outages in the state.

A Senior Special Assistant to Governor Abdullahi Sule on Public Affairs, Peter Ahemba, stated this while speaking with our correspondent in Lafia on Friday.

It was gathered that the House of Assembly had received a report of the House Standing Committee on Works and Transport on a bill for a law to repeal and re-enact the Nasarawa State Electricity Power Agency Law, 2018 and provide for Electricity Generation, Transmission, System Operation, Distribution and Supply in the state and for other matters connected therewith.

Edo’s 95MW power plant
Good enough, a 95 MW Ossiomo Power plant in Edo State had been supplying power to the state Government House and all government offices, including the secretariat on Sapele Road.

Over 20 companies operating in Benin had been connected to the Ossiomo Power Plant.

The Ossiomo Power Plant is located at Ologbo, Ikpoba Okha Local Government Area, and also provides power to the Benin Enterprise Park and the building of the state chapter of the Nigeria Union Of Journalists on Reservation Road, GRA.

The Managing Director of Ossiomo Power Company, Uwa Igiehon, said, “We have onboarded over 20 power companies in the last few months as a lot of persons have now come to accept us as the most reliable alternative to stable electricity.

“This shows that if we are committed, we can solve Nigeria’s problems. We have shown that we have the capacity to provide stable power for use by both public and private companies which are contributing to the growth of the economy.”

Kaduna adopts solar energy
The Kaduna State Governor, Uba Sani, has initiated discussions with the Minister of Power, Bayo Adelabu, to explore alternative power generation solutions for the state.

A top government official, who craved anonymity because he was not permitted to talk on the matter, said on Friday that the move came as a response to the persistent power outages affecting the state and the northern region.

The official disclosed that that plans were underway to generate 50-300MW of solar energy in three local government areas, creating 1,000 direct and 5,000 indirect jobs.

He added that the state identified renewable energy as a key area to focus on, particularly solar energy, given the state’s abundant sunlight.

Confirming the plan for renewable, Governor Sani, on his X handle, said his discussion with Adelabu centred on leveraging renewable energy sources and collaborations among the Federal Government, Kaduna State Government and other relevant organisations.

He said, “Several solar companies have already been attracted to the state, including Anjeed Kafanchan Solar which is eyeing 100MW solar plant in Kaduna State; Quaint Abiba 50MW solar project in Kaduna; Skipper Seil, 100MW solar plant and production of electricity transformers and accessories as well as.”

Fintiri abandons Nyako’s project
Meanwhile, the administration of Governor Ahmadu Fintiri of Adamawa State has yet to take any step on the Kiri Dam Electricity Project initiated by ex-governor Murtala Nyako.

In 2008, Nyako engaged a United States-based firm to perform a feasibility study of the 35MW Kiri hydroelectric project at the existing Kiri Dam.

A former US ambassador to Nigeria, Robin Sanders, and Nyako signed a grant agreement providing US$467,000 from the US Trade and Development Agency to finance the technical assistance to the state.

The project is to include a hydro plant, a transmission line to the national grid, and a separate transmission line to Yola, the state capital.

The dam, located in Shelleng Local Government Area in southern Adamawa, is a major water reservoir that currently provides water for the irrigation of the cane plantation of the Dangote Sugar Refinery in Numan.

Last month, the Federal Government began moves to ensure the utilisation of the dam to generate electricity.

The Adamawa State Commissioner for Works, Housing and Energy Development, Adamu Atiku, could not be reached for comment on the power project.

North’s single IPP
The Zamfara State Government said it had no plan to have its own power generation plant because of the resolution by the northern governors to have a single independent power generation plant.

Speaking, the Senior Special Assistant to Governor Dauda Lawal on Media and Communications, Mustafa Jafaru, said the 19 northern governors would provide a single power generation plant for the entire region.

Source: The Punch