Federal Government has said that
Nigeria requires a total overhauling
of the power sector to maximize the
potentials of its generating capacity in
order to boost its dwindling economy.
power-sectorThe Vice President, Professor Yemi
Osinbajo said this yesterday while
delivering a lecture titled ‘Nigerian
Economy and the Future’ during the
10th anniversary of Crescent University,
Abeokuta, the Ogun State capital.
The Central Bank of Nigeria yesterday
disbursed N6.9bn to gas suppliers as
part of contribution to addressing the
pay up for outstanding shortfalls of the
obligations to electricity gas suppliers.
CBN governor, Godwin Emefiele
said that the payments represent debts
by Power Sector in proportion to the
obligations to repay the facilities by the
five DISCOs: Eko, Ibadan, Kano, Port
Harcourt and Enugu that have signed
the facility.
The Vice President however
maintained that the country will not
only increase the 13, 000 megawatts
generating capacity but would also
work on the transmission capacity
which, according to him, stood at 5, 000
megawatts.
According to him, the 10% Gross
Domestic Product growth promised by
Muhammed Buhari-led administration
during the electioneering campaign can
only come to reality with increasing the
supply in the power sector.
Apart from increasing and improving
on the generating capacity, the Vice
President said the country must also
work on the evacuation capacity from
the present 5, 000 megawatts to the
level that the country would have
uninterrupted power supply.
Professor Osinbajo also maintained
that the non availability of gas has
contributed majorly to the drop in
power sector in Nigeria but said the
Federal Government would ensure the
completion of gas pipelines that has
been abandoned for years.
He also said the government would
consider privatization of
transmission of power which is still
in the hands of the federal government
but managed by a company saying that
the current privatization only covers the
distribution aspect.
He said the government will prioritize
protection of oil sector adding that,
transparency would be the watchword
of the present administration to deliver
its electoral promises.
He identified mono-economy
which resulted in overdependence on
oil, infrastructural challenges, failed
educational system and insurgency,
as some of the challenges facing the
present economy in the country.
In the meantime, while addressing
the media, during the third batch of
the disbursement of the CBN N213bn
Nigerian Electricity Market Stabilization
Facility, Emefiele said that it is a critical
step to revitalizing the Nigerian energy
sector.
He also tasked the gas companies
to complete the process of activating
formal and binding agreements for gas
volumes to power sector companies
and to ensure that they deliver more
existing gas output to power plants.
He also urged the companies to make
the necessary investments to provide
gas supply given the development
of new gas fired power plants in the
country.
The CBN boss lamented that about 70
percent of power plants in the country
are fueled by gas which has made it
difficult to generate adequate power for
supply.
He said that the debts owed to gas
suppliers were estimated at N40bn but
expressed hope that the intervention
of the apex bank would open a new
door of better cooperation among
stakeholder in the interest of the nation


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