The Nigerian Electricity Regulatory Commission (NERC) has issued new permits for mini-grid electricity generation to several companies, including Golden Penny Power Limited, MTN Communications Nigeria Limited, and Havenhill Synergy, among others.
Key Points:
1. New Off-Grid Generation Licences:
– The NERC issued nine new off-grid generation licences in the first quarter of 2024, with a total gross capacity of 109.69 megawatts. Additionally, three new trading licences were granted.
– Golden Penny Power Limited received a licence to build six off-grid gas plants in Lagos, Oyo, Ogun, and Cross River states, with a combined capacity of 100MW.
– MTN Communications Nigeria Limited was granted a permit to build four captive generation plants across Lagos State with a total capacity of 15.94MW.
2. Captive Power Generation Permits:
– Captive power generation permits are granted to entities that intend to generate electricity solely for their consumption rather than selling it to third parties. In Q1 2024, the NERC issued nine captive power generation permits with a combined nameplate capacity of 52.57MW.
– Other companies receiving permits for captive power generation include SweetCo Foods Limited, African Steel Mills Nigeria Limited, West African Ceramics Limited, Royal Engineered Stones Limited, and Armilo Plastics Limited.
3. Mini-Grid Development and Renewable Energy:
– The NERC has been promoting renewable energy development by issuing permits and registration certificates for mini-grid development, particularly under Section 165(1)(m) of the Electricity Act 2023.
– Mini-grids are small-scale electricity networks that operate independently of the national grid. The commission issued three mini-grid permits and two registration certificates in the first quarter of 2024.
4. Meter Service Providers Certification:
– During the first quarter of 2024, the NERC certified six Meter Service Providers, including four meter installers and two meter manufacturers. These providers are certified to manufacture, supply, install, and maintain electric energy meters and metering systems.
5. Regulations and Orders:
– In Q1 2024, the NERC issued one regulation and 36 new orders to guide the activities of licensees in the electricity sector. These include multi-year tariff orders, performance improvement plans, and supplementary orders for distribution companies (DisCos) and the Transmission Company of Nigeria Plc.
