19 December 2016, Sweetcrude, Lagos — The House Committee on Power has backed electricity Distribution Companies, DISCOs, initiative, to source for supplementary power through embedded generation options by ramping up excess power from existing captive generation within its license area.
Chairman House Committee on Power, Mr. Daniel Asuquo said DISCOs are doing this by entering into bilateral agreements with Independent Power Providers noting that initiatives would not only guarantee a greater stability of supply but would also reduce the DISCO’s Aggregate Technical, Commercial and Collections Loss, ATC&C.
Asuquo who stated this at an electricity customer’s forum organised by the Eko Electricity Distribution Plc in Lagos recently explained that it is imperative that DISCOs source for supplementary power due to the challenges associated with gas in the country stressing that the lower chamber is cooperating with the Federal Government to ensure the growth of the nation’s power sector.
“The initiative by the electricity distribution company, DISCO, to source for supplementary power through embedded generation options by ramping up excess power from existing captive generation within its license area and entering into bilateral agreements with Independent Power Providers would not only guarantee greater stability of supply but would also reduce the DISCO’s Aggregate Technical, Commercial and Collections Loss, ATC&C,” he said.
In addition, Asoquo urged DISCOs to improve on metering their customers, noting that improved metering of customers and the embedded generation options when properly explore by DISCOs would not only improve the revenue collection efficiency but would improve their distribution network and overall performance.
Head, Consumer Affairs, Nigerian Electricity Regulatory Commission (NERC) Mr Hardley Blue-Jack, who was present assured of his agency’s desire to make power sector works through appropriate regulations which should be strictly adhered to by both service providers in the sector and the consumers.
Managing Director of Eko Electricity Plc, Mr Oladele Amoda, in his comment said that there was no visible investment in the power sector 30 years before selling the assets of the successor companies of the defunct Power Holding Company of Nigeria (PHCN) to the private sector.
He also said that 70 percent of the asset was in a dilapidated state when they were sold in 2013, adding that investors had actually spurred the growth of the sector despite the liquidity challenge.
He said his company is desirous of giving its best to the customers with a view to satisfying them and providing value added services.
He added that the company has in the last three years metered a substantial number of its customers, even as he said it has also placed an order for five hundred 138 transformers in order to ensure a steady supply of electricity to customers during the yuletide.