EKEDC – Tech | Business | Economy https://techeconomy.ng Tech | Business | Economy Wed, 11 Dec 2024 18:31:27 +0000 en-GB hourly 1 https://wordpress.org/?v=7.0 https://techeconomy.ng/wp-content/uploads/2025/06/cropped-256Px-32x32.png EKEDC – Tech | Business | Economy https://techeconomy.ng 32 32 Nigeria’s National Grid Collapses for 12th Time in 2024 https://techeconomy.ng/nigerias-national-grid-collapses-for-12th-time-in-2024/ https://techeconomy.ng/nigerias-national-grid-collapses-for-12th-time-in-2024/#comments Wed, 11 Dec 2024 18:31:27 +0000 https://techeconomy.ng/?p=149371 For the 12th time this year, Nigeria’s national power grid has collapsed, leaving large parts of the country in darkness. 

Revealing the fragility of the nation’s power infrastructure, the latest incident, which occurred at 2:09 pm on Wednesday, disrupted power supply across several states.

Electricity distribution companies (DisCos) confirmed the collapse as Jos Disco’s Head of Corporate Communications, Friday Elijah, acknowledged the grid failure, stating that the outage began around 1:33 pm and affected all feeders under its network.

Similarly, EKEDC described the incident as a “system disturbance” and assured customers of ongoing efforts to restore power.

Many Nigerians took to social media complaining that the frequent disruptions are negatively affecting their daily lives and businesses, with some users stating that power had been unavailable for days even before the latest collapse.

The incident is another chapter in what has been a rough year for Nigeria’s power sector. The national grid has collapsed multiple times in 2024, with disruptions occurring in February, March, April, July, August, October, and November. 

October had three grid collapses within a single week, showing how much the system has become fragile.

Experts have revealed several underlying issues, including ageing infrastructure, inadequate investments, and poor management. 

Adding to these, the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) recently directed gas producers to halt supplies to power generation companies (GenCos) with outstanding debts. 

This decision has further limited electricity generation, as some GenCos reportedly owe over ₦2 trillion in legacy debts to gas producers.

Government and Stakeholder Silence

As of the time of this report, the Transmission Company of Nigeria (TCN) and the Ministry of Power are yet to release official statements addressing the collapse. Efforts to restore power are reportedly underway, with assurances from stakeholders of a resolution in due course.

For many businesses and households, the situation has forced them to rely heavily on alternative sources of power, such as generators, which come at a high financial and environmental cost.

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Tinuade Sanda: My Story as MD/CEO Eko Electricity Distribution Company (EKEDC) https://techeconomy.ng/tinuade-sanda-my-story-as-md-ceo-eko-electricity-distribution-company-ekedc/ https://techeconomy.ng/tinuade-sanda-my-story-as-md-ceo-eko-electricity-distribution-company-ekedc/#comments Tue, 30 Apr 2024 18:16:00 +0000 https://techeconomy.ng/?p=130262 Dr. Tinuade Sanda, tells her story as the managing director and chief executive of Eko Electricity Distribution Company (EKEDC):

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Tinuade Sanda, MD and CEO, Eko Electricity Distribution Company (EKEDC)
Dr. Tinuade Sanda, MD and CEO, Eko Electricity Distribution Company (EKEDC)

Under my leadership as MD/CEO of Eko Electricity Distribution Company (EKEDC), my team and I worked diligently to address various challenges and make significant progress in our operations.

My role involved fostering a collaborative environment and providing strategic guidance, which contributed to our achievements and the setting of new benchmarks.

In 2022, I assumed office and encountered significant hurdles, including ATC&C losses at 29.87% and a CE of 82.69%.

To address these challenges, my team and I adopted proactive strategies, encouraged collaboration, and remained steadfast in our commitment. By March 2024, we had made substantial progress, reducing ATC&C losses to 1% and improving CE to 99.25%, thereby establishing new operational efficiency benchmarks.

Under my leadership, EKEDC reached a milestone with its highest-ever monthly collection of N17.1 billion in January 2024, achieved without requiring a tariff increase.

This accomplishment underscored the team’s financial acumen and strategic planning. Additionally, operational metrics showed notable improvement, with Energy Delivered totaling 261,785,052.50kWh and Energy billed at 236,050,490.21kWh.

Notably, I initiated the fast-delivery mass metering program (Mobile MAP Initiative) within 72 hours, resulting in the distribution of over 80,832 meters and a noticeable enhancement in customer service and satisfaction.

Upon assuming office, I inherited the challenge of managing substantial loans, such as CBN Meter, operating expenditure (OPEX), and capital expenditure (CAPEX) loans.

By prioritizing careful financial management, I successfully facilitated their repayment, thereby easing the financial burden on the company and contributing to a more stable financial environment.

By prioritizing a zero-tolerance policy for mediocrity and corruption, while also focusing on effective communication and strategic engagement, this contributed to EKEDC’s strong market remittance performance in Q3, 2023.

Additionally, my commitment to excellence was recognized with prestigious awards, such as The Peak Performer CEO Of the Year (2023) and Vanguard’s Energy Icon of the Year (2023).

While rumours have been circulating, alleging that my appointment as MD/CEO had been terminated due to poor performance, it is important to clarify that this is a misrepresentation and not an accurate reflection of my performance as I have consistently received accolades from the board, recognizing my leadership as well as my management team’s strong performance.

For instance, on March 6, 2024, I received commendations from the Chairman, Human Resources & Corporate Services, Tunji Owolafe, following my correspondence about EKEDC’s compliance with market obligations, where he praised the performance of my team.

He wrote in an email,

“Dear MD, this is very good news, congratulations and well done to you and your team.”

I had previously received similar accolades from Dr. Tunji Owolafe and the Board Chairman, Dere Otubu, on December 5th and 6th, 2023, for the strong November performance. Chairman Otubu wrote, “Congratulations to you and your team for the good performance in November.” These emails serve as evidence of the positive feedback I have received.

Tinuade Sanda, MD and CEO, Eko Electricity Distribution Company (EKEDC)
“Under my leadership as MD/CEO of Eko Electricity Distribution Company (EKEDC), I encountered challenges beyond the operational realm. Despite my remarkable achievements and contributions to the company, I faced cyberbullying and slanderous attacks against my character”, Tinuade Sanda.

What initially began as an investigation into fraudulent activities and ghost worker issues within the executive management team escalated into a malicious campaign aimed at discrediting me.

Instead of addressing legitimate concerns, some individuals chose to propagate unfounded rumours and engage in cyberbullying tactics.

These attacks not only targeted me personally but also sought to undermine my professional reputation and leadership capabilities.

The dissemination of false information and baseless accusations not only created unnecessary distractions within the company but also posed challenges to maintaining a focused work environment.

In the face of these unfounded rumours, I have consistently demonstrated transparency, integrity, and a strong commitment to excellence under my leadership.

I remain dedicated to maintaining these core values, which have been the foundation of my leadership approach – Tinuade Sanda.

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Hike in Electricity Tariff: NERC, DisCos and the Customer’s Unanswered Questions https://techeconomy.ng/hike-in-electricity-tariff-nerc-discos-and-the-customers-unanswered-questions/ https://techeconomy.ng/hike-in-electricity-tariff-nerc-discos-and-the-customers-unanswered-questions/#comments Wed, 10 Apr 2024 06:36:35 +0000 https://techeconomy.ng/?p=128850 Mr Eket Eko Ogbonga, the national secretary of the Network for Electricity Consumer Advocacy of Nigeria (NECAN), during a recent interview, shared insights into the controversial subsidy removal cum the increase in the tariff paid by consumers in Band A, from ₦68/KWh to ₦225/KWh, who, the Nigerian Electricity Regulatory Commission (NERC) claimed are consuming 20-24 hours of electricity daily.

He said that less than five percent of those in the Band actually get 20 hours of electricity supply.

He laid his mind bare on the metering problem among other germane issue.

Of the tremendous snippet garnered from his thought provoking insight was a rhetorical question; “Is there a mechanism put in place by the Commission on how they can be measured?

They are talking of going to feeders. Do consumers know what feeders are? Do consumers have access to the feeders?

Background

Some days back, the Federal Government of Nigeria jacked up the electricity tariff at a press briefing in Abuja, Musliu Oseni, the vice chairman of NERC, said the increase will see customers pay ₦225 kilowatts per hour, up from ₦66.

Oseni said these customers represent 15 per cent of the 12 million electricity customers in the country.

He added that the commission had also downgraded some customers on Band A to Band B due to non-fulfillment of the required hours of electricity provided by the electricity distribution company.

He said: “We currently have 800 feeders that are categorized as Band A, but it will now be reduced to under 500. This means that 17 percent now qualify as Band-A feeders. These feeders only service 15 per cent of total electricity customers connected to the feeders.

“The commission has issued an order which is titled April supplementary order and the commission allows a 235 kilowatt per hour.”

He noted that the review will not affect customers on the other Bands.

A feeder is a conductor which connects the sub-stations (or localized generating station) to the area where power is to be distributed. Generally, no tapings are taken from feeders so that current in it remains the same throughout.

The report also showed, in Lagos State for instance, subscribers of the Band A tariff plan who benefit from the 20 to 24 hours of daily power consumption from the Ikeja Electricity Distribution Company (Ikeja Electric) and the Eko Electricity Distribution Company (EKEDC).

They are:

Ijaiye (11-IJUINJ-T1-Ajuwon) in Abule-Egba Business Unit enjoys 601KW/h , Hiltop (11-HilltopINJ-T1-Hilltop) in Akowonjo Business Unit enjoys 656KW/h. Egbeda (33-AlimoshoTCN-Agege) in Akowonjo Business Unit enjoys 425KW/h, Adekunle Fajuyi (Adekunle FajuyiINJ-T1-Isaac John) in Ikeja Business Unit enjoys 1,195KW/h,  Adekunle Fajuyi (Adekunle FajuyiINJ-T1-Oduduwa) in Ikeja Business Unit enjoys 1,104KW/h, Adeniyi Jones (Adeniyi JonesINJ-T1-Adeniyi Jones) in Ikeja Business Unit enjoys 1,117KW/h

Others are: Ilupeju (11-ILUPEJUINJ-T1-BHOJSON) in Ikeja Business Unit enjoys 1,619KW/h , Ilupeju (11-ILUPEJUINJ-T4-Ikorodu) in Ikeja Business Unit enjoys 997KW/h, Maryland (11-MarylandINJ-T1-PTC) in Ikeja Business Unit enjoys 1,152KW/h, New Alausa (11-New AlausaINJ-T4-Allen) in Ikeja Business Unit enjoys 1,085KW/h, New Alausa (11-New AlausaINJ-T4-Oregun) in Ikeja Business Unit enjoys 1,172KW/h,  New Alausa (11-New AlausaINJ-T4-Siyanbola) in Ikeja Business Unit enjoys 1,142KW/h, New Alausa (11-New AlausaINJ-T5-Kudirat) in Ikeja Business Unit enjoys 995KW/h, New Alausa (11-New AlausaINJ-T6-Awolowo) in Ikeja Business Unit enjoys 1,009KW/h,  New Alausa (11-New AlausaINJ-T6-Ogundana) in Ikeja Business Unit enjoys 1,067KW/h, Ojodu (OjoduINJ-T2-Express) in Ikeja Business Unit enjoys 960KW/h, Ojodu (OjoduINJ-T2-River Valley) in Ikeja Business Unit enjoys 997KW/h,  Opebi (11-PTCINJ-T1-Opebi) in Ikeja Business Unit enjoys 971KW/h, Opebi (11-PTCINJ-T2-Awuse) in Ikeja Business Unit enjoys 1,232KW/h,  Opebi (11-PTCINJ-T3-General Hospital) in Ikeja Business Unit enjoys 1,176KW/h, Opebi (11-PTCINJ-T3-Oba Akinjobi) in Ikeja Business Unit enjoys 1,082KW/h,  Secretariat Estate (11-SecretariatINJ-T1-Estate) in Ikeja Business Unit enjoys 1,074KW/h Secretariat Estate (11-SecretariatINJ-T2-Agidingbi) in Ikeja Business Unit enjoys 1,007KW/h, Oshodi (11-AjaoINJ-T2-Sholanke) in Oshodi Business Unit enjoys 929KW/h,

Oshodi (11-ItireINJ-T2-Canal) in Oshodi Business Unit enjoys 733KW/h,  Oshodi (11-ItireINJ-T3-Ago) in Oshodi Business Unit enjoys 723KW/h, Oshodi (11-Oke AfaINJ-T1-LCHE) in Oshodi Business Unit enjoys 721KW/h,  Oshodi (11-ItireINJ-T3-Ago) in Oshodi Business Unit enjoys 723KW/h, Ejigbo (33-EjigboTCN-Agodo) in Oshodi Business Unit enjoys 890KW/h, Ejigbo (33-EjigboTCN-Egbe) in Oshodi Business Unit enjoys 905KW/h, 31. Ejigbo (33-EjigboTCN-Igando) in Oshodi Business Unit enjoys 1,352KW/h Ejigbo (33-EjigboTCN-Oke Afa 2) in Oshodi Business Unit enjoys 714KW/h and 64 others.

The issues

Speaking further, the National Secretary of the Network for Electricity Consumer Advocacy of Nigeria noted that in 2020-21, the Commission came up with what it called Service Based Tariff based on the principle of the more electricity that is supplied to business or household the more you pay.

“Now this led to the reclassification of electricity consumers’ tariff bands. We have band A: The consumers there would be supplied a minimum of 20 hours a day to pay at that rate; Band B 18 hours, Band C 12 hours, Band D 8 hours, and Band E 4 hours.

“We conducted a survey on Band A customers and we discovered that less than 5 per cent of those in that Band received 20hours. We discovered that some customers in 11 months never had 18 hours of electricity supply but they are on Band A”.

Meanwhile, the government and the power distribution companies (DISCos), have continued to complain of revenue shortfalls in the sector.

As at September 30, 2023, Nigeria’s metering gap stood at over 7 million- though reports suggests it could be more than that.

This is amid frequent grid collapse, which defied solutions.

A report by NERC shows that out of the total 12,825,005, registered electricity customers, only 5,707, 838 have meters, indicating that over 7.1 million registered customers still are subjected to the estimated billing system.

Although President Bola Ahmed Tinubu led administration recently established a Presidential Metering Initiative, which was announced by Adebayo Adelabu, minister of Power.

Similarly, a report by the International Energy Agency, the national grid collapse 46 times from 2017 to 2023, Nigerians endured more nationwide blackouts in 2023.

Nigeria was also thrown into darkness on Thursday 28th, March, 2024 following a collapse of the electricity grid controlled from Osogbo, Osun State, the development left virtually all franchise areas for Discos across the 36 states.

In the same vein the Federal Government of Nigeria, in its efforts to alleviate the recurring partial grid disturbance has established a committee to address the gas shortage in the power, according to Adebayo Adelabu, minister of power the committee comprises representatives from the two ministries, gas suppliers, the Nigeria Electricity Regulatory Commission (NERC), chain sector.

However, the Pan-Yoruba socio-cultural group Afenifere has condemned the recent hike in electricity tariff, asking President Bola Tinubu to compel the Ministry of Power to reverse the increase. Afenifere’s comment followed the Nigerian Electricity Distribution Company’s (NERC) electricity tariff hike for B and A users who enjoy at least 20 hours of power supply

“Tariff increase, whether you call it cost reflective tariff or whatever, is not the silver bullet that is needed in the market. Why tariff increase or reflection of cost in the market? We are dancing around the problem and our priorities have not been set right.

First, what is the percentage of customers in Band A that are metered? We have a huge metering gap. The meter is the revenue assurance tool in the business of electricity. Why do we have revenue shortfalls, huge subsidy they are talking about? Aggregate, technical and commercial losses are as high as 47 to 49 per cent. This means that for every N100 of electricity generated, transmitted and distributed, you are losing N47 to N49 and you are recovering the balance.

Zambia and Kenya Case Studies

In Zambia for instance, to guarantee revenue in the electricity sector, the meter is paramount.

If you meter 100per cent as it is done in Zambia, their ATC and C is 17 per cent. The solution to the liquidity in the market is the huge metering gap of over 7 million of unmetered customers which now leads to the inability of the Distribution Company to collect revenue.

Zambia's Open Access Regime and electricity provisioning
Zambia’s Open Access Regime and electricity provisioning

You are not guaranteed your revenue. A customer complained he bought energy three days ago for ₦50, 000 for services not yet used. So, if you meter 100 per cent like is done in Zambia and Kenya, it will reduce revenue loss and shoot up your revenue collection. So, you cannot generate until distribution launches higher than generation to continue running around.

“In other words, until you can guarantee that what you generate you can distribute and get your money, we are not going to get there. And what will help you do that is the meter”, Eket said.

Electricity is a fundamental requirement for industrial and commercial activities. Without reliable power, businesses face operational difficulties, reducing productivity and competitiveness.

Lack of electricity also limits the establishment and growth of new industries, hindering job creation and economic growth. Electricity generation in Nigeria began in Lagos in 1886 with the use of generators to provide 60 kW.

In 1923, tin miners installed a 2 MW plant on the Kwali River; six years later, the Nigerian Electricity Supply Company, a private firm, was established near Jos to manage a hydroelectric plant at Kura to power the mining industry.

Then, another private enterprise was established in Sapele by United Africa Company to power the activities of the African Timber and Plywood Company.

Between 1886 and 1945, electric power generation was relatively low, with power provided primarily to Lagos and other commercial centers such as mining industries in Jos and Enugu. Hence, the colonial government created an electricity department within the Public Works Department, which then installed generating sets in many cities to serve government reservation areas and commercial centers.

In 1950, the Legislative Council of Nigeria began moves to integrate the electricity industry when it enacted a law to establish the Electricity Corporation of Nigeria (ECN) with the duties of developing and supplying electricity.

ECN took over the electricity sector activities within PWD and the generating sets of Native Authorities.

In 1951, the firm managed 46 MW of electricity.

Between 1952 and 1960, the firm established coal-powered turbines at Oji and Ijora, Lagos. In 1961, ECN completed a 132 kV transmission line linking Lagos to Ibadan via Shagamu; in 1965, this line was extended to Oshogbo, Benin, and Ughelli to form the Western System.

In 1962, a statutory organization, the Niger Dams Authority (NDA), was formed to build and maintain dams along River Niger and Kaduna River, NDA went on to commission a 320 MW hydropower plant at Kainji in 1969, with the power generated sold to ECN. In 1972 NDA and ECN merged to form the National Electric Power Authority (NEPA).

NEPA was the major electricity firm in Nigeria until power sector reforms resulted in the creation of the Power Holding Company of Nigeria (PHCN) and later the privatization of electricity generation and distribution, the rest they say is history.

Way Out

Now, power generation, transmission, and distribution are the three processes of delivering electricity to consumers in residential, industrial, and commercial areas

Corruption and mismanagement of funds in the power sector, vandalism of oil and gas pipelines and exploration facilities, inability of the government to partner with multinational oil companies to fully utilize gas, poorly planned maintenance culture, and indebtedness on the part of consumers affect electricity generation, transmission, and distribution in Nigeria. These must be tackled adequately.

The investor deserves return on investment (ROI), likewise the government should not be denied its revenue (taxes), but the customer who pays the bill deserves absolute service.

Therefore, we align ourselves with the study which recommended among others that the government should support the electricity distribution firms to generate more megawatts in order to provide constant power supply to their numerous customers and provide adequate facilities like transformers, switch box, switch gears, wire cables, meters, and circuit breakers in order to supply regular power to Nigeria, no matter the Band the citizen belongs.

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Minister Discloses Reasons for Nigeria’s Nationwide Blackout https://techeconomy.ng/minister-discloses-reasons-for-nigerias-nationwide-blackout/ https://techeconomy.ng/minister-discloses-reasons-for-nigerias-nationwide-blackout/#respond Fri, 15 Sep 2023 07:19:16 +0000 https://techeconomy.ng/?p=113125
  • DisCos apologise to customers as system collapses
  • An explosion led to a fire outbreak at Kainji/Jebba located in the North-central part of Nigeria which sparked a nationwide electricity blackout in Nigeria.

    Adebayo Adelabu, Minister of Power, disclosed the cause of the nationwide blackout that happened in the early hours of Thursday.

    Adelabu in a series of tweets on X platform on Thursday said, “At 00:35Hrs this morning, Fire outbreak with explosion sound was observed on Kainji/Jebba 330kV line 2 (Cct K2J) blue phase CVT & Blue phase line Isolator of Kainji/Jebba 330kV line1 was observed burning.

    This led to sharp drops in frequency from 50.29Hz to 49.67 Hz at 0:35:06Hrs with Jebba generation loss of 356.63MW.

    He also gave assurance that the problem would be fixed saying, “We are on top of the situation and speedy restoration is in progress. The fire has been fully arrested and over half of the connections are now up and the rest will be fully restored in no time. My sincere appreciation to those who responded or expressed concern via different.”

    Techeconomy earlier reported that the nation’s power supply dropped to 273 megawatts, MW in the early hours Thursday.

    It plummeted from 4,182MW recorded on Monday, this week, following a complete system collapse, due to equipment failure or grid disturbance in the sector.

    DisCos apologise to customers as system collapses

    Electricity Distribution Companies (DisCos), Thursday apologised to their customers, promising to restore supply when the situation improves.

    In a notice obtained from its X (formerly Twitter) handle, the Eko Electricity Distribution Company (EKEDC), stated: “Kindly be informed that a system collapse occurred today at 6:41 a.m. This has resulted in a total loss of supply across our network.

    “We are in continuous communication with our partners at the National Control Centre (NCC), Osogbo. You will be updated as we get more information.”

    Similarly, the Abuja Electricity Distribution Company, AEDC, stated: “The management of AEDC wishes to inform its customers that the power outage currently being experienced is a result of a system failure from the national grid in the early hours of today, 14 September 2023.

    “Be rest assured that we are working with the relevant stakeholders to restore power as soon as the grid is stabilized.”

    Also, in a notice to its customers, the Enugu Electricity Distribution Company PLC, EEDC, said: “We wish to inform her esteemed customers of a total system collapse which occurred at 12:40 am today, 14th September 2023. This has resulted in the loss of supply currently being experienced across the network.

    “Due to this development, all our interface TCN stations are out of supply, and we are unable to provide service to our customers in Abia, Anambra, Ebonyi, Enugu and Imo States.

    “We are on standby awaiting detailed information of the collapse and restoration of supply from the National Control Centre, NCC, Osogbo.” (Vanguard)

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    EKEDC Apologizes to Customers for Unstable Power Supply https://techeconomy.ng/ekedc-apologizes-to-customers-for-unstable-power-supply/ https://techeconomy.ng/ekedc-apologizes-to-customers-for-unstable-power-supply/#respond Thu, 26 Jan 2023 16:28:12 +0000 https://techeconomy.ng/?p=94089 Eko Electricity Distribution Company (EKEDC) has pleaded with Customers in Lagos and Ogun states about the erratic power supply they are currently receiving.

    In a statement, Godwin Idemudia, the General Manager of the Corporate Communication Department at EKEDC, expressed his regret.

    He clarified that the national grid’s reduced load capacity was the cause of the erratic power supply that was being experienced.

    According to him, the company’s Agbara District in Badagry and Ogun State experienced certain customers being affected by the outage.

    He assured the locals that once the capacity was expanded, the affected towns’ normalcy will be restored.

    He added: “What we are presently getting from the Grid is not enough to meet the demand of our customers. At the same time, this is to notify our esteemed customers in Lagos Island of an impending maintenance work scheduled for Sunday, Jan.22, between 9 am -1 pm.

    “This maintenance work will require the Fowler injection substation to be temporarily shut down. So, Ikoyi and the environs under Island District will be out of supply during the period of the outage.

    “We are therefore appealing to customers to bear with us. EKEDC highly regrets any inconveniences caused by this irregular supply”

     

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