The Nigerian Bulk Electricity Trading Plc., (NBET) yesterday met with stakeholders in the power sector as a precursor to the signing of a 40-megawatt Power Purchase Agreement (PPA) with Mabon Hydro Power Plant, a private entity.
The meeting, according to the spokeswoman of NBET, Henrietta Ighomrore, had in attendance representatives of Distribution Companies (DISCOs) across the country, the Nigerian Electricity Regulatory Commission (NERC), as well as the Transmission Company of Nigeria (TCN).
According to the bulk trader, the development is part of the series of actions that the NBET will undertake prior to closing out the PPA with the private organisation to ramp up power supply nationwide.
“This is timely and coming at a time when the country is in need of every available power it can generate and wheel out to the end users.
“The 40MW electricity from Mabon Hydro Power Plant will contribute immensely to strengthening and balancing the national grid, as the power plant is the only generating plant located in the North-east region of the country,” the company said.
In addition, it stated that the private entity is strategically located in Dadin Kowa area of Gombe State and a testament to the federal government’s drive to commercialise small hydro plants and bring them upstream to increase power generation across the country.
“ It is also in line with Nigeria’s commitment to the UN COP 26 to accelerate action and support for Climate Change Framework, the hydro plant being a clean energy source propels Nigeria towards fulfilling its obligations,” the statement noted.
It stressed that the President Muhammadu Buhari’s administration is committed to reducing carbon footprints and supporting climate change initiatives.
The additional power from Mabon , it pointed out , will also contribute further towards reducing the current Weighted Average Cost Of Power (WACP) within the NBET’s portfolio, as hydro power is a relatively cheaper cost of power generation.
NBET explained that the Discos made significant contributions at the meeting, with a commitment to work collaboratively with other market participants towards improving the Nigerian Electricity Supply Industry (NESI) and enhancing power supply to Nigerians.
Since February this year, Nigeria’s power supply has grown from bad to worse, with several national power grid collapses, resulting in nationwide blackouts.
With deteriorating and weak infrastructure, Nigeria is barely able to supply a quarter of its so-called generation capacity to the homes of its citizenry.
Culled from THISDAY