The number of idle power plants across the country as at Monday, September 9, 2019, rose to ten, as power generation in the country fell below 3,000 megawatts. This is according to data obtained from the Nigeria Electricity System Operator.
The country’s total power generation plunged to 2,866.1MW as of 6:00am on Monday, September 9 from 3,141.8MW on Sunday, September 8.
The idle power plants which have not been able to generate any megawatt of electricity include the six built under the National Integrated Power Project, namely -Sapele, Alaoji, Olorunsogo, Omotosho, Ihovbor and Gbarain. Others are Afam IV&V, Ibom Power IPP, AES IPP and ASCO IPP.
According to the data, when total power generation stood at 3,142.1MW on Friday, September 6, only four plants were idle.
Why this matters: The non-functional power plants and the drop in power generation are both contributing to the failing state of Nigeria’s power supply.
The need for electricity to be stable in the country cannot be over-emphasised. According to the November 2018 edition of the Monthly Business Expectations Survey Report of the Central Bank of Nigeria (CBN), the most compelling factor constraining businesses in Nigeria was the insufficient power supply.
The survey underscored the fact that electricity is a very necessary and important ingredient required for businesses to function properly and expand. Higher electricity costs drive business costs higher and reduce business competitiveness. This is because as costs of electricity rise, businesses look for alternative power sources like generators leading to reduced output and productivity thereby rendering them less competitive.
What you should know: Not less than eleven national grids have collapsed since the year began – four in January and one each in February, April, May, June and August.