I almost kill myself on this job, says NEPA boss, Eng Joseph Makoju
By CHIDI NNADI
Monday, April 4, 2005

Engr Joseph Makoju
Photo: Sun News Publishing

When the present administration came into office in 1999, President Olusegun Obasanjo had wanted to use the energy sector to score quick political points. Then, Nigerians were groaning under continual epileptic power supply from the National Electric Power Authority (NEPA). Consequently, they were happy when the new government said power supply would stabilise in a matter of months. But this was not to be, making the angry President to sack the NEPA board. In its stead the government created a technical board led by Senator Liyel Imoke, now the Education Minister, while Engr Joseph O. Makoju was drafted in as the managing director of the ailing authority, which then was generating below 2,000 megawatts of power.

In this encounter with Daily Sun in his office in Abuja recently, the NEPA managing director and chief executive reveals why the power situation has not really changed even as he hopes that the second half of the year would herald a new beginning, which may culminate in achieving stability before 2007. Excerpts:

Our image
We have been getting pretty bad press and it is not unexpected because around November/December, we would admit that the power supply situation in the country came down below the level it was before. And we are very sorry about this. That was not our plan at all. There were a few things that happened that really sort of derailed the plan we had of maintaining the level we had in August, September, October, November, when we were producing 3,000 megawatts and it was steady. But from around the end of November, we started having this problem in our system. We have been working very hard to get back to where we were and to also make sure that we no longer have this kind of relapse.

The problem
I think with some of the things we are doing now, I pray that we will come to a dry season one day when NEPA doesn’t give water as an excuse. Because like you have rightly pointed out, the water problem is something we should expect and make provision for. Again, the only provision you can make about low water is to have some new generations as an addition to thermal. You know we generate our power either using gas or water. About 75 per cent of our generation now is actually from gas and 25 to 30 per cent from water. So, during the dry season the water generation goes down by about half. So, we should use extra thermal to replace that if we want to remain where we were.

Basically the problems we are having with power is that we have not actually been putting in new capacities. It is a very simple fundamental explanation for where Nigeria finds itself in today. Nigeria is not just building additional generation. We planned for this but something unusual happened. The water level this year was one of the lowest in the land, something went wrong with it.

Power demand
In the meantime, the demand is growing. As we are sitting down here now, new houses are being connected, new factories are being connected, people are having children, the population is expanding, usage of electricity is increasing and yet we are not adding anything to the supply of electricity. Since we put Afam on over three years ago, we have not added any new generation. I think people do not like to hear it, but this is the truth of the matter. A nation that is not continually adding new capacity every year, how is that nation going to have steady electricity supply? Is this possible? You cannot give what you don’t have. As a professional manager, if I feel that what has been happening in the last three months was due to incompetence or my lack of good leadership, the honourable thing for me to do is is to resign, especially when you have an uproar like this. If in my conscience I know there are things I should have done and I have not done, but God knows that I have been working for more than 40 years now, and there is no job I have put in everything I have than this job in NEPA. I have almost killed myself on the thing, trying to give my best to the job. Unfortunately, the result may not be showing it, but I know I have given everything I can. And I am driving my staff and people in NEPA hard. But unfortunately, with this poor performance, people don’t appreciate that people actually work hard here, that people are going the extra mile to give service here.

My workers and power supply
This is an organisation of some Nigerians who really… if you compare it with other areas of human endeavour, we work at some very unusual, abnormal level to try to maintain service to the country. I am not trying to blow our trumpet. You can arrange one day to go round our locations to experience it yourself. As far as human capacity is concerned, we have been given more than 100 per cent. But at the end of the day our business is to supply a product, which is electricity. And this is not just enough! And when you are supplying something that is not enough and the people are not getting it, they won’t be happy. They will be complaining. So, we have to address this issue of supply as a nation. Sometimes, it hurts me when I see us being compared with other African countries. Some of them are not even as well endowed as we are. Take Ghana for instance, Ghana has had steady power supply from the time the Volta Dam was built during the Nkrumah days in the 60s. From that time Ghana has had excess supply of power that its supply for many years has been in excess of demand that it has to be exporting power. Nigeria with all our wealth and experience never for one day has been in the position of supply even matching demand, not to talk of export. That is the truth of the matter.

So, when we talk of uninterrupted power, when we talk of stable supply, is it possible in a country where there is a big gap between supply and demand to give stable and uninterrupted supply? It is not possible! And in a case like this, if the capacity is there and we are mismanaging it; say, the installed capacity of say, 10,000 megawatts and due to incompetence we are only giving the nation 2000; then the management has a case to answer. But when you have an installed capacity that is only between 3,000 and 4,000 and the demand is between 5,000 and 6,000 megawatts, what is the magic to be done?

Abuse in NEPA
When I say we are working very hard, I’m not saying we are angels or 100 per cent perfect. Because in Economics anything that is scarce, anybody involved in that business would be faced with abuses and we have this in NEPA. I will be fair to admit it. Anything that is scarce, very often you will find out that there could be a culture there for abuse. The people who are supposed to give you service, can now exploit you by extortion and various forms of sharp practices. That is the cause of the nature of the business. You will agree with me that it will happen when in a locality where you have a NEPA staff who decides who is going to get power and who is not going to get. This creates temptation for abuse. So, we have this problem and it has affected our business. Again, this is a battle we have been fighting in a very structured way. I would like you to have time to come and sit down with our anti-corruption unit. We have taken the fight to the field.

It does not interest NEPA to give disciplinary workshops. The number of people that have been weeded out in the last 12 months for sharp practices is more than the people that have left with disciplinary cases in the last 10 years before this period. And this coincided with the time we started this campaign about two years ago. We have carried the campaign to a point now that every local staff must publish his telephone numbers. We have even brought in some independent people to monitor and get customers complaints. Somewhere in Lagos, we have the pilot unit of what we call Autonomous Customers’ Relations Centre, fully equipped with telephone lines and faxes. They are not NEPA officials, but we pay them and their job is for customers to tell them they are not getting proper treatment from NEPA. They have direct access to this place even up to my office. Various other strategies have been put in place and one of them is this Summary Disciplinary Action. Anytime there is a report on anti-customer behaviour by any NEPA staff; the manager is given the free hand to take sanctions immediately.

Normally, our disciplinary process is very cumbersome that we have to set up ad hoc committees. But on cases of anti-customer behaviours, with the co-operation of the union, we can now give instant summary actions. These are some of the things we have put in place to fight the problem we have and we are winning. But you will agree with me that the best solution is to make power available. If there is adequate power supply in every neighbourhood, the NEPA staff will not have the opportunity to stop or deny the customer of his right.

How we entered the mess
That is a question I can’t answer alone, we have to answer it together. Honestly, as a nation, we have to answer it together. How can we, with all the resources we have, not have by now adequate electricity that is so fundamental to other things? And we are talking about being the greatest nation in Africa. We want to be the leading nation, we want to be ahead of South Africa, we want to be like Malaysia and we have not put our electricity right. This is really an issue all of us in all honesty must admit, we as a nation we need to start looking at ourselves.

Then, coming back to not having enough, one of the problems we had to battle with was that we had not done enough to educate the public on how bad things were in 1999 when this government took office. That is an omission, I should be one of the first to admit it. We should have done enough to let the people know the state of the infrastructure, how it has been neglected. Not only that, we should also have told the people the truth on the true cost of putting it right and how long it would take to put it right.

Building new power stations
What does it really cost to build a power station? A standard project showed that on the average, for every megawatt, every new capacity, you are talking about half a million dollar per megawatt. So, if you want to put in 10 megawatts, that is $5 million. If you want to put in 100 megawatts, that’s $50 million. Now, if I am telling you as we are sitting down here that our supply, everything is about 3,000; our installed capacity, let's say 4,000 installed. And I am saying the demand is about 6,000; if we say we want to close the gap between demand and supply, it means you need 2,000 more megawatts at half a million dollar per megawatt. That would be $1,000 million. Convert to naira and everybody will collapse. But that is the truth of the matter. Go around and shop for gas turbine all over the world, it will be between $400,000 and $500,000. You can’t get it anything less than that. Anybody can check that on the internet.



 

 

 

 

HOME | ABOUT THE SUN | SPORTS | POLITICS | NEWS | COLUMNISTS | CONTACT US I ADVERT RATE
© 2005 THE SUN PUBLISHING LTD. This service is provided on The Sun Newspapers' standard terms and conditions in accordance with our Privacy Policy.
To inquire about a licence to reproduce material and other inquiries, Contact Us.