Despite the huge investment in the power sector since the present political dispensation, the nation’s power supply is among the worst in the world. That is probably why the Federal Government intends to overhaul the nation’s power supply system through efficient renewable energy. The plan is to generate 178,000MW of electricity within a period of 27 years. Although the initiative is ambitious, renewable energy is where the world is going. It is cheaper, cleaner and ozone friendly.
To achieve the goal, the government says it is sourcing for a hefty $1.22trilion to revamp its energy value chain. The move is a collaborative effort that will involve private investors to meet the country’s energy demand in line with the United Nations Sustainable Development Goals (SDGs). Energy supply is at the heart of the 17 SDGs’ blueprint to transform a better and more sustainable future for all, which will address the global challenges, including poverty, inequality, climate change, environmental degradation, peace and justice.
The Minister of Science, Technology and Innovation, Dr. Adeleke Mamora, revealed this recently at the launch of the 13th International Renewable Energy Assembly (IRENE) held in Abu Dhabi, the United Arab Emirates (UAE). Nigeria has the resources and manpower to provide renewable energy. Nigeria, according to available data, can generate 1,000MW of renewable energy.
If properly harnessed, this can help address the present power supply challenge, and assist Nigeria meet the Paris Agreement Projections as well as the SDGs. A recent report by the World Bank showed that Nigeria has the largest energy deficit in Africa, with over 90 million Nigerians not connected to the national grid.
Only 56.5 per cent of the population has access to electricity. This means that about 97 million Nigerians or 43.5 per cent do not have access to electricity. Also, the African Development Bank (AfDB) estimates that 40 per cent of Nigerian households spend $14billion (over N700million) annually on fuel and diesel for their generators.
The present administration has not been able to meet its promise of generating 10,000MW of electricity. The government has invested N1.7trillion in the power sector between 2017 and 2020. Vice President Yemi Osinbajo said N900 billion was spent on the sector between 2015 and 2019. In spite of this investment, the power supply has been epileptic. All the changes in the sector through privatisation have not yielded the desired results. The 11 power Distribution Companies (DisCos) across the country have not lived up to expectations.
Unstable power supply, high tariff and constant grid collapse remain unsolved. The national grid collapsed many times in the first and second quarters of 2022, recording a cumulative crash of 1,713.55 gigawatts-hour (GWh) during the six-month period. Incessant technical faults, gas constraints, obsolete equipment and lack of maintenance have been blamed for collapse of the national grid. But power supply remains a critical catalyst for economic development.
Therefore, any move to revamp the energy sector must be comprehensive. It also requires the coordination of policies that will ensure the success of the nation’s energy transition plan. For the renewable energy option to work, government should provide the necessary policy framework and a stable business and political environment for investors to come in. Nigeria currently generates 80 per cent of electricity supply from fossil fuels. A mixture of both energy sources can enable Nigeria meet its power needs before phasing out fossil fuels.
The new power plan is good. However, it requires adequate implementation. Nigeria needs to take a cue from South Africa and Egypt that have made remarkable progress in renewable energy infrastructure, though with minimal challenges. The government and major stakeholders in the sector should be committed to the new power plan. That is one of the fundamental problems with the DisCos. The narrative must change.
This is time to shift emphasis on fossil fuels to clean and affordable energy. Renewable-based energy transitions can, indeed be a powerful force agent. That is where the world is going. Nigeria should not be left behind. With total renewable energy estimated at 30,129.4GW, Nigeria can meet some of its energy needs. One critical thing that is needed is a transformational leadership that will turn promises into reality.
There is no socioeconomic development without sufficient energy supply. Nigeria needs 40,000MW to meet its power supply requirement, but it is currently generating less than 5,000MW. The country needs to tap the vast hydro, thermal, wind, solar and coal sources that are abundantly available to be able to address its current energy deficit.