The federal government, FG, has decided to cut electricity supply to Benin Republic, Niger and Togo to improve domestic supply.
The Nigerian Electricity Regulatory Commission (NERC) ordered a department within the Transmission Company of Nigeria (TCN), the System Operator (SO), to reduce power supply to the three neigbhouring countries to six per cent.
NERC’s order, effective from May 1, 2024, was jointly signed by the commission’s Chairman, Sanusi Garba, and Vice Chairman, Musiliu Oseni.
The directive, outlined in a document titled ‘Interim Order on Transmission System Dispatch Operations, Cross-border Supply, and Related Matters,’ will only last for six months, subject to change.
According to NERC, power delivery to Nigeria’s neighbours must not exceed six per cent of the total grid electricity at any given time.
NERC expressed concern about sub-optimal grid dispatch practices, which have impacted the ability of Distribution Companies (DisCos) to meet their service tariff commitments to end-users.
“The reliance on limiting Discos’ load off-take while prioritising international off-takers and Eligible Customers has proven neither efficient nor equitable,” the document read.
NERC stressed that the current international and bilateral contracts with Generation Companies (GenCos) often fall short of industry standards.
It stated that many off-takers contracted bilaterally by GenCos exploit this prioritisation, exceeding their contracted levels during peak operations without penalties.
As an interim measure, NERC said the move was targeted at guiding the system operator and TCN in implementing Standard Operating Procedures to enhance transparency and fairness in grid operations.
The order also called on the system operator to place interim caps on capacities supplied to international customers for the next six months, minimising the impact on domestic supply obligations by Gencos.
“The system operator will log and publish hourly readings, enforcing penalties for violations of grid instructions and contracted nominations. Maximum load allocation to international off-takers in each trading hour shall not exceed six per cent of the total available grid generation,” it read.