In the second quarter of 2023, Nigerian power distributors rejected an average of 114.53 megawatts-hour/hour of electricity, despite low power supply across the country, according to the Nigerian Electricity Regulatory Commission (NERC). NERC’s 2023 Second Quarter report also indicated that power distributors installed 178,864 new meters during this period. Complaints from power users increased by about 31%, and power generation was hindered by mechanical faults and gas constraints.
NERC’s data showed that all 11 power distribution companies accepted less power than their contracted capacities, leading to an average cumulative load rejection of 114.53MWh/h. Since July 2022, the Nigerian Electricity Supply Industry has been operating under the Partial Activation of Contract regime, which defines the target volume of energy to be off-taken by distribution companies (Discos).
NERC stated that under the PAC regime, Discos have take-or-pay obligations on their Partially Contracted Capacity (PCC), which means they must pay for the available capacity regardless of their offtake. Persistent load non-offtake beyond certain thresholds may trigger regulatory actions against Disco management. Eko Disco was the only one that exceeded its PCC during the quarter.
The report also noted that 178,864 meters were installed in the second quarter of 2023, representing a 2.04% increase compared to the first quarter. The majority (168,397 meters) were installed under the Meter Asset Provider (MAP) framework, while 9,302 meters were installed under the National Mass Metering Programme (NMMP) framework. As of June 30, 2023, 44.16% of registered electricity customers were metered.
Furthermore, customer complaints increased by 30.52% compared to the first quarter. Ibadan Disco received the highest number of complaints, while Yola Disco received the least.
The findings indicate ongoing challenges in the Nigerian power sector, including load rejection, metering, and customer complaints.
Stay tuned for further updates on the Nigerian power sector.