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FG pushes states to establish power firms as blackouts persist

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Apparently overwhelmed by the country’s power woes, the Federal Government is pushing this challenge to the 36 states, asking them to take over power generation, transmission, and distribution.

The Federal Government said this was the only solution to the power crisis in the country.

The Minister of Power, Adebayo Adelabu, said this in Lagos on Tuesday at the Nigeria Energy Leadership Summit.

Despite a series of efforts to make power available to Nigerians, the power sector seems to have defied all solutions by successive governments to sanitise the industry.

Speaking at the conference, Adelabu said the Federal Government was aware that power centralisation could never work for Nigeria, and that was why President Bola Tinubu’s administration signed the Electricity Act in 2023.

“On legislation, the enactment of the Electricity Act 2023 remains a major milestone. Sincerely, it is the pathfinder.

It provides a robust governance and regulatory framework for the Nigerian electricity supply industry.

The Act devolves regulatory powers to the states, enables subnational markets, promotes competition, and empowers private participation across the value chain.

“The impact of this legislation includes decentralisation and liberalisation. A country as big as Nigeria, with almost a million square kilometres of landmass, over 200 million people, millions of businesses, thousands of institutions (health and educational institutions), 36 states plus the Federal Capital Territory, and 774 local governments—centralisation cannot work for us.

The responsibility of providing stable electricity can never be left in the hands of the Federal Government.

“At the centre, you cannot, from Abuja, guarantee stable power across the country. So this is one thing that the Act has achieved—decentralisation. That has now allowed all the states or the subnationals to play in all segments of the power sector value chain—generation, transmission, distribution, and even service industries supporting the power sector,” he stated.

Presently, Adelabu said the Federal Government was pursuing a comprehensive agenda to reposition the power sector for sustainability, efficiency, and growth.

“This approach spans critical pillars, which include legislation, policy reforms, infrastructure development, energy transition, asset expansion, local content, and capacity development. each designed to address structural challenges, unlock private capital, and enhance service delivery across the electricity value chain, to achieve functional, reliable, affordable electricity throughout Nigeria to power our households, our businesses, our offices, our institutions, and our industries, thereby improving the economic prosperity of our people,” he noted.

The minister maintained that the private sector must get involved if the nation is serious about having a reliable power sector.

“The investment required can never be made available by the government. There are too many competing sectors—education, health, defence, works, aviation, and so on. They all compete for the limited funds from the Federal Government. So, given the level of investment required in this sector, we need private capital infusion, both local and foreign. The developed nations have done their bit, and they are still supporting us, but it can never be enough if private sector investors are not involved. That’s one advantage of this legislation, and I believe the states and private sector investors are up to the task.

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“The Act devolves regulatory powers to the states, enables supply chain markets, promotes competition, and empowers private participation across the value chain. This represents a clear shift towards a liberalised and investment-friendly electricity market,” he stressed.

15 states get regulatory autonomy

Since the passage of the Electricity Act, Adelabu said 15 states have received regulatory autonomy and established subnational electricity markets, with one, Enugu, fully operationalised through the Enugu Electricity Regulatory Commission.

“I believe other states will follow suit in operationalising the autonomy granted, with full collaboration of the national regulator. We are working actively with these states to ensure strong alignment between the wholesale market and the retail market.

“In this regard, we believe the active involvement of the state governments, particularly in the off-grid segment, is critical, given the series of roundtable engagements held with governors by the Rural Electrification Agency, as well as ongoing efforts to closely track the distribution companies’ performances within their respective jurisdictions. The Managing Director of REA, Abba Aliyu, has held meetings with almost 20 states regarding the national electrification programme across the country, and this is an opportunity and a platform for the subnationals to leverage and start to activate the autonomy they have been granted,” Adelabu emphasised.

He charged the states to raise the bar.

“The states must raise the bar. I know Lagos State said it is ready to lead the pack. Let that not end on our lips. We must take the necessary steps to achieve this. They say that cows don’t make milk; we milk the cows. You need to take steps to ensure you activate this autonomy. We must take that step to milk the cow and make it up.

“Beyond that, we need to start engaging local and foreign investors at the state level. We have the autonomy. There are lots of investors interested in establishing generation outfits in your states. It could be thermal, small hydro, solar, or a wind farm to generate power in your states. It guarantees the energy security of your state. A lot of our states are bigger than some West African countries, and they’re running as countries. Who says we cannot run our states the way these people run their countries?

“We have the autonomy; we have the platform legally now. So, I believe we need to take the right step and get more involved, especially when it comes to the rural areas, the unserved communities, the underserved communities, and the semi-urban areas. You can start from that, not just providing electricity to households or lighting up households with solar systems and all that. You can do that, but it must include productive use of equipment that can boost the prosperity of your people at the rural level.

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“There is a rural economy with huge potential, not just in agriculture alone. There are some small-scale enterprises in the local environment that can be boosted by supplying reliable electricity,” he added.

States told to challenge DisCos, TCN

The minister charged state governors to start challenging power distribution companies and the Transmission Company of Nigeria.

“You need to start challenging the TCN when it comes to grid supply. The transmission company has been broken into two, now the Transmission Service Provider and the Nigerian Independent System Operator. Challenge them: ‘Take light to my state, drop light for me,’ then you take up the decision from there.

“Now you need to get closer to the DisCos. You have to drive the DisCos. You have to track their performance. You have to monitor their performance because the provision of electricity is an electoral promise of every state governor. Challenge DisCos, get closer to them, and monitor their performance. NERC or the Ministry of Power cannot effectively track these DisCos from Abuja. You are closer to them. Challenge them, and they will provide power for your people,” Adelabu said.

States are ready – Enugu commission

Speaking with our correspondent at the conference, the Chairman and Chief Executive Officer of the Enugu Electricity Regulatory Commission, Chijioke Okonkwo, said states are ready to provide a stable power supply to residents.

Okonkwo maintained that the minister was right when he said states had to take over power generation, transmission, and distribution, saying, “That is the way to go.”

He said Enugu took the lead by establishing its regulatory commission.

He invited investors to come and build mini-grids in Enugu, saying the state and its policies are investor-friendly.

The Governor of Lagos State, Babajide Sanwo-Olu, who was represented at the event by the Commissioner for Energy and Mineral Resources, Biodun Ogunleye, also invited investors to the state.

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Sanwo-Olu said the state was ready to collaborate with anyone or organisation willing to invest in the state’s electricity market.

The Governor of Katsina State, Dikko Radda, represented by his deputy, Faruk Lawal-Jobe, also disclosed the state’s readiness to invest in the power sector, collaborate with investors, and light up the state.

Speaking on power commercialisation, Adelabu noted that the government was deepening this to strengthen revenue, liquidity, and investor confidence.

According to him, through tariff policy reforms that enable cost-reflective tariffs for select consumers, supply reliability has improved while reducing energy costs for industries.

Industry revenue, he added, had increased by 70 per cent to N1.7tn in 2024 compared with the previous year, and revenue is expected to exceed N2tn in 2025.

At the Nigeria Energy Conference, Adelabu told stakeholders, investors, financiers, and innovators that Nigeria’s power sector remains open and ready for business more than ever before.

“We recognise that achieving the scale of investment required to transform the sector demands greater private sector participation across the entire value chain, particularly in the transmission segment. A useful reference is South Africa’s ambitious $25bn transmission grid expansion initiative, which seeks private developers to deliver 14,000 kilometres of new power lines and connect over 59 gigawatts of new capacity within the next 14 years. This is remarkable when compared with Nigeria’s Presidential Power Initiative (the Siemens project) valued at $2.3bn,” he said.

The minister regretted that Nigeria currently has over 10GW of stranded generation capacity—energy that could power industries, create jobs, and even support electricity exports to neighbouring countries through the regional power pool.

“We are therefore open to strategic partnerships to mobilise the necessary investments and unlock this potential. Our market fundamentals are improving, our policy environment is clear, and the national leadership is committed to creating the enabling conditions for long-term investment and innovation,” he submitted.

Since the Electricity Act was signed in 2023, 21 states have yet to set up their electricity markets. The 15 that have autonomy have not invested in the value chains as they look up to investors.

Adelabu’s charge might be a wake-up call to states to recognise the enormity of the power they now possess under the current legislation. If the states heed his call and invest in the value chains, experts believe this will disrupt the sector, boost power accessibility, reduce reliance on the national grid.

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Pentagon restores name of US Pacific Command

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The Pentagon is set to restore the name of the US Indo-Pacific Command to the US Pacific Command, it said on Tuesday, reversing a 2018 decision.

The renaming will not change the command’s area of responsibility, which stretches from the western part of India to America’s Pacific coastline, the Department of War said in a statement.

Its “fundamental mission and its unwavering commitment to maintaining a free and open theatre alongside regional allies and partners” also remain unchanged, it added.

The name change “honours the command’s deep historical roots, fostering a sense of pride and collective spirit among all who serve in the Pacific,” the department said, without giving additional details.

The US Pacific Command was established by former President Harry Truman after World War II.

It operated under that name for over 70 years before being renamed as the US Indo-Pacific Command in 2018, in a nod to the growing importance of the Indian Ocean in US strategic thinking.

The 2018 name change also came as part of broader efforts by Washington to counter China’s growing influence across the Asia-Pacific domain.

AFP

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Labour to engage FG on minimum wage review

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The Nigeria Labour Congress and the Trade Union Congress said they will restart negotiations with the Federal Government over a new national minimum wage, warning that workers can no longer cope with rising living costs as inflation continues to erode real incomes.

The unions are pushing for what they described as a “genuine living wage” to replace the current framework, which they said no longer reflects Nigeria’s economic realities, particularly sharp increases in food, transport, housing, and healthcare costs.

The position was contained in a joint address delivered at the 114th International Labour Conference in Geneva on Monday, where the unions also rejected any proposal to tax the minimum wage or impose additional fiscal burdens on low-income earners.

Nigeria’s current minimum wage of N70,000 was signed into law on 18 July 2024, in an agreement between organised labour and the federal government. President Bola Tinubu formally announced the wage on 19 July 2024, and it took effect on 29 July 2024.

The agreement originally set a three-year review cycle, shifting from the previous five-year arrangement. However, in January 2025, the Federal Government adjusted the framework, announcing that the minimum wage would now be reviewed every two years, effectively setting 2026 as the next review point.

In light of this, labour leaders said they intend to formally open discussions with the federal government ahead of the July 2026 wage renegotiation deadline, in a bid to prevent the delays that have often hindered previous minimum wage reviews.

“The current Act expires early next year, and we have announced that renegotiation will commence by July 2026 to avoid the painful delays of the past. As soon as we leave here, we shall write again to the government demanding the commencement of the process for renegotiating the national minimum wage,” the unions said.

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The labour leaders said workers are already under severe pressure from inflation, currency depreciation, and rising costs across essential services, arguing that official economic indicators do not reflect the daily realities of most households.

They warned that taxing the minimum wage would worsen poverty and deepen economic hardship at a time when many citizens are struggling to meet basic needs.

“We demand nothing less than a genuine living wage that reflects today’s harsh economic realities. We also demand immediate relief measures by governments at all levels until a new minimum wage is signed into law. We reject outright any attempt to tax the minimum wage or impose further burdens on the poor,” the unions said in their communiqué.

The unions stressed that the upcoming negotiations must go beyond nominal wage adjustments and instead focus on protecting real incomes, which they said have been steadily eroded by inflation.

They also urged federal and state governments to introduce short-term relief measures pending the conclusion of negotiations, warning that delays could heighten industrial tensions across the country.

Beyond wage concerns, the labour movement used the Geneva platform to highlight broader economic and social challenges, including insecurity, unemployment, and rising poverty levels.

They said insecurity in several parts of the country has made commuting increasingly dangerous for workers, with killings, abductions, and displacement affecting productivity and livelihoods.

According to the unions, nearly 2,000 people were killed in the first quarter of the year, while millions have been displaced, with entire communities and economic activities disrupted by violence.

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They warned that worsening insecurity could force workers to remain at home as a survival response, escalating tensions beyond traditional labour action if not urgently addressed.

The labour leaders also said about 65 per cent of Nigerians, estimated at roughly 150 million people, are currently living in multidimensional poverty, driven by inflation, job losses, and declining purchasing power.

They argued that while macroeconomic reforms are aimed at stabilisation, they have yet to translate into improved living standards for ordinary citizens.

As the 2027 general elections approach, the unions said they are developing a charter of demands to shape their engagement with political actors and inform their support for candidates, noting that  only political actors who commit to improved security, functional public services, wage reforms, and protection of labour rights would receive their backing.

The labour movement also raised concerns over alleged interference in union affairs in some states, accusing certain governments of undermining democratically elected labour leadership structures.

They emphasised that organised labour would resist any attempt to weaken union independence or impose external control on labour organisations.

As the current wage regime approaches its 2026 review window, the unions said their priority remains securing a wage structure that reflects economic realities and protects workers from further erosion of income.

They maintained that the outcome of the upcoming negotiations would determine whether Nigerian workers receive what they termed a “living wage” or continue to endure worsening economic hardship.

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Ribadu, Akpabio advocate tech-driven border control over Insecurity

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The National Security Adviser, Nuhu Ribadu, and President of the Senate, Godswill Akpabio, on Tuesday called for the deployment of modern technology and stronger regional cooperation to strengthen Nigeria’s border security architecture and address growing security threats across the country.

FILE: Akpabio

They made the call at the opening of the 15th National Security Seminar organised by the Alumni Association of the National Defence College in Abuja.

Represented by the Director of Policy and Strategy at the Office of the National Security Adviser, Yazid Gbemudu, the NSA said Nigeria’s territorial integrity and national stability were closely tied to the effectiveness of its border security framework.

He noted that while Nigeria’s extensive land and maritime borders facilitated trade, regional integration and socio-economic development, they also exposed the country to threats including terrorism, arms trafficking, smuggling, human trafficking, irregular migration and other forms of transnational organised crime.

According to him, weak border governance creates vulnerabilities that can be exploited by criminal and terrorist networks, thereby undermining national security and development efforts.

“A major pillar of Nigeria’s contemporary border security framework is the National Border Management Strategy, which promotes an integrated border management approach.

“The strategy seeks to enhance intelligence collaboration, strengthen border infrastructure, improve surveillance capabilities and modernise border management processes,” he said.

Ribadu said the deployment of Border Management Information Systems and other technological solutions at key entry and exit points had improved data collection, traveller screening and migration monitoring.

“These initiatives demonstrate Nigeria’s commitment to aligning its border management practices with international standards,” he added.

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The NSA stressed the need for the full implementation of an integrated border management system to improve coordination among security, intelligence and law enforcement agencies.

“Effective intelligence sharing, joint operations and harmonised border procedures are essential for addressing contemporary security threats,” he said.

He also advocated increased investment in technology-driven border security solutions.

“Expanding surveillance systems across land, maritime and coastal borders will significantly improve monitoring capabilities and reduce illegal cross-border activities.

“Modern challenges require modern solutions, including biometric identification systems, advanced border monitoring technologies and data-driven security frameworks,” Ribadu stated.

The NSA further emphasised the importance of regional and bilateral cooperation, noting that many of the security challenges confronting Nigeria’s borders were transnational in nature and required coordinated responses among neighbouring countries.

He also called for greater investment in border communities through sustainable development, improved infrastructure and economic opportunities to reduce their vulnerability to criminal exploitation.

“Strengthening Nigeria’s border security architecture is fundamental to ensuring national stability, protecting territorial integrity and promoting socio-economic development,” he said.

Ribadu, however, acknowledged challenges such as porous borders, inadequate infrastructure, limited technological capabilities and gaps in inter-agency coordination, saying they required urgent attention.

“Border security is a shared responsibility that requires the collective efforts of security agencies, government institutions, border communities and international partners,” he added.

Speaking at the event, Akpabio, who was represented by the Chairman of the Senate Committee on Defence, Ahmad Lawan, said Nigeria’s extensive land and maritime boundaries posed significant security challenges.

“As a country with extensive land and maritime boundaries, Nigeria faces significant challenges relating to border control, illegal migration, arms trafficking, smuggling and the infiltration of criminal and extremist elements.

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“It is, therefore, imperative that Nigeria prioritises the strengthening of its border security architecture through improved surveillance, enhanced infrastructure, better inter-agency coordination, technological innovation and stronger regional cooperation,” he said.

Akpabio noted that many of the security threats confronting Nigeria had transnational dimensions, making coordinated responses essential.

He stressed that peace and security remained prerequisites for meaningful national development.

“There can be no meaningful development without peace and security. Porous and poorly managed borders can become vulnerabilities that undermine national security efforts and national stability,” he said.

The Senate President also advocated a whole-of-government and whole-of-society approach to addressing insecurity.

According to him, government institutions, security agencies, civil society organisations, the private sector, traditional institutions, the media and academia all have critical roles to play in safeguarding the country.

Earlier, the Acting President of AANDEC, Commodore Amatare Kpou (retd.), described the seminar as a key platform for promoting informed discourse on national security challenges and opportunities.

Kpou said the theme of the seminar, “Strengthening Nigeria’s Border Security Architecture for National Stability,” was timely, given the growing threats of irregular migration, smuggling, trafficking and other cross-border crimes.

He expressed confidence that the deliberations would generate useful recommendations for policymakers and contribute to efforts aimed at building a safer and more secure Nigeria.

Nigeria shares over 4,000 kilometres of land borders with neighbouring countries and an extensive coastline, making border security a critical component of national security.

Authorities have repeatedly identified porous borders as channels for terrorism, arms smuggling, human trafficking and other transnational crimes.

The Federal Government has in recent years intensified efforts to strengthen border management through technology, intelligence sharing and regional cooperation.

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