With the power situation in Nigeria going from bad to worse, Sam Amadi, chairman/chief executive officer, Nigerian Electricity Regulatory Commission (NERC) has recommended micro grid scheme for manufacturers in industrial zones. He said this could be panacea for power outages across the country.
A micro grid is a small-scale power grid which can operate independently or in combination with an area’s main electrical grid. It also has the capacity to supply electricity to businesses in a cluster while also affording them the opportunity to sell some energy to others.
Speaking during an interactive session with members of the Manufacturers Association of Nigeria (MAN) on the dwindling state of power supply to industrial zones recently in Lagos, Amadi stated that, “Nigeria can benefit from innovations across the world in the form of micro grid. We can have micro grid for industrial clusters. Manufacturers can come together and form a business platform. They can do some megawatts, dedicate that to a cluster through a distribution company (DISCO) and sell power to the promoters.”
Amadi said the NERC would encourage the federal government to use embedded power to create micro grids, saying that the country has achieved a framework that will guarantee grid expansion every two years.
Power supply has gone from bad to worse in the country as businesses spend a large chunk of their income on alternative sources of power on gas, diesel and fuel.
According to a 2014 survey carried out by MAN, manufacturers in the country spend N73.12 million monthly on alternative sources of power, as energy spend occupies 40 percent of their production costs. The situation forced manufacturers to resuscitate an independent power project (IPP) which it abandoned a couple of years ago.
“MAN incorporated a company for that process some time ago. But we were advised that power was going to improve, so we ended the project,” said Frank Udemba Jacobs, president, MAN.
He further said that the IPP will be mostly for manufacturers’ clusters. “Right now, we are resuscitating the project and very soon we will sign a memorandum of understanding (MoU) with foreign companies that will help in building it,” the MAN President said.
Jacobs disclosed that the body is looking at getting between 50 and 100 mega watts from the prospective IPP project.

Folashade Olubayo
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