Power remains abysmally poor

Nigerians scoring the power sector below average, some would say is being very generous in view of the prevalent crisis in the nation’s power sector, which has gone on for decades, unabated. But with the sale of the unbundled power companies from PHCN, to private investors, KUNLE KALEJAYE, writes that there is hope for better days ahead.

There were mixed feelings by Nigerians in describing the power sector 53 years after independence. For some, the sector has gone through an unforgettable process, while others believe that privatisation is the long awaited answer for the sector.

Historical background

The Chairman, Electric Power Foundation, Mr. Otis Anyaeji, speaking, recalled that the total installed capacity in 1972 was 523.6 megawatts. By 1990, this had increased to 6,000MW.

Anyaeji, who spoke at the WorldStage National Power Conference in Lagos, noted that things went awry for the sector as successive administrations neglected power infrastructure, thereby resulting into a state of dilapidation.

By 1999, Anyaeji stated that electric power production fell to 1,975MW down from about 6,000MW in 1990, as a result of neglect of the sector. “That was the era of constant load shedding/blackouts, stagnated industrial growth, extermination of small businesses (apart from buying and selling), discouragement of foreign investment and low capital inflow.

“The position of the power sector as the starting point and driving force for any meaningful development of any economy cannot be over-emphasized. The extent of achievement of Nigeria’s declared goal of being among the top 20 economies in the world (in year 2020) must be measured by the quantum of electricity production in Nigeria, and the extent of its consumption/application.

Industry analysts also recalled that to integrate electricity power development and make it effective, the then-colonial government in 1950, passed the Electricity Corporation of Nigeria, ECN Ordinance No. 15 of 1950. With this ordinance in place, the electricity department and all those undertakings which were controlled came under one body.

The ECN and the Niger Dam Authority (NDA), were merged to become the National Electric Power Authority (NEPA), with effect from the 1st April 1972, but he noted that the actual merger did not take place until 6th Jan