NERC Advances Energy Sector with New Mini-Grid Permits, Captive Power Licenses, Metering Certifications, and Regulatory Orders
3 min read
The Nigerian Electricity Regulatory Commission (NERC) has awarded permits for mini-grid electricity generation to several companies, including Golden Penny Power Limited, MTN Communications Nigeria Limited, and Havenhill Synergy.
In its latest update, NERC revealed that it issued nine new off-grid generation licenses in the first quarter of 2024. These licenses collectively cover a total gross capacity of 109.69 megawatts. Additionally, three new trading licenses were granted.
According to the commission’s report, Golden Penny Power Limited has been licensed to establish six off-grid gas power plants across Lagos, Oyo, Ogun, and Cross River states. These plants will have a combined capacity of 100 megawatts.
MTN Communications Nigeria Limited has also received a permit to develop four captive generation plants within Lagos State, with a total capacity of 15.94 megawatts.
The Nigerian Electricity Regulatory Commission (NERC) has expanded its support for power generation by issuing several new permits in the first quarter of 2024. Among the entities receiving approval are SweetCo Foods Limited, African Steel Mills Nigeria Limited, West African Ceramics Limited, Royal Engineered Stones Limited, and Armilo Plastics Limited, in addition to MTN Communications Nigeria Limited.
Additionally, the commission has granted new permits for captive power generation to several companies, including SweetCo Foods Limited, African Steel Mills Nigeria Limited, West African Ceramics Limited, Royal Engineered Stones Limited, and Armilo Plastics Limited, alongside MTN Communications Nigeria Limited. Captive power generation permits allow entities to build and operate power plants for their own consumption rather than for sale to third parties. In total, nine such permits were issued in Q1 2024, with a cumulative nameplate capacity of 52.57 megawatts.
Other licensed companies for mini-grid projects include Daybreak Power Solutions, TIS Renewable Energy Limited, Auro Nigeria Private Limited, Watts Exchange Limited, Centum Dopemu Energy Services Ltd, and DMD Electric Limited.
“Following the satisfactory evaluation of mini-grid applications, the commission has issued these permits and certificates to foster the development of small-scale, localized energy solutions,” NERC stated.
Additionally, NERC has certified six Meter Service Providers during this period. This certification includes four meter installers and two meter manufacturers. A Meter Service Provider is defined as an entity certified by the commission to manufacture, supply, sell, or install electric energy meters and metering systems.
These moves are part of NERC’s broader efforts to enhance energy infrastructure and promote the efficient and reliable delivery of electricity across Nigeria.
In the first quarter of 2024, the Nigerian Electricity Regulatory Commission (NERC) has issued significant updates regarding metering services and regulatory directives.
NERC has certified six Meter Service Providers, enhancing the metering landscape. The certified entities are:
– **Installers:** Genobet Limited, Mojec Meter Asset Management, Epagad International Services Limited, Abdulrahman Ahmadu Zubairu
A Meter Asset Provider is an entity authorized by NERC to deliver a range of metering services, including financing, procurement, supply, installation, maintenance, and replacement of meters.
**Regulatory Orders and Regulations:**
The commission issued one new regulation and 36 orders in the first quarter of 2024. Key updates include:
– **Eligible Customer Regulations 2024 (NERC–R–001–2024)**
– **Multi-Year Tariff Orders for Distribution Companies (NERC/2023/023–NERC/2023/033)**
– **MYTO 2024 for the Transmission Company of Nigeria Plc (NERC/2023/034)**
– **Order on Performance Improvement Plan for the Transmission Company of Nigeria (NERC/2023/035)**
– **Regulatory Intervention in Kaduna Electricity Distribution Plc (NERC/2024/001)**
– **Orders on Noncompliance with Estimated Billing Capping by DisCos (NERC/2024/004–NERC/2024/014)**
– **February 2024 Supplementary Orders to the Multi-Year Tariff Order for DisCos (NERC/2024/016–NERC/2024/036)**
These measures are aimed at regulating and improving the electricity sector’s operations and ensuring compliance among licensees.
About The Author
