GENCOs, TCN, DISCOs on War Path over Power Losses

Following the continuous worsening power outages the privatised Generating Power Companies (GENCOs), the Transmission Company of Nigeria (TCN) and the Distribution Power Companies (DISCOs) are now on each other’s neck over who bears the cost of power losses from evacuation points through the national grid to the distribution network. This is due to dilapidated facilities at both the transmission level and distribution network.

At a meeting at the instance of Eko Disco in Lagos, the power companies could not reach an agreement as the GENCOs insisted that TCN should be held responsible for all the power losses from the generating stations through the national grid to the Discos.

However, the TCN argued that whatever quantity of power is supplied from the generating stations are directed to the Discos, therefore they should pay for it. But the Discos explained that they cannot pay for the power losses from the Gencos through the transmission lines managed by the TCN.

According to a source at the meeting, the Gencos claimed they had produced 200MW only for the Discos to receive less than 160MW, about 20 percent less than what the Gencos claimed they generated and evacuated. However, the Discos maintained that they will only bear the cost of the losses at the distribution network to consumers.

Meanwhile, the Minister of Power, Prof. Chinedu Nebo has expressed dissatisfaction over the worsening power supply nationwide. At a meeting with the power owners, he advised them to collaborate with each other to ensure that the power situation improves; assuring that the government will give every necessary support to them.

He reminded them of the additional generation capacity by the recent commissioning of two National Integrated Power Projects (NIPPs) at Alaoji and Olorunsogo. Nebo said there are plans to commission other NIPP plants upon the completion of the projects. The minister described the DISCOs as the vital link in the service delivery chain.

He expressed strong commitment and willingness of the Federal Government to continue to support operations of the Generation and Distribution Companies to actualise the plans to meet the energy needs of customers in both the private and public sectors.

Image Credit: psychologytoday

spot_img
spot_img
spot_img
spot_img

Hot this week

RMBN Money Market Fund Receives Two-Notch Upgrade to ‘A+’ from Agusto & Co.

RMB Nigeria Asset Management Limited (RMBN AM) has received...

NCDMB, SNEPCo, LADOL Launch Human Capacity Development Programme for Supply Base Services

The Nigerian Content Development and Monitoring Board (NCDMB), in...

NCDMB Hosts Ghana National Oil Coy on Local Content Benchmarking Study

  R-L: Dr. Obinna Ezeobi, General Manager, Corporate Communications, Esueme...

NCDMB’s Oil & Gas Park to Become Operational Q4 2026

The Nigerian Oil and Gas Park Scheme (NOGaPS) at...

Is the Era of the POS Operator Coming to an End?

By Elvis Eromosele Step outside your home in Lagos, Kano,...

Topics

Stanbic IBTC Holdings to Host 7th Edition of its Youth Leadership Series 

Stanbic IBTC Holdings, a leading financial services group committed...

FUG Pensions Partners Down Syndrome Foundation On CSR

The Future Unity Glanvills (FUG) Pensions Limited, one of...

Facebook Celebrates ‘Icons of Change in sub-Saharan Africa

Facebook has celebrated 40 young leaders, developers, entrepreneurs and...

How to Tap into Multi-Million Short-Let Real Estate Market

By Dennis Isong For a long time, most investors were...

Improving Digital Economy through AI and IoT

By Elvis Eromosele The world has gone digital. From the...

Ecobank Unveils “EPAC Studios” to Promote Africa’s Creative Industry

Ecobank Nigeria has opened a creative studio for the...

Life Insurance Explained: Why Staying the Course Matters More Than Early Withdrawal

In response to recent media inquiries highlighting common misconceptions...

Sanwo-Olu Unveils Lagos Shopping Festival Symbol

L-R: Managing Director/CEO, Guinness Nigeria Plc, Mr. Girish Sharma;...
spot_img

Related Articles

Popular Categories

spot_imgspot_img