Abuja, August 20, 2024 – The Nigerian Electricity Regulatory Commission (NERC) has issued permits to several companies, including MTN Communications Nigeria Limited and Golden Penny Power Limited, to generate electricity through mini-grid systems.
The commission revealed that it granted nine new off-grid generation licenses in the first quarter of 2024, with a combined capacity of 109.69 megawatts. Three new trading licenses were also issued.
Golden Penny Power Limited received authorization to build six off-grid gas plants in Lagos, Oyo, Ogun, and Cross River states, with a total capacity of 100MW. MTN was granted permission to establish four captive generation plants in Lagos State, totaling 15.94MW.
Other companies granted captive power generation permits include SweetCo Foods Limited, African Steel Mills Nigeria Limited, West African Ceramics Limited, Royal Engineered Stones Limited, and Armilo Plastics Limited.
“Captive power generation permits are issued to entities that aim to own and maintain power plants for generating power for consumption and not for sale to a third party,” NERC stated.
The commission also issued three mini-grid permits and two registration certificates in the first quarter of 2024, demonstrating its commitment to promoting renewable energy development.
“Following the satisfactory evaluation of mini-grid applications, the commission issued three mini-grid permits and two registration certificates in 2024/Q1,” the NERC stated.
In addition, NERC certified six Meter Service Providers, including four meter installers and two meter manufacturers. The commission also issued one regulation and 36 new Orders during the period, covering a range of topics including eligible customer regulations, multi-year tariff orders, and performance improvement plans for electricity distribution and transmission companies.
These developments highlight the Nigerian government’s efforts to address the country’s persistent power challenges by encouraging private sector involvement in electricity generation and distribution. The expansion of mini-grid systems is expected to provide more reliable and affordable electricity to underserved communities across Nigeria.
