The Nigerian Electricity Regulatory Commission has issued permits to Golden Penny Power Limited, MTN Communications Nigeria Limited, Havenhill Synergy, and others for mini-grid electricity generation.
The NERC said it issued nine new off-grid generation licences in the first quarter of 2024 with a gross capacity of 109.69 megawatts and three new trading licences.
According to a report by the commission, Golden Penny Power Limited got a licence to build six off-grid gas plants in Lagos, Oyo, Ogun, and Cross River states. The total capacity is 100MW
Golden Penny Power Limited received a license to construct six off-grid gas plants across Lagos, Oyo, Ogun, and Cross River states, with a total capacity of 100MW. MTN Communications Nigeria Limited was also granted a permit to build four captive generation plants across Lagos State, with a total capacity of 15.94MW.
In addition to MTN, 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, as described by the NERC, are issued to entities intending to generate power for their own consumption and not for sale to third parties. “The commission issued nine captive power generation permits in 2024/Q1 with a total nameplate capacity of 52.57MW,” the report stated.
Other approved mini-grid firms in Lagos State operate mini-grids include Daybreak Power Solutions, TIS Renewable Energy Limited, Auro Nigeria Private Limited, Watts Exchange Limited, Centum Dopemu Energy Services Ltd, and DMD Electric Limited.
NERC’s push for mini-grid development also saw new licenses issued during this period. The commission issued three mini-grid permits and two registration certificates in Q1 2024, reinforcing its commitment to enhancing renewable energy usage in Nigeria.
These mini-grid projects, as outlined under Section 165(1)(m) of the Electricity Act 2023, allow companies to generate and distribute electricity within specific geographical areas.
“The commission has continued to encourage the development and utilization of renewable energy by issuing permits and registration certificates for mini-grid development,” NERC noted.
A permit is issued to a mini-grid developer for the construction, operation, maintenance, and where applicable ownership of mini-grids with distribution capacity above 100 kilowatts and generation capacity up to 1MW.
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The commission disclosed that it issues registration certificates to a mini-grid developer for one or more systems with distribution capacity below 100kW.“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.
During the period under review, NERC stated that it certified six Meter Service Providers, including four meter installers and two meter manufacturers.
A Meter Service Provider is an entity certified by the commission as a manufacturer, supplier, vendor, or installer of electric energy meters and/or metering systems. Meanwhile, a Meter Asset Provider is an entity that is granted a permit by the commission to provide metering services with roles that may include meter financing, procurement, supply, installation, maintenance, and replacement.
The certified meter service providers are Genobet Limited (installer), Mojec Meter Asset Management (installer), Epagad International Services Limited (installer), Abdulrahman Ahmadu Zubairu (installer), Smart Meters Company Limited (manufacturer), and Crestflow Energy Limited (manufacturer).
Futhermore, NERC also issued 36 new regulatory orders in 2024/Q1., which include key directives such as the “Eligible Customer Regulations, 2024 (NERC–R–001–2024),” and the “Multi-Year Tariff Order 2024 for the Distribution Companies (NERC/2023/023—NERC/2023/033).” These orders are designed to guide the activities of licensees and ensure compliance with the regulatory framework.
