To enhance domestic power supply, the Federal Government has decided to limit electricity sales to neighboring countries – Niger Republic, Togo, and Benin Republic.
The Nigerian Electricity Regulatory Commission (NERC) has directed the System Operator (SO) to cap power supply to these countries at 6%.
This order, effective from May 1, 2024, was signed by NERC’s Chairman, Sanusi Garba, and Vice Chairman, Musiliu Oseni, on April 29, 2024.
The directive, outlined in the ‘Interim Order on Transmission System Dispatch Operations, Cross-border Supply, and Related Matters,’ will be in place for six months, subject to review. According to the document, power delivery to neighboring countries must not exceed 6% of the total grid electricity at any given time.
NERC expressed concerns about sub-optimal grid dispatch practices, which have affected Distribution Companies’ (DisCos) ability to meet their service tariff commitments to end-users.
“The reliance on limiting Discos’ load off-take while prioritising international off-takers and Eligible Customers has proven neither efficient nor equitable,” the document read.
NERC stressed that the current international and bilateral contracts with Generation Companies (GenCos) often fall short of industry standards.