Nigeria Reduces Electricity Supply to Niger Republic Amid Regional Sanctions
Power Export Cut by 42% as Nigeria Faces Domestic Energy Crisis
Nigeria has significantly reduced electricity exports to the neighboring Niger Republic, slashing supply from 80 megawatts to just 46 megawatts. This 42% reduction comes as part of ongoing regional sanctions against the military junta that overthrew democratically elected President Mohamed Bazoum in July 2023.
Impact on Niger’s Power Supply
Niger’s Energy Minister, Haoua Amadou, confirmed the reduction, stating it has caused the country’s electricity production to drop by 30-50%. The state-owned power company Nigelec has been forced to implement planned power outages that may last several days, particularly affecting the capital city of Niamey.
“While Nigeria has resumed electricity deliveries, they’re now providing only 46 megawatts instead of the usual 80 megawatts,” Minister Amadou disclosed.
Nigeria’s Domestic Power Challenges
The reduction comes as Nigeria struggles with its own power generation crisis. Currently producing slightly above 5,000 megawatts for its population of over 200 million, the country falls far short of the estimated 30,000 megawatts needed for energy sufficiency.
Nigeria’s power sector relies heavily on thermal and hydroelectric sources, with natural gas fueling its 29 thermal plants. However, low gas supply and inadequate infrastructure investments have severely constrained generation capacity.
N4 Trillion Debt Crisis Threatens Power Sector
Adding to Nigeria’s energy woes, power generation companies (GenCos) have threatened to shut down operations due to mounting debts exceeding N4 trillion. This includes N2 trillion for 2024 power supplies and N1.9 trillion in legacy debts.
The Association of Power Generation Companies, led by retired Colonel Sani Bello, warned that the liquidity crisis could lead to plant shutdowns without urgent government intervention. Currently, GenCos receive less than 30% of their monthly invoices for power supplied to the national grid.
Government Response to the Crisis
Power Minister Adebayo Adelabu has pledged to address the debt situation. His Special Adviser, Bolaji Tunji, confirmed the government is taking concrete steps to resolve the issue, with the Finance Ministry expected to oversee payments soon.
The GenCos have accused the Nigerian Bulk Electricity Trading Plc of inequitable treatment under the NESI’s “waterfall arrangement,” where they receive only 9-11% of due payments while other service providers get full settlement.
Source: AllAfrica