The Nigerian Electricity Regulatory Commission (NERC) has granted permits to Golden Penny Power Limited, MTN Communications Nigeria Limited, Havenhill Synergy, and several other companies to generate electricity via mini-grid systems.
In the first quarter of 2024, NERC issued nine new off-grid generation licenses totaling 109.69 megawatts and three new trading licenses.
Golden Penny Power Limited was authorized to construct six off-grid gas plants across Lagos, Oyo, Ogun, and Cross River states, with a combined generation capacity of 100MW.
Meanwhile, MTN received approval to establish four captive generation plants in Lagos State, with a total capacity of 15.94MW.
Other companies that secured 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 planning to generate electricity solely for their own use, without resale. NERC granted nine such permits in the first quarter of 2024, amounting to a combined capacity of 52.57MW.
Additional firms licensed for mini-grid projects include Daybreak Power Solutions, TIS Renewable Energy Limited, Auro Nigeria Private Limited, Watts Exchange Limited, Centum Dopemu Energy Services Ltd, and DMD Electric Limited, all based in Lagos State.
Under Section 165(1)(m) of the Electricity Act 2023, NERC is empowered to issue mini-grid concessions to renewable energy companies targeting specific geographic areas. These concessions outline the total electricity to be generated and distributed, with a commitment to serve any customer who requests the service.
NERC has actively promoted the growth and use of renewable energy by issuing permits and registration certificates for mini-grid projects. Permits are issued for mini-grids with a distribution capacity exceeding 100 kilowatts and a generation capacity up to 1MW, while registration certificates are for mini-grids with a distribution capacity below 100kW.
During the first quarter of 2024, NERC issued three mini-grid permits and two registration certificates after successfully reviewing applications.
In addition, NERC certified six Meter Service Providers in the first quarter of 2024, which included four meter installers and two meter manufacturers.
These providers are certified to produce, supply, install, or manage electric energy meters and metering systems. The certified companies are Genobet Limited, Mojec Meter Asset Management, Epagad International Services Limited, Abdulrahman Ahmadu Zubairu (all installers), Smart Meters Company Limited, and Crestflow Energy Limited (both manufacturers).
NERC also introduced one regulation and issued 36 new orders during the first quarter of 2024. These include the Eligible Customer Regulations 2024, the Multi-Year Tariff Order 2024 for Distribution Companies, and various orders concerning the operations and performance of the Transmission Company of Nigeria and Kaduna Electricity Distribution Plc.
These regulatory measures are designed to guide the activities of licensees and ensure adherence to industry standards.
