The Honourable Minister of Power, Bayo Adelabu, has engaged in crucial discussions with power-generating companies (GENCOs) and Distribution companies (DISCOs) to combat the persistent issue of blackouts plaguing parts of the country.
Following the yuletide improvement in power supply and setbacks in the new year, investigations revealed that the primary cause is the low supply of gas to GENCOs.
Adelabu personally visited facilities in Olorunshogo, Ogun State, and Omotosho, Ondo State, gaining firsthand insights into the challenges faced. Determined to address the root cause, the minister declared resolving the gas supply issue as the top priority.
During the discussions, attention was also directed towards the indebtedness to GENCOs by the Nigeria Bulk Electricity Trading Company (NBET).
Acknowledging the liquidity challenge in the sector, Adelabu assured stakeholders of active efforts to validate the debt and determine a fair resolution.
Recognizing the need for GENCOs to establish contractual arrangements with gas suppliers for a steady supply, the minister emphasized the commitment to working on concessions to stabilize the power sector.
Committee to Tackle Gas Supply and Indebtedness Challenges In Power Supply Sector
A committee involving all stakeholders is set to be formed to address the challenges related to gas supply and liquidity. Together, they will work on recommendations aimed at ensuring a more reliable and consistent power supply for Nigerian citizens, said the Minister.
Adelabu revealed plans to initiate discussions with the Minister of State for Petroleum Resources to emphasize collaboration and underscore the importance of prioritizing Gas to Power.
Expressing unwavering commitment, the Honourable Minister assured citizens of swift resolutions to the challenges affecting power supply. Recognizing the impact on the populace, the goal is to collaboratively work towards a brighter and more reliable energy future for Nigeria. Patience is requested as these efforts unfold.
Bayo Adelabu, Honourable Minister of Power made this known on his social media handle on Friday.