ELECTRIC POWER INVESTORS’ FORUM by Bureau of Public Enterprises (BPE) Power Generation (Status and Outlook) PRESENTATION OUTLINE 1. INTRODUCTION 2. CURRENT STATUS OF POWER GENERATION 3. POWER GENERATION ISSUES 4. POWER GENERATION OUTLOOK 5. CONCLUSION Presidential Task Force on Power Page 2 INTRODUCTION Page 3 INTRODUCTION Nigeria has an installed generation capacity of 8,644MW of which 6,905MW is government owned. Over the past two decades, population has increased to 150 million, with an average GDP growth rate of 6.66%, over the last 5 years1. Within this period, power generation capacity has stagnated. These factors, combined with inadequate maintenance of existing power generation stations, have given rise to severe generation shortages. It is estimated that 26,561MW will be required in the next 9 years to meet demand as envisioned in the Vision 20: 2020 target. 1. Central Bank of Nigeria Annual Report 2009. Presidential Task Force on 4Power Page 4 CURRENT STATUS OF POWER GENERATION Page 5 OVERVIEW OF POWER GENERATION The Nigerian Power Generation sector can be detailed into the following sub-sectors: 6 (a) Existing Federal Government of Nigeria (FGN) Power Generation facilities. (b) Independent Power Projects. (c) National Integrated Power Projects. Existing Govt. Owned Power Stations – Hydro: S/N o Name of Generation Company Year of Const. Location 1 KAINJI/JEBBA HYDROELECTRIC PLC – Kainji Power Station 1968 Kainji, Niger State 760 480 2 KAINJI/JEBBA HYDROELECTRIC PLC – Jebba Power Station 1985 Jebba, Niger State 540 450 3 SHIRORO HYDROELECTRIC PLC . 1989 Shiroro, Niger state, Nigeria 600 450 1,900 1,380 TOTALS Presidential Task Force on Power Installed Installed Available Capacity (MW) Capacity (MW) Page 6 OVERVIEW OF POWER GENERATION (contd (contd) contd) Existing FGN Power Stations – Thermal: S/No Name of Generation Company Year of Const. Location 1 EGBIN POWER PLC 1986 Egbin, Lagos State 1320 1100 2 GEREGU POWER PLC 2007 Geregu, Kogi State 414 276 3 OMOTOSHO POWER PLC 2007 Omotosho, Ondo State. 304 76 4 OLORUNSOGO POWER PLC 2008 Olorunsogo, Ogun State 304 76 5 DELTA POWER PLC 1966 Ughelli, Delta State 900 300 6 SAPELE POWER PLC 1978 Sapele, Delta State 1020 90 7 AFAM(IV-V) POWER PLC 1963/01 Afam, Rivers State, 726 60 8 CALABAR THERMAL POWER STATION 1934 Calabar, Cross River State 6.6 Nil 9 OJI RIVER POWER STATION 1956 Oji River, Achi, Enugu State 10 Nil 5,004.6 1,978 TOTALS TOTALS Presidential Task Force on Power Installed Installed Available Capacity (MW) Capacity (MW) Page 7 OVERVIEW OF POWER GENERATION (contd (contd) contd) Independent Power Projects: Projects: The IPP’s are the non-FGN funded investment in the Nigerian power generation industry S/No Name of Power Plant Location Installed Installed Capacity (MW) Available Capacity (MW) 1 AES POWER STATION Egbin, Lagos State 224 224 2 SHELL- AFAM VI POWER STATION Afam, Rivers State 650 650 3 AGIP – OKPAI POWER STATION Okpai, Delta State 480 480 4 ASG- IBOM POWER STATION Akwa Ibom State 155 76 5 RSG- TRANS AMADI POWER STATION Port Harcourt, Rivers State 100 24 5 RSG- OMOKU POWER STATION Omoku, Rivers State 150 30 1,759 1,484 TOTALS Presidential Task Force on Power Page 8 RIW1 Slide 8 RIW1 Is it correct to term Ibom, T-Amadi and Omoku private sector when they were funded by state governments Rumundaka Wonodi, 14/01/2011 OVERVIEW OF POWER GENERATION (contd (contd) contd) National Integrated Power Projects (NIPP): (NIPP) The NIPP is funded and owned by the three tiers of government (federal, states and LGAs.)These facilities are currently being constructed and will be operated via Operations and Maintenance contracts, when commissioned, prior to the privatisation of these stations. S/No Name of Power Plant Location Designed Capacity (MW) Current Capacity (MW) 1 CALABAR POWER PROJECT Calabar, Cross River State 563 Nil 2 EGBEMA POWER PROJECT Egbema, Imo State 338 Nil 3 IHOVBOR POWER PROJECT Ihovbor, Edo State 451 Nil 4 GBARAN POWER PROJECT Gbaran, Bayelsa State 225 Nil 5 SAPELE POWER PROJECT Sapele, Delta State 451 Nil 6 OMOKU POWER PROJECT Omoku, Rivers State 225 Nil 7 ALAOJI POWER PROJECT Alaoji, Abia State 961 Nil 8 OLORUNSOGO –PHHASE-2 PROJECT Olorunsogo, Ogun State 676 Nil 9 OMOTOSHO-PHASE-2 PROJECT Omotosho, Ondo State 451 Nil 10 GEREGU-PHASE-2 PROJECT Geregu, Kogi State 434 Nil 4,775 NIL TOTALS Presidential Task Force on Power Page 9 INSTALLED VS. AVAILABLE CAPACITY Current Average power generation is 3,200MW Presidential Task Force on Power Page 10 POWER GENERATION CAPACITY TREND Projected Generation Growth @ 1,500MW/year Projected Generation Growth @ 3,000MW/year Presidential Task Force on Power Page 11 POWER GENERATION ISSUES Presidential Task Force on Power Page 12 POWER GENERATION ISSUES UnderUnder-Investment - Stagnated Power Generation Growth. - Inadequate Operations and Maintenance. Lack of Human Capacity development NonNon-diversified Generation Mix: Missing sources - Coal - Solar - Wind - Bio-thermal Presidential Task Force on Power Page 13 POWER GENERATION OUTLOOK Presidential Task Force on Power Page 14 FUTURE OF POWER GENERATION Power Generation gap of 26,561MW expected to be closed by 2020. Consequently, an annual growth of approximately 3,000MW is required. Post-2020, it is projected that the annual growth will reduce to approximately 1,500MW, up to 2033. It is planned that this growth will be driven by the private sector. It is expected that the growth will be supported by a robust commercial market. Presidential Task Force on Power Page 15 POTENTIAL FOR INVESTMENT Refurbishment of existing power stations and subsequent expansion. Construction of new power generation plants. Provision of Operations and Maintenance Services. Human Capacity Development. Presidential Task Force on Power Page 16 CONCLUSION Presidential Task Force on Power Page 17 CONCLUSION As highlighted in this presentation, it is obvious that power generation has not developed as required. This has necessitated the full implementation of the Electric Power Sector Reform as a key priority of the Nigerian Government. Consequently, there exists ample investment opportunities in the power generation sector. Presidential Task Force on Power Page 18 Thank You Presidential Task Force on Power Page 19