Following the approval by the power sector regulator, Nigerian Electricity Regulatory Commission (NERC), Paras Energy Resources Limited has begun the supply of 40 megawatts of electricity to Eko Electricity Distribution Company (EKEDC).
EKEDC signed an agreement with Paras Energy for the supply of 40Mw of electricity through embedded generation. Power will be supplied to customers because the tariff for such supply is higher than the normal tariff approved by NERC. T It is a dedicated generation and the Eko DisCo pays more for it.
The embedded generation was okayed by EKEDC management to meet the needs of some special customers who can pay for it, and as part of commitment to the Minister of Power, Works and Housing, Mr. Babatunde Fashola (SAN).
At the stakeholders meeting with the minister, the DisCos agreed to improve customer service delivery by strengthening the operations of their customer centres and providing dedicated phone numbers to ensure consumer complaints within their jurisdictions are responded to. With the embedded power, more power from the national grid would be available for other consumers.
The Managing Director/Chief Executive Officer, Dr. Oladele Amoda, who confirmed the partnership between Paras and his firm noted that the company is also discussing with other firms for more embedded and captive power purchase.
Fashola also gave Eko DisCo a target to meter 65 per cent of its entire unmetered customers by end of the year, which are about 150,000 customers. Eko has already set a target to meter 90,000 customers by the end of June.
Amoda also said the company has voted N50 billion to procure smart meters to realise its metering programme planned for three years. The amount is expected to cover the metering of the company’s over 400,000 customers.
Amoda said 7,500 maximum demand (MD) meters and 50,000 non-MD have been acquired, and installation of the meters has begun. He said $9.7 million was spent on purchase of the MD meters while N2.8 billion was spent on non-MD meters, in all, about N5 billion has been spent on the MD and non-MD meters.
“To tackle the metering challenge, a total of 7,500 MD meters have been procured at the cost of N2.8 billion and another 50,000 meters for non-MD customers. These meters both for MD and non-MD constitute only the first phase of our metering plan that will see all our close to 400,000 customers metered free of charge. Installation of the first phase meters for MD and non-MD customers has already begun.
“Though it will not be possible to reach all customers at the same time, the assurance for all customers is that in end, everyone will be metered with smart meters free of charge. Because of our belief in contributing meaningfully to the local economy, we have procured a larger portion of these meters from local meter manufacturers.
“For those customers that cannot wait for the installation schedule, can get their meters immediately through Credited Advance Payment for Metering Implementation (CAPMI). Such customers pay for the meters and later paid back gradually by the distribution company,” he added.