Reef Creations

In the past few days, we have heard about 'the grid' more than before. Although the mention of it has not been on a very good note, curiosity has been stirred in a lot of Nigerians to really understand what this 'grid' is.

In a country's energy/power sector, there is a part that generates the power; there is a part that transmits it from the generators to the distributors and there is a part that distributes it to the consumers. You remember the days of NEPA? That later became PHCN? And the different names we now call them?

Well, the company has been unbundled into 3 different parts. You remember that year that somebody somebody sold NEPA, right? Don't ask me who sold it or bought it. 😒

Today, the first part is the Generating Companies (the GenCos) e.g Kainji Power PLC and Afam Power PLC. Then there is the Transmission Company of Nigeria (TCN) and lastly, the Distribution Companies (the DisCos). Those guys that you buy your energy from, they are the DisCos. All they do is give light to those that need it or let me say those that can afford it. 😢 (Band A people, I am talking to you!)

You know, the GenCos are not fully owned by the government. Did they teach you too that the electricity of Nigeria comes from Kainji Dam? Well, that is just one of the 6 generating plants in Nigeria. The biggest of them is the Egbin Power station (80% of Egbin is owned by Sahara Power Group). These GenCos need to make profit. Nothing like subsidy or freewill offering. 😎The combined ability of these companies is about 8000MW but they never passed 5074MW altogether. One or two things about inefficiencies and losses.

The TCN (called 'Power Line' in some places) is the only part of the business that the government still owns 100%. They manage all these big big power lines. They are in charge of 'stepping up' and 'stepping down' too. They link the GenCos and DisCos together. The combination of the GenCos and the TCN is what we call the 'National Grid'. Faults and breakdowns at their levels affect a significant part of the country at once. If power is not generated or not transmitted, there will be nothing to distribute. Maybe I have not added that the 5074MW that GenCos produce is less than 10% of what Nigeria actually needs. Any disruptions will therefore be quickly felt.

I hope there will be no 'next time', but in case there is a next time, you now understand what we mean when we say 'National Grid'.

You are asking me about the DisCos? Just try not to pay your bills this month and they will introduce themselves to you. (Laughing in IBEDC 🤣)

But really, don't you think we need solution to energy problems around here?