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Residents and companies in Lagos and Abuja are soon to enjoy 16 and 24 hours power supply, according to a proposal by the Presidential Action Committee on Power.

Also to have 16-hour minimum electricity like Lagos are cities with what the committee called “stranded generation capacities.” The cities are Kano, Kaduna, Ibadan, Onitsha and Nnewi. The cities were chose because they are regional industrial and commercial hubs.

Port Harcourt, Rivers State; Aba, Abia State; Uyo, Akwa Ibom State are grouped by the committee alongside Abuja for 24-hour uninterrupted power supply

These are the highlights of a proposal by the PACP Action Plan that will alter the electricity supply system operated by the Power Holding Company of Nigeria.

Under the system, all generated electricity in the country would be transmitted to the National Grid and distributed by the National Control Centre, Osogbo, among the 11 electricity distribution companies.

The system would make it impossible for states that have built their own independent power plants to get steady supply because the electricity they generate is put into a pool instead of being used directly by them.
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A report on the preliminary presentation of the proposal by the Prof. Barth Nnaji-led committee obtained by our correspondent in Abuja on Monday, showed that Abuja is to enjoy 24-hour regular power supply because of its closeness to the Shiroro hydro plant.

Port Harcourt is also privileged because of the Rivers State-owned independent power plants in Trans-Amadi and Omoku. Uyo is benefitting due to Akwa Ibom State-owned Ibom Power Plant and Aba because it hosts the Geometric IPP.

According to the report, state capitals, urban and semi-urban areas are to enjoy 18-hour electricity while remote communities negatively impacted by transmission from Maiduguri, Kastina and Sokoto are to get about 12-hour supply.

The PACP also suggested that rural communities connected to the national grid should get 12-hour supply of electricity.

Recalling President Goodluck Jonathan’s promise to Nigerians to improve on electricity supply within a short time, the presidential committee said it understood the promise to mean fast-tracking improvement and predictability in the availability of power to Nigerian homes and businesses within three to six months.

The committee added that it plans to take irreversible steps to promote medium to long term sustainable growth of the Nigerian power sector within three to 12 months.

The PACP report, which was prepared by the secretariat of the committee, stated that the strategy would be to focus on all initiatives on customer- service delivery, which are availability, quality and reliability, with a strong presidential oversight.

It added, “We will simultaneously implement short, medium and long term solutions that make electricity availability predictable in Nigeria and fast-track the implementation of the Electric Power Sector Reform Act 2005.”

The report also listed the objectives of the Action Plan to include making every electricity consumer a customer that is responsible and that complies with tariff and service obligations.

It said, “We will identify all sources of available excess captive generation in the country and develop a fast- track framework for making such accessible to customers.

“We will establish and sustain effective communication with power stakeholders and the Nigerian public across the entire span of the Action Plan.”

The PACP further claimed that the analysis of Nigerian electricity crisis indicated that “the problem is more process and management-related than capacity and equipment-related.”

The committee listed the management-induced problems to include poor fuel-to-power strategy; poor and irregular maintenance of power plants and installations; absence of strategic support agreement losses due to theft; sabotage; and vegetation interference with lines.

It also catalogued the commercial problems to include “lack of commercial framework for private sector participation/investment; ineffective and non-responsive regulation; and price adjudication mechanism, which results in inadequate tariff regime.

The report noted that there was “poor payment culture among Nigerian electricity consumers, poor revenue collection and non-responsiveness to consumer needs.”

According to the committee, labour issues believed to be hindering the performance of the power sector include “legacy” union problems, which prevent the reforms of the PHCN successor companies; inadequate manning level, whereby 90 per cent of revenue was spent on manpower costs; and inadequate capacity development.

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From Laolu Akande, New York

WHILE the consumption of petroleum-based products in the United States (U.S.) is flat, Nigeria's ranking on the international oil supply chart to the U.S. has grown.

A monthly data on the origins of crude oil imports into the U.S., based on February 2010 figures, which is the most recent estimate available to the U.S. government, shows that Nigeria is the fourth top oil supplier of the U.S., now ahead of Saudi Arabia, by the end of February this year.

According to the Energy Information Administration (EIA), Nigeria is among the top five oil suppliers to the U.S. and "the top five exporting countries accounted for 64 per cent of United States crude oil imports in February while the top 10 sources accounted for approximately 85 per cent of all U.S. crude oil imports."

The EIA listed the top five sources of U.S. crude oil imports for February as Canada with 1.897 million barrels per day (mbpd) to the U.S.; Mexico (0.996 mbpd), Venezuela (0.913 mbpd), Nigeria (0.896 mbpd), and Saudi Arabia (0.881 mbpd)..

EIA added that "the rest of the top 10 sources, in order, were Iraq (0.540 mbpd), Colombia (0.371) mbpd), Angola (0.312 mbpd), Algeria (0.282 mbpd), and United Kingdom (0.260 mbpd).

Altogether, the total crude oil imports to the U.S. averaged 8.680 mbpd in February, which is an increase of 0.226 mbpd from January 2010.

According to the EIA, Canada remained the largest exporter of total petroleum in February, exporting 2.490 mbpd to the U.S., which is a decrease from last month's (2.593 mbpd). The second largest exporter of total petroleum was Mexico with 1.134 mbpd.

But in the EIA Annual Energy Outlook, the EIA disclosed that "although U.S. consumption of liquid fuels continues to grow over the next 25 years...reliance on petroleum imports decreases."

The Outlook added that with U.S. government policies and rising oil prices providing incentives for the continued development and use of alternatives to fossil fuels, "bio fuels account for all the growth in liquid fuel consumption in the United States over the next 25 years, while consumption of petroleum-based liquids is essentially flat."

EIA outlook stated further that the role played by petroleum-based liquids could be further challenged "if electric or natural-gas-fueled vehicles begin to enter the market in significant numbers."

Now in the U.S., the Outlook said that rising oil prices, together with growing concerns about climate change and energy security, were leading to increased interest in alternative-fuel vehicles (AFVs), but both electric and natural gas vehicles face significant challenges with the potential for petroleum displacement.
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Barkindo said that the resumption of gas supply to the countries was because domestic gas supply had improved, hinting also that supply to Ghana was initially stopped to satisfy local demand.

The NNPC GMD, who was speaking to journalists on the sidelines of a meeting organised by the corporation titled, "Stakeholders' forum on gas to power: Achieving alignment for delivering gas to power in Nigeria," said, "Today, we have started supplying the West African Gas Pipeline, which we had to shut down in order to divert the gas for domestic utilisation."

He added that the reason for the resumption of supply was "Because power generation has started to go up."

The West African Gas Pipeline Company, the firm delivering Nigeria's gas to Ghana, had in a statement issued in November 2009, said, "WAPco, last April delivered its first natural gas supply to VRA's Takoradi Thermal Plant at Aboadze near Takoradi, under an interim gas supply arrangement.

"This initial supply enabled VRA to commission one of its 100 megawatts' turbines and generate power in Ghana from natural gas.

"Since May 2009, however, WAPCo has not received gas from N-Gas Limited for further delivery to VRA due to vandalism of gas supply pipelines in the Niger Delta region, several kilometres upstream of the WAGP connection to the Nigerian Gas Company's Escravos-Lagos Pipeline system."

Corroborating Barkindo's statement on increased power generation , the Executive Director, Operations, Power Holding Company of Nigeria, Mr. John Ayodele, who was also speaking on the sidelines of the conference in Lagos, said power generation was 3,558 megawatts on Monday morning and could climb to 3,700MW by Tuesday morning.

Also, Barkindo, had, in a presentation at the opening ceremony of the event, explained reasons why the oil industry could not achieve the 1.2 billion standard cubic feet of gas- domestic -gas- target agreed between it and government in 2008 and which government provided adequate funds for.in 2008 and 2009 budgets.

According to him, although the industry achieved 885 million standard cubic feet, it fell short of the target beacuse of the security situation in the Niger Delta, which was poor between 2008 and 2009 and operational challenges in the various oil producing companies.

Barkindo said, " The 1.2 billion scfd, domestic gas supply obligation was distributed among Joint Venture companies, including the NNPC and some of the Production Sharing Contracts' operators like Pan Ocean. In each of the companies, they had internal challenges. Now, this meeting that we convened will give us the opportunity to jointly review and address these challenges in order to come out with a joint programme of action, that is realistic, flexible and will enable us, not only to achieve the missed target but also to bring forward the projects which are being funded in the 2010 budget."

He stated that the outcome of the conference would be presented to Acting President Goodluck Jonathan

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