Why electricity has worsened across Nigeria – NNPC

The committee says the NNPC had persistently failed to present relevant details of its financial operations to the satisfaction of the lawmakers

Pipelines are currently under repairs

The Nigerian National Petroleum Corporation, NNPC, on Monday said pipeline vandalism was the reason behind the drop in gas supply, which has reduced power generation and availability of electricity across Nigeria.

The Group Managing Director, GMD, of NNPC, Andrew Yakubu, who stated this during a news conference in Abuja, said about N800 million had been spent on the ongoing repair of the pipelines.

Mr. Yakubu attributed the incident to outright sabotage of some crucial gas pipelines, which he said, had significantly eroded available gas supply to the power plants.

He said that as at last weekend, over 30 per cent (480 MMsf/d) of the installed gas supply capacity was out, due mainly to vandalism. The GMD said that the lost gas was equivalent to the gas requirement to generate about 1,600 MW of electricity. He listed the pipelines involved to include the Escravos-Warri stretch of the Escravos Lagos Pipeline System (ELPS) which accounted for (190 mmcf/d) and the Trans-Forcados crude pipeline (230 mmcf/d).

“The remaining supply shortfall is due to maintenance issues at Utorogu gas plant (60 mmcf/d). The outage on the ELPS has been on for over six months due to willful acts of vandalism at various locations between Escravos and Egwa location,” Mr. Yakubu said.

He said that an explosion rocked the ELPS and investigation revealed that a dynamite had been used on four ruptured points on June 25, 2013. Engineers from the Nigerian Gas Company (NGC) were mobilised immediately to commence repair works; but as repairs progressed, more points of rupture emerged, he said.

“At the last count, 20 ruptured points have been identified, all due to deliberate dynamite explosion. NGC completed repairs in November and on commissioning in December, rapid pressure loss was experienced indicating further rupture in weakened locations. We have since effected repair on these new points and re-commenced commissioning activities,” he said.

The GMD, however, gave assurance that gas supply would be reinstated in the next three to five weeks at the completion of various repairs, which is expected to bring a major improvement in power supply. He said that the cumulative effect of the above interruptions was the degradation of power supply to Nigerians. Most of Nigeria’s power generating plants are gas-powered.

Mr. Yakubu assured that the Ministry of Petroleum and NNPC would continue to make efforts to ensure gas supply in the difficult environment. He also said there would be additional 450 mmcf/d supply from various ongoing projects to bridge the growing demand by the power sector between 2014 and 2016.

“By the end of Q2/Q3 2014, additional 200 mmcf/d of gas is expected from two NPDC projects at Utorogu and Oredo. In addition, with the planned completion of the Omoku and Alaoji NIPP power plants, further boost in generation is expected as both plants have gas supply available awaiting completion of the power plants,” the GMD assured. .

He said that many other projects were expected to mature progressively among which would be the East-West pipeline expected to be completed in 2016. According to him, this would bring a major boost in gas supply as over 250 mmcf/d of gas stranded in the East will be diverted to meet the growing power demand.

(NAN)


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  • Peter Irene

    After the expiration of this regime the next Government will give another excuse as non-investment in the power sector by past regimes whereas no vacuum has ever been created at the saddle of Governance. The PDP fourteen years in the Sadle has been years of locusts. The NNPC itself is a haven for Curruption and Unaccountability. It is only in Nigeria that such as Institution in charge of more than 80% of the country revenue has no Financial Statements that accounts for its activities to the public. Pray what is the Financial Year of this Corporation. All the joint Venturers account for their repective ventures to their country of origin and their owners but I have never set my eyes of its Financials of NNPC. Why cant they publish thier annual financial transactions for the public to see at least annually? It is the way they are vandalising tthe resources belonging to all of us that Vanders are doing theirs. Please Mr MD what happened to $10.8 billion unaccounted for by NNPC? The Finance Minister said it not me.

  • Efe1

    Are these pipeline on the surface or how deep under the ground is it? And what will it cost to have a helicopter patrol the route of the pipeline? The excuses are getting too much. I am suspecting this is how they damage and repair the pipeline themselves to collect money. $10.8 billion not accounted for and this country is not on fire.

    • Takuruku1

      Efe1 you are right on the kobo. But setting the country on fire is not the way to go. We should instead prosecute those responsible for this theft and secure convictions against them that will keep them out of circulation for the rest of their lives. After that we can then begin the process of recovery our money from their relations and investments.

  • Pete

    Discerning minds can see the current government’s sincere eagerness to provide Nigeria with stable power supply. This is obvious in the massive unprecedented power infrastructure projects going on across the country.
    However, one sad fact is that the opposition, especially the APC knows that it will be severely bruised politically if the power problem is solved by this government. In line with its desperation to get into government, I will not put it past the APC to directly or indirectly engage in the sabotage of efforts to achieve stable power in the country. If the APC hasn’t done so yet, it surely will!
    This view is expressed with all sense of conviction and responsibility.

  • Ajanaku

    Someone who bursts a pipeline for gas is trying to do what? Gas is not oil so how are they going to steal the gas. The MD , NNPC is just telling us a whole lot of hogwash.

  • NaijaMindOfChange

    Everyday Nigeria is going worse, Gos will not have mercy with our leaders