By Henry Oqua
Engr. Victor Osagbouwa Obanor, the Permanent Secretary of the Edo State Electricity Regulatory Commission, delivered a compelling speech at the Nigerian Institute of Power Engineers’ Annual General Conference held at the University of Benin where he highlighted the series of power reforms in the State and how they have boosted investment.
With the theme, “Electric Power Sector Reform: Practice, Market, and Politics Nexus,” the conference provided a platform to discuss Nigeria’s power supply issues and the constitutional question on state governments’ power to establish electricity markets.
Obanor emphasized the Edo State Government’s dedication to addressing the electricity challenge for residents and businesses, highlighting the government’s robust initiatives, investments, and commitment to improving the power sector.
“The need for energy – including electrical energy – in the development of any society cannot be over-emphasized” he said, pointing out that Nigeria ranked poorly in terms of electricity access, a factor which is hindering the growth of the private sector.
He stressed that a reliable electricity supply is crucial for economic growth, industrialisation, and poverty reduction, saying, “Nigeria needs power to be a competitive economy.”
Acknowledging the power disparity between Nigeria and other countries, The PS highlighted the urgent need for significant upgrades in generation, transmission, and distribution systems to meet the nation’s electricity demand. He emphasised the pivotal role of professionals in the power sector and their contributions towards achieving the government’s target of over 25GW of power generation capacity.
Engr. Obanor outlined the history of power sector reforms in Nigeria, particularly the establishment of the Nigerian Electricity Regulatory Commission (NERC) and the unbundling of the Power Holding Company of Nigeria. Despite these reforms, he said, the Nigerian electricity industry faced numerous challenges, leading some states, including Edo, Lagos, and Kaduna, to take proactive steps towards developing independent electricity markets.
Edo State’s efforts and investments in the power sector, have recorded significant successes according to Dr. Obanor. He pointed to the successful establishment of Ossiomo Power Company, a Public Private Partnership (PPP) initiative which operates a 95MW power generation and distribution facility in Edo State, providing uninterrupted power supply to government offices, hospitals, streetlights, and industrial clusters in the Benin metropolis.
“Today, landmark facilities in Edo State such as the Emotan Gardens Estate, Edo Tech Park, Edo Creative Hub, among others, now enjoy 20 to 24 hours of uninterrupted power supply”, he said.
He further highlighted the accolade received by Ossiomo Power Company as the best independent power producer in Nigeria.
The successful implementation of these electrification initiatives and investments has attracted significant investments in Edo State, creating a multiplier effect in other sectors of the economy. The PS projected an additional $10 billion in domestic and foreign investment in Edo State due to the improved power supply, in the coming years.
Furthermore, Dr. Obanor highlighted recent changes in electricity laws, empowering states to establish their own independent electricity markets. With the constitutional amendment and the signing of the new Electricity Law, states now have the authority to issue licenses to private investors for mini-grids and power plants within their domains. Edo State’s success story, particularly with the establishment of Ossiomo Power Company, serves as a testament to the potential for power generation and the positive impact on attracting investments under the new regulatory framework.
In conclusion, Engr. Obanor encouraged engineers and professionals to explore different sources of energy and provide innovative advice to the government. He expressed gratitude for the NIPE conference, emphasizing its importance in sharing experiences and recommendations among organizations and governments.
