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- The Kano Electricity Distribution Company (KEDCO) has unveiled plans to break away from the national grid
- The company disclosed that it is entering into a partnership to build a 100MW safe grid to protect its customers
- The Safe Grid will be enabled by embedded electricity generation in its network to ensure security within the network
Legit.ng’s Pascal Oparada has reported on tech, energy, stocks, investment and the economy for over a decade.
Kano Electricity Distribution Company (KEDCO) has finalised plans for a partnership with an initial $100 million investment to develop a 100MW Safe Grid for Kano, Katsina, and Jigawa states, offering 24-hour electricity to customers.
The grid will serve industries, commercial centres, and critical government infrastructure and eliminate the need to rely on the national grid.
Source: UGC
KEDCO moves to protect critical customers
The company disclosed that the move is due to the lingering challenges the Transmission Company of Nigeria (TCN) faces in supplying power to its franchise. It says it is getting less than half of its allocation from the grid, disrupting its customers, institutions, and businesses and challenging its financial performance.
DisCo disclosed that it collects between N9 billion and N12 billion monthly from consumers, but the grid collapses have affected its revenue, and it now fears losing some key customers.
According to the firm, embedded electricity generation in its network will enable the Safe Grid to ensure security and eliminate risks attached to absolute dependence on the national grid.
Kano DisCo collects about N9bn and N12bn monthly from consumers, but the grid collapse has affected its revenues. It fears some key customers will soon abandon the grid unless something is done.
KEDCO says the project will build the first 20MW power plant with Utilita under an emergency project costing $20 million and become operational at the end of this year, beginning supply for the safe grid.
It said the units are already available, and the project development is ramping up ahead of installation and commissioning.
KEDCO begins negotiation for 10MW Wind Farm
According to BusinessDay, the electricity firm would also purchase power for the safe grid from the 10MW Haske Solar Power Plant and the 16MW capacities of the Tiga and Challawa Hydroelectric power projects, bringing the initial supply in the safe grid to 46MW.
Additionally, the electricity company said it is negotiating with the Ministry of Power to take over and complete the 10MW Katsina Wind Farm project and supply it to the safe grid/
National grid collapse 11 times in 2024
KEDCO said a further 54MW will be supplied via additional gas and solar power plant projects.
Experts say the move by the electricity company company is commendable following the frequent collapse of the national grid.
In 2024, the national grid suffered 11 collapses, causing widespread disruptions to businesses and households.
Ikeja Electric slashes electricity tariff for Band A customers
Legit.ng previously reported that Ikeja Electric Distribution Company (IE) announced a significant reduction in electricity tariffs for Band A customers.
In a circular signed by the company's management on Monday, May 6, 2024, customers under Band A will now pay N206.80/kWh rather than the stipulated N225/kWh ordered by the Nigeria Electricity Regulatory Commission (NERC).
Ikeja Electric promised to provide users with 20 to 24 hours of electricity under this Band, adding to the tariff.
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Source: Legit.ng
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