The Nigerian Electricity Regulatory Commission (NERC) has issued new permits to several companies, including Golden Penny Power Limited and MTN Communications Nigeria Limited, to generate mini-grid electricity across various states in Nigeria.
News About Nigeria reports that in the first quarter of 2024, NERC granted nine off-grid generation licenses with a total capacity of 109.69 megawatts and three new trade licenses.
According to NERC’s report, Golden Penny Power Limited received a license to construct six off-grid gas plants across Lagos, Oyo, Ogun, and Cross River states, with a combined capacity of 100 megawatts.
MTN Communications Nigeria Limited was granted permission to build four captive-generating facilities with a total capacity of 15.94 megawatts in Lagos State.
Other companies that received permits for captive power generation include SweetCo Foods Limited, African Steel Mills Nigeria Limited, West African Ceramics Limited, Royal Engineered Stones Limited, and Armilo Plastics Limited.
These permits allow the companies to generate power for their own consumption without selling to third parties.
NERC also approved mini-grid projects for several firms in Lagos State, including Daybreak Power Solutions, TIS Renewable Energy Limited, Auro Nigeria Private Limited, Watts Exchange Limited, Centum Dopemu Energy Services Ltd, and DMD Electric Limited.
Under the Electricity Act 2023, NERC is authorised to grant mini-grid concession licenses to renewable energy companies for exclusive service to specific geographical areas.
These permits allow developers to build, operate, and maintain mini-grids with a distribution capacity of more than 100 kilowatts and a generation capacity of up to 1 megawatt.
Additionally, NERC issues registration certificates for smaller systems with a distribution capacity below 100 kilowatts.
In 2024’s first quarter, NERC issued three mini-grid permits and two registration certificates following a thorough evaluation of applications.
The commission also certified several Meter Service Providers and Meter Asset Providers, who are responsible for the manufacture, supply, installation, and maintenance of electric energy meters and metering systems.
The NERC further disclosed that it issued one regulation and 36 new orders during the same period, including regulations for eligible customers and the Multi-Year Tariff Order 2024 for both Distribution Companies and the Transmission Company of Nigeria Plc.