• Saturday, July 27, 2024
businessday logo

BusinessDay

FG maps out industrial clusters, markets for electricity projects

Households groan over rising energy bills

The Federal Government has mapped out several industrial clusters, markets, shopping complexes to be reached with electricity under its Energising Economies Initiative.

As disclosed by the Rural Electrification Agency (REA) on Wednesday, the focus of the EEI is to electrify economic clusters in Nigeria, in line with the Federal Government’s goal of increasing electricity access.

The agency explained that the program will be implemented through the technical assistance of private project developers to carry out activities including identification and audit of economic clusters, facilitation of engagement with key stakeholders, and technical support for project development and operation.

Read also: Home-grown solutions required to accelerate energy transition in Nigeria – Olafuyi

“The focus of the EEI is to electrify economic clusters in Nigeria, which include markets, shopping plazas/complexes, and industrial clusters in line with the Federal Government’s goal of increasing electricity access.

“Over 300 clusters have been identified for electrification across the country in different phases. So far, over 12,000 shops are now receiving clean, safe, reliable and affordable electricity supply,” the REA stated.

It stated that the pilot phase of the Energising Economies Initiative saw the inauguration of the Sura Shopping Complex Independent Power Project in Lagos State powering 1,047 shops, as well as the Ariaria International Market (Independent Power Project), Aba, Abia State, powering over 4,000 shops.

According to the Agency, over 6,000 energised shops at Sabon Gari market, Kano State under the energizing economies initiative with more connections in the pipeline, adding that efforts were ongoing to identify implementation gaps, improve service delivery and strengthen the initiative to achieve the goal of providing reliable electricity in economic clusters across the federation.

Challenges hindering the efficient delivery of power to economic clusters as highlighted by the Agency however include: technical and legal solutions to customer bypass, funding constraints and gas unavailability.

Others are power shortage and system collapse due to system capacity, inadequate provision of metering, electricity vending system issues and challenges with customer service delivery.