MTN Communications Nigeria Limited, Havenhill Synergy, Golden Penny Power Limited, and other parties have been granted license by the federal government to generate energy using a mini-grid.
In the first quarter of 2024, the government issued three new trade licenses and nine new off-grid generation licenses with a combined gross capacity of 109.69 megawatts through the Nigerian Electricity Regulatory Commission, or NERC.
MTN was given permission to construct four 15.94 MW captive power plants around Lagos State, BrandSpur telecom and IT news reports
Captive power generation was authorised for Armilo Plastics Limited, SweetCo Foods Limited, West African Ceramics Limited, African Steel Mills Nigeria Limited, and Royal Engineered Stones Limited.
A licence to construct six off-grid gas plants in the states of Oyo, Cross River, Ogun, and Lagos was given to Golden Penny Power Limited. There is a 100MW overall capacity.
The license showed: “Captive power generation permits are issued to entities that aim to maintain and own power plants for generating power for consumption and not for sale to a third party. The commission issued nine captive power permits in 2024/Q1 with a total nameplate capacity of 52.57MW.”
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Daybreak Power Solutions, Auro Nigeria Private Limited, TIS Renewable Energy Limited, Watts Exchange Limited, Centum Dopemu Energy Services Ltd, and DMD Electric Limited Lagos State are additional licensed enterprises that benefit from mini-grids.
According to Section 165(1)(m) of the Electricity Act 2023, renewable energy companies may be granted licenses for mini-grid concessions by NERC, allowing them to exclusively serve a particular geographic area.
These concessions indicate that aggregate electricity will be generated and distributed from a site, and the companies will be required to serve customers who request service.
According to the commission: “Following the satisfactory evaluation of mini-grid applications, NERC issued three mini-grid permits and 2 registration certificates in 2024/Q1.”
