What is the situation with power generation capacity in Nigeria now? How much electricity does it produce? Read the information below to learn the facts about this sphere.
Heavy smell of exhaust gases from diesel engines is a sign of problem, which interferes with development of the largest economy of Africa. Batteries of diesel electric generators make expensive electricity because badly developed national power generation in Nigeria works with big interruptions.
Among investors working in different parts of Africa, there is a joke about continent, to which it is necessary to come with your own infrastructure: if the company builds factory or hotel in Africa, it should take care of independent electric generators, system of water purification and even sewerage independently. Most often electricity appears the most expensive amongst all this. Though population of Nigeria is three times more than population of Republic of South Africa, it makes ten times less electric power.
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One kilowatt of electricity, which is made by private electric generators, costs 0.35 US dollars. It ten times more expensively, than in central power generation companies of majority of other countries. The analysis, which is carried out by South African management company Coronation, shows that cost of electricity makes 6% of expenses of the largest banks of Nigeria (each branch needs the electric generator) and 10% of expenses of the telephone companies (each tower of cellular communication needs to be provided with own power generation).
Even shabby infrastructure of India looks not such backward against Nigeria. According to consulting company McKinsey, Nigeria can make approximately the same volume of production in terms of one inhabitant as India. However, this country has only one fifth of Indian generating capacities. Meanwhile in China new power generation plants are under construction so quickly that each two years the power network of this country grows at size equivalent to all capacities of Africa. According to the estimations by World Bank, if deficiency of electric power wouldn’t exist, average annual GDP of African countries would be more than 2 percent higher. In case of Nigeria, for this reason its GDP loses nearly four percentage points a year.
Interest of investors in construction of new generating capacities in Africa was absent for nearly 30 years. Today new power plants have begun to appear in countries of Africa located to the south of Sahara. Many editions have counted quantity of power generation projects, construction of which are conducted or are at final stages of preparation. Results of this calculation show that by the end of decade the volume of generating capacities in the region will increase more than on a half.
In 2013, in Nigeria state, distributive power companies were privatized and authorities of Kenya, Ghana and Tanzania take measures for attraction of foreign investments now. As professor of Cape Town University Anton Eberhard notes, though in general state investments into energy production remain at the stable level, significant growth in investments from other sources, including from the state companies of China, is observed.
In the country general program of development of alternative power generation services is actively developed. Advance of solar and other types of perspective nonconventional ways of receiving electric power is the strategic plan, which is supported at the state level. The CEO of Power commission of Nigeria has reminded of it. According to the head of power department of federal republic, good dynamics of development of alternative power engineering is observed in the country.
Since 1989, when nonconventional electricity generation began in Nigeria for the first time, its volumes have increased from 300 kW to 28 megawatts in current year. In the near-term and medium-term outlook, these indicators have to grow even more. Now in the country there is already process of association of various productions of the alternative electric power and continuous increase in their volumes.
The government of Nigeria makes ambitious strategic plans for shifting its national economy to number of twenty most economically developed powers of planet. It is impossible without dynamic development of energy sector including in the field of nonconventional types of electricity generation.
Nigeria has the biggest number of population in Africa and is the most developed continent economy together with the Republic of South Africa. This year for ensuring of maximum growth rate of GDP generative capacities of power supply system of this country have to grow to 31.24 gigawatts.
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