Gas shortage, still a major challenge facing power firms –NDPHC CEO, Ugbo - Punch Newspapers

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The Managing Director/Chief Executive Officer of the Niger Delta Power Holding Company, Chiedu Ugbo, speaks with Okechukwu Nnodim on the challenge of gas shortage as the company steps up efforts to generate more electricity.The truth is that we have serious demand for electricity across the country. We also have gas in the ground across the country; we also have gas thermal power plants.

Does the NDPHC also face gas constraint as often raised by other power generation companies in Nigeria? The NDPHC is positioned to be the biggest consumer of gas in Nigeria but I don’t know if we are the biggest consumer of gas in Nigeria at the moment. And this is essentially because we are constrained so much by lack of gas. The truth is that we have about 4,000MW installed capacity of electricity. At every point in time, that 4,000MW should give you at least 3,500MW to 3,600MW based on good site conditions.

Are you discussing with the Nigerian National Petroleum Company, being a gas producer, to assist you in addressing the NDPHC’s gas constraint? With our existing capacity at NDPHC, we need close to 1BCF of gas, or around 825 million standard cubic feet for now. But how many of that do we have? We have just 325mmscf and out of this I have strong commercial arrangement for only 140mmscf and that is the so called Acu-gas. Also, that is the only gas contract you can depend on for now because they are available and always provide gas.

 

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